I am told MNC Banks like CITI Bank, StanChart etc ask their High Net Worth individuals to sign on blank forms so that the bank can move investments of these HNIs as per the bank's discretion without bothering the client; Is it true?
Re: financial scams
by kiran kumar on Jan 29, 2011 04:23 PM
Not just the MNC banks, as long as investor is ready to do it, any end of the street broker will ask for it. That does not mean all are scamsters, neither does that mean investors should oblige when asked for. We still have some people who are comfortable to sign that way, as long as it works, it makes life easy for the investor and the banker. But, end of the day it is investor who is taking the risk and he should take the final call and not budge for the reputation or size of the bank
Reputed private banks also promise some thing. When asked for in writing or to show written bank manual, then they back tracks their promise. I faced the same in HDFC Bank as well as Axis Bank.
