Azerbaijan bans remittances through MIGOM money transfer system

Based on the notification, the banks operating in Azerbaijan must not engage in any transactions under this system of remittances from June 8.

The reason for the suspension of cooperation with the MIGOM money transfer system is linked with its illegal remittances to Nagorno-Karabakh, occupied by Armenia, the banks reported.

Earlier MIGOM was warned to stop illegal remittances, after which the system suspended transfers to Karabakh. But as the CBA's current decision shows, it again resumed its activities in the occupied territories.

MIGOM which means "instantly" is an international system of money transfers for individuals without bank accounts created under the "European Trust Bank".

Similar regulations have already been given to the Azerbaijani banks in respect of money transfer systems Western Union and MoneyGram. The banks suspended the operations through these money transfer systems July 30, 2008 and then resumed Aug.14, 2008. The decision to resume work with them was taken based on commitments undertaken by the Western Union and MoneyGram that such incidents will not be admitted in the future.

The CBA revealed violations of the Azerbaijani national interests by these systems during monitoring on providing financial intermediaries in the country's national legal framework. As a result, it was revealed that several money transfer systems have conducted operations in the territories occupied by Armenia. Among them - "Contact", "Western Union", "Zalotaya Karona - Denejnie perevodi", "Moneygram", "Migom", "Privat Money" and "Leader".

The official websites of these systems presented Azerbaijan's territory as distorted. On the other hand, the CBA identified violations of law, as they collaborated with structures without a license from the CBA. The CBA took appropriate measure with regard to the violators and displayed requirements for suspension of illegal activity. As a result, many payment systems stopped illegal activity.


/Trend/