Is security in private banks adequate with rising threats?
Friday, 9 May 2014 01:08
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By F.N. de Alwis
The following bank robberies have been committed in and around Colombo:
1. A private bank in Malabe (about Rs. 1.3 million)
2. On 24 February a private bank in Kohuwala (about Rs. 2 million) at 11:25 a.m.
3. A private bank in Seeduwa (Rs. 1.4 million)
4. A finance company in Matugama (Rs. 5 million)
The public should not be surprised about these robberies due to the lack of professionalism of the banks in their management of security when they are exposed to robberies not realising that the lives of its employees and security staff are at stake rather than their money which can be recovered if lost as opposed to lives which may be lost forever.
However, the banks seem to be quite content in merely rewarding staff who had virtually sacrificed their lives to protect the banks concerned, rather than taking adequate and positive measures from a professional aspect of security, customers, staff and assets.
Security risks
I have noticed several banks on Nawala Road which are reputed private banks ignoring the threats posed to them. I brought to the notice of these managers by showing that customers who bring large sums of monies are made to stand in line not realising that this can be seen by would-be criminals who pretend to be customers arriving with their accomplices on touch via mobile phones.
I also noticed that some customers withdraw large sums of money amounting to a few millions and the cashier gives them the money openly at the counter to be seen by many would-be criminals watching these transactions taking place inside the bank who could easily send text messages to their accomplices describing the customer’s dress and vehicle number, thus subjecting them to a robbery. But these managers failed to react. Managers must walk and observe these rather than being in their air-conditioned offices.
Why can’t the banks provide a safe room which is well secured for such transactions rather than exposing customers and employees to danger risking their lives? About two weeks ago I went to a bank on Narahenpita Road, Nawala, and watched a motorcyclist walking into the bank wearing a fully-covered helmet and the security did not take any action to get him to remove it. I brought it to the notice of the security officers and they casually said, “What can we do? The management does not want us to do anything.” But I being a security professional advised the security that they should compel these persons to remove their helmets before entering the bank and not wait for instructions from the bank.
Preventive measures
Amidst all this, I was contacted by the management of a private bank to provide a proposal with a view to conduct a security survey of their banks highlighting the threats consequent to some robberies this bank faced. I immediately responded and discussed their requirement and quoted my fees explaining to them the extensive research involved and information I may have to gather to provide a comprehensive survey and gave them a timeframe. But to date this bank never responded, probably the ‘fees’ quoted which is not even 20% of the monies lost by this bank by way of robberies may have caused this silence. But to date they have failed to contact me and even failed to acknowledge the proposal sent to them.
Security to many private banks except State banks do not consider preventive measures as vital. They would rather wait till something happens assuming their monies are insured and can be claimed through the insurance companies. This is sad and pathetic.
Procedures and systems required
It is time that the Government steps in to lay down certain procedures and system to all banks, compelling them to follow guidelines in terms of safety of employees, security staff and their assets. Just as much as the Government insists on annual audited accounts for companies, these banks too should be compelled by law to conduct an annual security audit by a recognised firm, compelling them to take appropriate steps to ensure safety of customers, employees, hired staff and assets in banks. This will no doubt reduce the burden on the Police and have a desired effect on the wave of crime committed and even the insurance companies with whom they are insured will be satisfied that adequate measures have been taken to prevent losses.
These banks which are subjected to robberies should consider themselves fortunate that no customers or employees lost their lives. If so, it would have caused a serious impact on their business, not excluding the compensation they may have to pay.
The primary reason for treating industrial security with scant respect is because it is considered a non-profit making division in most organisations, not realising that if not for effective preventive measures in security, most institutions will be risking the lives of customers, employees, losing most of their valuable assets and even their businesses (in terms of customer confidence).
Government must step in
The Government should step in and ensure that:
(a) Industrial security is upgraded in terms of recruitment of quality staff with contended employees.
(b) That they are properly remunerated and on par with a Police officer possessing security of employment with pension rights and free uniforms, enabling the recruitment of staff with an aptitude for these functions.
(c) Sophisticated training is provided to them in the use of advanced systems and equipment.
(d) Compelling insurance companies to provide a rebate in the premium to clients if they engage staff from recognised security companies, registered with the Ministry of Defence.
I sincerely hope the Ministry of Defence which comes under the purview of President Mahinda Rajapaksa and Secretary Defence Gotabaya Rajapaksa will take immediate steps to organise measures to improve the standard of private security/industrial security along with the Minister of Labour Gamini Lokuge and professional organisations such as the Industrial Security Foundation (INC) and the Security Service Providers’ Association.
Priority should be given towards the enhancement of industrial security in this country.
(The writer, Fellow of the ISF, is a Graduate of the Institute of International Security, UK.)
