State departments and the need for banking culture
20/1/2018 12:00 am [rtl]Essam Mahaoueli Banking science is no longer the preserve of bankers, university professors lecturing in this discipline or the students who study it. This knowledge is available to everyone. Anyone can take note of banking concepts from any source and at any time benefit from the development of technology. Which has now made the world a small village. In a number of government departments, which deal in commercial and banking matters, it is not necessary to identify banking concepts as an intellectual or unnecessary luxury, but rather as a necessity because the people or sections that focus on importing and exporting or contracting with companies and concluding business transactions with them and paying their dues in execution , It is necessary to know, not generally, but precisely, what the documentary credits are and the letter of guarantee. These two banking processes do not accept diligence or interpretation by employees who do not know what they mean. The department may slip into dangerous slips due to misunderstanding of the processes involved and some other similar processes. In order not to enter into precise details, for example, the process of the letter of guarantee (internal or external), this letter is necessary in the process of contracts concluded by the State with internal and external companies. The mission of the letter is determined by the Iraqi commercial law in the form of legal provisions that deal with the general framework of the process and does not deal with the banking mechanisms or the method of implementation by the bank. As with any law, it sets the general picture and stakeholders should find mechanisms for implementation. The guarantor is governed by the Iraqi Civil Code and is a "guarantor" in the execution of an obligation. If the sponsor is unable to perform and implement part of the contract, the sponsor is obliged to do so. Guaranteed security. Therefore, the bank does not carry out such an operation; rather, the bank has the role here to guarantee only one person to another person in executing an obligation. If the debtor fails to execute his obligation, the bank does not complete the work or execution as in the case of bail; Assigned to the third person (beneficiary of the speech). Here lies the big problem between the circle and the bank. There is a conviction in the text of the letter organized by the bank and directed to the beneficiary - the employer or the owner of the project - there is a paragraph stating that payment from the bank must be made immediately after the receipt of the first request Fundamentalist comes from the beneficiary. The Chambers / people in particular, which deal with commercial issues, believe that the letter is a cash balance placed by the contractor at the bank and can be withdrawn by the bank and paid to the department immediately. Some departments request payment as soon as they receive the letter and before the work is started by the secured contractor for what they believe is their right or to avoid the risk of forgetting the employee to send the claim to the bank. Some circles believe that the speech is to ensure payment of the debts of the state and in some cases threaten to institute a lawsuit against the bank in the event of non-payment of the amount stipulated in the board of the bond. Some managers believe that the letter is the right of the department even if the contractor has fully fulfilled its obligations, insisting on payment. There are other points related to the extent to which the letter of guarantee, the lack of banking culture and the failure of some officials to understand the limits of the bank's obligations under the letter of guarantee. We need to identify some points that highlight these points and reveal the chronic misunderstanding of this banking process. It is true that the letter of guarantee is issued to guarantee (the order) towards the beneficiary and unconditionally, but in fact there are conditions and not one condition which is as follows: In the case of tender letter the department can not claim the bank in case the contractor fails to win the tender, For signing the contract after his victory. In the case of a letter of performance assurance (good performance), the department is not entitled to demand payment of the full amount if the contractor proves that he has completed part of the contract, that is, the completed part must be deducted from the claim amount. The department calls the speech before performing the work! This is a context that one of the circles has always followed. Some employees do not understand that the letter of guarantee (especially external) does not represent a cash balance that exists with the bank and is not a guarantee to pay the debts of the state, but only to guarantee a certain contractual clause in the bond. The letter of guarantee is not absolute and can not be repaid for the sole reason that the Chamber is satisfied. The bank must verify the validity of the request in practice and from the point of view Oh. The term "unconditionally" should not be taken into account. Many contractors objected to the Chambers' demand to pay the letters, making them a party to be listened to and to know the reasons for their objections. Perhaps the strangest thing I have heard from some circles is that the speech remains its right even if the project is done !. It is necessary to organize courses for the departments in order to educate employees in banking operations in full and detailed, and it is okay to join these courses managers there are no limits to the science and degrees of employment and age.[/rtl] [rtl][You must be registered and logged in to see this link.] [/rtl] |
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