Policy for Handling Saudi Banknotes Marked with Security Inks and Compensation

Policy for Handling Saudi Banknotes Marked with Security Inks and Compensation
No: 120172/329 Date(g): 12/7/2023 | Date(h): 24/12/1444 Status: In-Force
Translated Document

First: Introduction
General framework:
The “Policy for Dealing with and Compensating for Security Marked Banknotes” sets out the rules and controls necessary to organize the mechanism for dealing with and compensating for banknotes marked with security protection inks. The general framework of this policy is summarized in the following main points:
1. General controls and specifications for security inks, cash transportation bags and ATM boxes.
2. Controls for approving the specifications of cash transportation bags and ATM boxes for service providers.
3. Controls for reporting and raising awareness on how to deal with banknotes marked with security inks.
4. Controls for receiving seized banknotes.
5. Controls for dealing with unseized banknotes.
6. Controls for examining and replacing the security-marked banknote.
7. Operational cost controls.
8. Document retention controls.
Objective:
This policy aims to define the controls and guidelines necessary to organize and control the procedures for handling and replacing Saudi currency banknotes marked with security inks, as well as the general controls and specifications for security inks, cash transport bags and ATM boxes.
Scope:
This policy applies to the Currency Department and all related administrative units, and to dealing with cases of requesting the approval of the specifications of cash transportation bags and ATM boxes, as well as Saudi currency banknotes marked with security inks received by the Central Bank, regardless of whether they are seized or unseized.
Updating and inquiries:
The Currency Department is responsible for updating this policy periodically in coordination with the Center of Excellence, or when there are changes that may impact the policy, as well as responding to any inquiries about it. This policy supersedes any policy or circular related to the content of the policy that was issued prior to the adoption of this policy.

Second: Definitions

Term	Definition
Central Bank	Saudi Central Bank.
Management	Currency management.
Marking banknotes	Covering some features of Saudi Arabian currency banknotes by self-destructing security ink through self-destruct devices in cash transportation bags or ATM boxes, and the banknotes are considered damaged and unfit for circulation.
Seized banknotes	Uncirculated banknotes seized subsequent to being marked and identified.
Unseized banknotes	Banknotes that were circulated among the public after being marked and subsequently seized, but their owner is not identified.
Money Carrier Bag	A sophisticated bag designed for the secure transportation of money, which facilitates automatic tracking and incorporates a self-destruction mechanism for marking banknotes.
Automated teller machine (ATM) boxes	Smart boxes are used for the replenishment currency into ATMs and allow for self-destruction by marking the banknotes.
The Service Provider	the company that imports the cash transportation bags or ATM boxes.
The User	the organization utilizing the cash bag or ATM box.
The Laboratory	The laboratory authorized by the authority to test samples of banknotes marked with security inks.
The Committee	Damaged banknotes compensation committee.
DNA Fingerprinting	The chemical component in the ink used to mark banknotes and are machine-readable.

Third: Policy Content

General Controls and Specifications for Security Inks, Money Bags and ATM Boxes

3.1

Security inks should include the following specifications:

	1.1	Have a certificate from an internationally accredited laboratory.
	1.2	Must be certified by the Saudi Standards, Metrology, and Quality Organization (SASO).
	1.3	It must contain DNA (Taggant).
	1.4	Have an integrated Infra-Red (IR) marker.
	1.5	Have a dark green color.
	1.6	Not being toxic or dangerous to humans.
	1.7	Highly stable and impossible to remove with any substance such as: Water, fuel, bleach or cleaning agents.
	1.8	Cash Deposit Machines (CDMs), Cash Recyclers (TCRs), self-service machines, and counting and sorting machines should be able to detect and reject counterfeit currency.

Cash carriers and ATM boxes must meet the following specifications:

	2.1	The materials used in security inkjet technology should not include any materials employed in the production of explosives (according to the requirements of the Ministry of Interior, represented by the Higher Authority for Industrial Security).
	2,2	Incorporate a tracking features utilizing satellite or mobile network technology (GPS/GPR Tracking).
	2.3	The ability to cover all banknotes with security inks in cash transportation bags and ATM boxes without exception, with a minimum of 20% per banknote once the security inks are activated and dispensed.

