CIB Bank is put on a “shamelist” of Hungarian companies due to the way they handled a customer complaint.
A longtime customer of Hungarian CIB Bank Zrt. (CIB Bank Ltd., A bank of Intesa Sanpaolo) requested the selling of the CIB Real Estate Fund of Funds owned by him through the internet banking system on the 7th November 2008. The bank did not execute the transaction and due to the suspension of trading with the funds initiated by PSZÁF (Hungarian Financial Supervisory Authority) this resulted in a loss for the customer. The bank promised compensation over the phone (telebanking system) but later retracted this promise citing various reasons.
The case was brought to the BBT (Budapest Conciliatory Council) which in its decree of BBT/6/2009 declared that the bank should purchase the investment fund notes in line with the price prevailing on 24th November 2008.
In addition it established that:
The bank promoted the CIB Real Estate Fund of Funds in a way which misleads consumers (even on 7th November 2008)
The bank cannot hold back the recordings of the conversations between the client and the bank and should release these to the customer.
Despite this CIB Bank (even though requested several times by the customer) is showing the following behavior:
The bank has continued the misleading advertising upto June 2009 when it was removed from the cib.hu website after the pannon.info website was initiated and publicized the case.
The bank refuses to release the recordings of the conversations with the customer.
The bank purchased the investment notes only in April 2009 resulting in significant loss to the customer. The rates for the notes on 24th November 2008 were HUF 1.4966/note and in April 2009 HUF 1.1781/note. The rate reduction and loss for customer was 21%
Based on this CIB Bank Zrt. (CIB Bank Ltd., A bank of Intesa Sanpaolo) has earned its place on the shamelist of BBT. This list contains companies who refuse to honor the decrees of BBT and have shown a disregard for their customers. Further information is available in Hungarian at http://www.pannon.info with a summary in English.
