We have to accept that north Cyprus is so far behind the standard of normal banking practices that it would be comical if it were not so serious.
For instance can you see any one of the banks in the leading economies even contemplating having lending practices that are more akin to the Bank of Lalaland than to the Bank of say England or America.
Can you for instance imagine say Barclays Bank Limited examining Contracts of Sale, seeing that their borrower had already sold the property to a third party BUT still going ahead and advancing money on the security of property that they know is not available for that purpose and then lodging a charge with the land registry also.
Similarly, a bank who commissioned a survey of a proposed security containing almost complete structures and then going ahead, advancing money to the borrowers they knew to be dubious at best, perhaps dishonest at worst and then going ahead and advancing these alleged fraudsters money using security they too knew was not available for this purpose…witnessed by the fact that they knew there were structures on this land but allowed the kocans to continue showing it as land.
You then have to wonder at the honesty and integrity of such bank officials indulging in such practices.
The whole system seems mired in fraud and yet the Government are still sit on their hands and doing nothing.
I do have to commend the ROC who having found such practices widespread did eventually take the brave step and outlawed such practices, annulled such mortgages and told the banks to look to their borrowers and not the borrowers’ victims for redress.
A system so flawed is an anathema to all right thinking people and if the Government of the day cannot see this, then one has to question their thinking…or maybe their motives.
Peter Wright5 Likes