Regulations for the approval of specifications for service providers' cash bags and ATM boxes

3.2

When a service provider applies to the General Directorate of Branches and Cash Centers for a letter of approval regarding the specifications of cash transport cases and ATM boxes, the Directorate must verify the following before granting the approval letter:

	1,1	Cash transportation bags and ATM boxes shall use inks in accordance with the specifications for security inks referred to in paragraph (1) of clause (1.3), and cash transportation bags and ATM boxes shall contain the specifications referred to in paragraph (2) of clause (1.3).
	1.2	Inform the service provider to bear the operational costs of examining the samples of marked banknotes during the examination.

Reporting and Awareness Controls on How to Handle Banknotes Marked with Security Inks

3,3

The department, in coordination with the Bank Policy Department, must inform the user in a one-time official letter of the following:

	1,1	Handing over the seized banknotes to the Central Bank to complete the compensation procedures in accordance with the regulations and procedures approved by the Central Bank.
	1.2	Retaining the unseized banknotes, fill out the “Report of a report or seizure of banknotes marked with security inks” form (Annex 3) and send the form with the marked banknotes to the police, and send a copy of the form to the administration.
	1.3	Prohibit the circulation of marked banknotes.

The administration must coordinate with the Communication Department to educate the community - in accordance with the approved policies, procedures, and instructions - not to accept marked banknotes, and the need to report any information related to them to the police.
The administration must take the necessary measures to raise user awareness; to train its employees to identify banknotes marked with security inks and the mechanism for detecting and reporting them.

Controls for Receiving Seized Banknotes

3.4

Central Bank branches must collect the seized banknotes from the user and hand them over to the administration, and treat them as a cash consignment according to the “Internal and External Cash shipment Policy”.
The administration must collect the seized banknotes from the user or Central Bank branches and refer them to the committee.
After submitting an official letter from the user to request compensation for the seized banknotes, the user is required to fill out the “Request for Compensation for Security Marked Banknotes" Form (Annex 1) and the “Declaration of Banknotes for Compensation” form (Annex 2), and the person responsible for receiving the seized banknotes (the cashier) must adhere with the following:

	3.1	He shall not receive any controlled banknotes except those of specified number and value.
	3.2	Identify the user's name and contact information.
	3,3	Receive a copy of the approval letter issued by the Central Bank to the service provider on the conformity of the cash transportation bag or ATM box with the required specifications mentioned in clause (1.3).
	3.4	Note the information of manufacturer of the self-destruct device used to mark the seized banknotes and the circumstances under which it was activated.
	3.5	Record the serial number of the cash-carrying bag or ATM boxes.
	3.6	Request all supporting videos/photos, if any, to be submitted, and a copy of the relevant police report in the event of an attempted takeover.

The seized banknotes shall be presented to the committee to take the necessary measures in accordance with its jurisdiction.

Controls for Dealing with Unseized Banknotes

3.5

If unseized banknotes are presented to the central bank by:

1,1

The User:

The user is instructed to fill out the form “Banknotes marked with security inks” (Annex 3) and submit the form along with the banknotes to the police, and a copy of the form is sent to the administration.

1.2

Security agencies:

The value of the banknotes should not be reimbursed.

1.3

Individuals:

The value of these banknotes should not be compensated, and they are referred by the administration to the security authorities to ensure that they are not related to a seizure case.

Controls for Examining and Replacing Banknotes Marked with Security Inks

3.6

When the administration receives samples of marked banknotes from the committee for the purpose of examining them, the administration must send the samples to the laboratory to obtain the concentrations of security inks and a detailed report on the results of the examination, and return the samples after completion, and the administration must submit the technical report to the committee.
The user shall be compensated for banknotes marked with security inks based on the committee's recommendation and the authorization holder's approval of the compensation. Without prejudice to the provisions of this policy, the seized banknotes to be compensated shall be considered as damaged banknotes and compensation shall be subject to the controls contained in the “Damaged Banknotes Compensation Policy".

Operational Cost Controls

3.7

The Administration shall inform the Service Provider or the User, as the case may be, to bear the cost of examining the samples of the marked banknotes.
The Administration shall inform the User of the operational costs of replacing the seized banknotes according to the following:

	2.1	The value specified in the approval of the authorizing authority for each marked banknote in cases of proven negligence in handling cash transport bags and ATM boxes.
	2,2	The cost of transporting the seized banknotes to be compensated in case the user wants the Central Bank to transport them from one of its branches to the main center.

