BoK official under inquiry amid allegations of fraudulent pyramid scheme

Aziz Buneri 

PESHAWAR: A senior officer at the Bank of Khyber (BoK) is under scrutiny, following serious complaints from account holders and former employees, alleging his involvement in a fraudulent pyramid scheme.

Arif Ullah, the Operations Manager of BoK’s Northwest Hospital branch in Hayatabad, is accused of using his position to gain the trust of clients and colleagues, soliciting funds for a private investment scheme.

In written complaints, former employee Amanullah Khan and customer Sangar Khan detailed how Arif Ullah persuaded them to invest significant sums – PKR 700,000 each – into what he claimed was a legitimate e-commerce and product distribution business. According to the complaints, Arif Ullah represented the scheme as part of a reputed multinational venture, promising distribution rights across Pakistan.

Amanullah Khan stated that Arif Ullah encouraged the participants to join a two-month “training program”, during which they were instructed to keep the details confidential. It later became clear that there was no legitimate business operation; instead, the participants were pressured to recruit others and invest further, with returns solely based on new investments rather than actual product sales.

Sangar Khan explained that he trusted Arif Ullah due to his position as a bank officer, meeting with him several times at the bank’s office, where Arif allegedly used the bank’s premises to conduct these activities. Khan has formally requested the bank to refund his PKR 700,000, citing a breach of public trust.

These allegations, if substantiated, highlight a conflict of interest and potential misuse of the bank resources, while sources inside the bank have confirmed that promoting private schemes violated the BoK’s ethical guidelines and employees were expected to focus on advancing the bank’s services rather than private ventures.

In response, the BoK’s Human Resources Department confirmed that an investigation was underway and would be completed soon. Meanwhile, the complainants urged the bank administration to issue a warning to employees and clients to prevent such cases of exploitation in the future.


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