18/12/2002 12:41
It is necessary that deferments for the Central Record of Information must cease so that the new system with regard to the new instructions over cheques is effective as from 1.2.2003, said the CB Governor, Christodoulos Christodoulou, commenting on the one-month deferment concerning the application of instructions issued along with the operation of the Central Record of Information (CRI). Mr. Christodoulou stressed that a new 30-day deferment requested by the Finance Committee would be out of all reason.
The Governor, however, does not exclude the possibility of proceeding to a number of small changes to make the new system even more acceptable without corrupting the object and the use of cheques. The MPs have expressed their concerns over the possibility of creating problems to the market, as well as the possibility of changing some provisions so that instructions are ‘milder’ as to their expression and looser as to the consequences they will have to all cheque issuers.
Mr. Christodoulou said that the 30-page instructions are pretty much detailed, aiming to the right use of cheques as a basic means of transaction. “Cheques are neither bills nor a means of crediting. Cheques are a means of payment, used instead of cash. It is time that cheques in Cyprus become a more secure means of transaction and eliminate the corruption of the current system”, Mr. Christodoulou said.
Meanwhile, with regard to post-dated cheques, the CB Governor pointed out “these are not cheques”, stressing that cheques are only when they are to be paid to banks. The application of the provision is deferred until 1.7.2003, whilst there is a possibility to extend its application for a period of more than six months.
Finally, all deferments provided so far were attributable to the more comprehensive information of the public, while the Central Bank is soon to launch a campaign to warn offenders and all issuers of bounced and post-dated cheques.
The Governor, however, does not exclude the possibility of proceeding to a number of small changes to make the new system even more acceptable without corrupting the object and the use of cheques. The MPs have expressed their concerns over the possibility of creating problems to the market, as well as the possibility of changing some provisions so that instructions are ‘milder’ as to their expression and looser as to the consequences they will have to all cheque issuers.
Mr. Christodoulou said that the 30-page instructions are pretty much detailed, aiming to the right use of cheques as a basic means of transaction. “Cheques are neither bills nor a means of crediting. Cheques are a means of payment, used instead of cash. It is time that cheques in Cyprus become a more secure means of transaction and eliminate the corruption of the current system”, Mr. Christodoulou said.
Meanwhile, with regard to post-dated cheques, the CB Governor pointed out “these are not cheques”, stressing that cheques are only when they are to be paid to banks. The application of the provision is deferred until 1.7.2003, whilst there is a possibility to extend its application for a period of more than six months.
Finally, all deferments provided so far were attributable to the more comprehensive information of the public, while the Central Bank is soon to launch a campaign to warn offenders and all issuers of bounced and post-dated cheques.
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