Document Retention Controls

8,3

The original “Request for Compensation for Banknotes Marked with Security Inks” form (Annex 1), “Declaration of Banknotes for which Compensation is requested” form (Annex 2), copies of the rest of the documents, the committee's recommendation for compensation, and the approval of the authority holder thereof shall be retained by the administration for one year in paper form, and then destroyed after being archived in a content management system.

Fourth: References

Reference	Reference Details
Banking Control Law	Issued by Royal Decree No. (M/5) dated 22/02/1386 H
Mechanism for Compensating Damaged Cash Marked with Security Inks	No. (41025174) dated 12/04/1441 H
Minister of Finances approval on considering the banknotes marked with private security inks as non-compensable	Approval No. (5002) issued on 13/06/1439 H
Governor's approval on the circular and compensation	No. (43459/80) dated 17/03/1441 H.
Damaged Banknote Replacement Policy	Version No. 2.0 dated 06/08/1439 H.
Criteria and Requirements for Operating a Money Transportation Service	No. (53506/198) dated 13/04/1440 H.

Fifth: Adjusting the Document

Relevant Department	Related Departments	Advisory Departments	Director of the Department
Currency management	General Administration of Branches and Cash Centers. General Administration of Bank Supervision. Communication Department.	General Department of Legal Affairs. Risk and Compliance Department. Internal Audit Department.	Dr. Naif bin Abdullah Al-Sharaan 17/03/2023 G
Recommendation of the General Department of Legal Affairs		Signature	Date
Mohammed bin Othman Al-Abduljabbar			18/01/1445 H
Recommendation of the Deputy Governor for Finance and Administrative Affairs		Signature	Date
Abdul Elah bin Abdulaziz Al-Duhaim			11/02/1445 H
Approval of the Governor		Signature	Date
Ayman bin Mohammed al-Siyari			12/02/45 H
List of Releases	Previous Release Date	New Release Date	Original Release Number	New Release Number
Policy for handling and replacing security-marked Saudi Arabian currency banknotes	-	12/02/1445 H	-	1,0
Scope of Distribution		Archiving
√ Currency Management √ General Administration of Branches and Cash Centers. √ General Directorate of Banking Supervision. √ Communication Management √ Central Bank Branches.		√ The original document: To be kept at the Support Services Division. √ The original document: To be kept at the Center of Excellence.

Annexures

Annexure (1): Form for Requesting Compensation for Banknotes Marked with Security Inks

نموذج طلب تعويض عن الأوراق النقدية الموسومة بالأحبار الأمنية

اسم المستخدم/_________________________________ممثل المستخدم________________________________

رقم الهوية__________________________________________رقم الهاتف___________________________________

رقم الجوال _______________________البريد الإلكتروني_________________ص:ب_________________

الرمز البريدي_______________________ المدينة_______________________

رقم الوكالة وتاريخها ومصدرها_______________________________________________________

ملاحظات: يجب أن تكون الأوراق النقدية الموسومة جافة ومرتبة حسب الفنة، وأن تحتوي كل رزمة على مئة ورقة من الفئة نفسها.

مصنع جهاز الإتلاف الذاتي___________________________________________

رقم الحقيبة التسلسلي________________________________

الفئة_______________________________________

عدد الأوراق النقدية______________________________________________________

قيمة المبلغ كتابة____________________________________________________________________________________

أسباب تلف الأوراق النقدية المطلوب التعويض عنها:

• محاولة سرقة • سوء استخدام حقيبة نقل النقود/صندوق أجهزة الصرف الآلي

• أسباب تقنية • أخرى/.....................................

المرفقات المطلوبة:

• تقرير/مشهد من الدفاع المدني- إن وجدت

• تقرير من مزود الخدمة في حال أن التلف ناتج من خلل فني في حقيبة

نقل النقود/صندوق أجهزة الصرف الآل • تقرير/مشهد من الشرطة-إن وجدت

• كل ما يدعم من مقاطع فيديو/صور-إن وجدت • إقرار عن أوراق نقدية مطلوب التعويض عنها

• استلام صورة خطاب الموافقة الصادرة من البنك المركزي لمزود • وكالة

الخدمة على مطابقة حقيبة نقل النقود أو صندوق أجهزة الصرف

الآلي للمواصفات المطلوبة

أرغب في أن يكون تحويل قيمة التعويض المعتمد من صاحب الصلاحية:

للحساب البنكي (رقم آيبان)__________________________________________________________________

لدى مصرف/بنك_________________________________________________________________________

وسيلة أخرى______________________________________________________________________________

أتعهد بتحمل فيمة فحص عيّنات الأوراق النقدية الموسومة بالأحبار الأمنية في المختبر، وقيمة التكاليف التشغيلية لتعويض الأوراق النقدية الموسومة بالأحبار الأمنية. وفق الضوابط التي يضعها البنك المركزي في هذا الشأن.

اسم المستخدم/ الوكيل__________________________________ توقيعه__________________________________

اسم وتوقيع أمين الصرف اسم وتوقيع رئيس العمليات النقدية

________________________________ _____________________________

رقم العملية في النظام الآلي:______________________________________________________________________

الإجراء بالفرع / خزينة المركز بعد اعتماد صاحب الصلاحية لقيمة مبلغ التعويض تم السداد للمستفيد

• التحويل للحساب • أخرى

رقم العملية (الحوالة) الآلية

_________________________________________

اسم أمين الصندوق وتوقيعه ______________________________________________________________

الإجراء في خزينة المركز الرئيسي بعد مرور سنة مالية على اعتماد قيمة المبلغ المعوض لعدم التمكن من التواصل مع المستفيد _______________________________

رقم العملية من النظام الألي ______________________________________________________________________

مستلم النموذج من شعبة العمليات المصرفية ____________________________________________________________

الاسم _______________________________________ التوقيع___________________________________________________

Annexure (2): Declaration of Banknotes to be Compensated

إقرار عن أوراق نقدية مطلوب التعويض عنها

معلومات مندوب المستخدم

الاسم:............................................... رقم الهوية:.....................................

رقم الجوال:........................................ جهة العمل:.....................................................

موقع المراجعة:...................................

تاريخ المراجعة: يوم الموافق / /١٤هـ

أتعهد أنا.............................................................................................................................

أن بيانات المبلغ النقدي المطلوب التعويض عنه صحيحة حسب الموضح أدناه:

مصدر النقد: .....................................................................................................................

ملكية النقد: ...................................................................................................

المبلغ التقريبي: ............................................................................................................

الفئات النقدية:...............................................................................................................

سبب تلف النقد: ........................................................................................

كما أتعهد بمعرفتي أن تعمد إتلاف العملة السعودية يتم المعاقبة عليها وإذا كانت تحتوي على نقد مزيف فسيتم تطبيق الأنظمة والتعليمات ذات الصلة، وأتعهد بدفع أي تكاليف تشغيلية تفرض وفق تعليمات البنك المركزي.

الاسم: ..........................................................................التوقيع,............................................... :

خاص بموظفي الخزينة

اسم المسئول: ...............................................................................................................

وظيفة المسئول:.............................................................................................................

التوقيع:................................................................................

Annexure (3): Reporting and Seizure of Banknotes Marked with Security Inks

محضر إبلاغ أوضبط أوراق نقدية موسومة بالأحبار الأمنية

			رقم الصادر	/ / 20م	لموافق	/ / 143هـ	التاريخ
				ضبط		بلاغ	الحصول على الأوراق النقدية الموسومة عن طريق
أخرى	شخص	مركز الشرطة	الشرطة	محل تجاري	مصرف	بنك	مكان الحصول على الأوراق النقدية الموسومة
							مكان الحصول على الأوراق النقدية الموسومة

الجنسية	البلد	مكان الولادة	العائلة	اسم الجد	اسم الأب	الاسم الأول	مقدم الأوراق النقدية الموسومة
							مقدم الأوراق النقدية الموسومة
مصدرها	تاريخها		رقمها		نوعها		الهوية
							الهوية
المهنة		التعليم		الحالة الإجتماعية	أنثى	ذكر	الجنس
							الجنس
		هاتف				العمل	العنوان
		هاتف				السكن	العنوان
		هاتف				الاسم	الكفيل
		هاتف				العنوان	الكفيل

وصف الأوراق النقدية الموسومة بالأحبار الامنية

الرقم التسلسلي	العدد	الفئة	نوع العملة (الإصدار)

المبلغ		مستقبل البلاغ
التوقيع	الاسم	الرتبة	الوظيفة		الاسم

	البصمة			التوقيع

صورة / لملف القضية.

صورة / للأمن العام / الامن الجنائي / إدارة التحريات والبحث الجنائي - فاكس (0114054216).

صورة / للبنك المركزي السعودي إدارة العملة - Currency@Sama.gov.sa

Soft Launch