Turkey has tightened the legal regime for open chequing
accounts, along with criminal sanctions for issuing dud cheques.
Dud cheques were regularly issued in bad faith under the prior
legislative regime. However, legislative amendments go a
significant way towards preventing dud cheques and increasing
The Law Regarding Amendment of Certain Laws for Improvement of
Investment Environment numbered 6728 ("Amendment Law")
was published in Official Gazette number 29796 on 9 August
Changes introduced by the Amendment Law include:
Legislation now requires persons
wishing to open a chequing account to also submit criminal a record
certificate to the bank.
Banks must now check whether or not
the chequing account holder (either a real person or legal person)
or company signatories are prohibited from opening chequing
Banks must submit information about
chequing account holders to the Banks Association of Turkey Risk
Cheques should include either:
A real person's Turkish ID
A legal person's MERSIS
If the chequing account holder and
the cheque issuer are different, the issuer's ID number must
also be added to the cheque.
Issuing dud cheques becomes a crime
punishable by punitive fine of up to 1500 days per dud cheque. The
punitive fine imposed cannot be lower than the dud cheque
Persons determined to be issuing dud
cheques will be prohibited from issuing cheques and opening
chequing accounts. The Banks Association of Turkey Risk Center will
circulate information about prohibited parties to banks. Prohibited
parties will also be prohibited from taking duties in the executive
body of companies. However, if they are already acting as a member
of the executive body of a company, they will continue their duty
until the end of their term of duty.
From 31 December 2017, beneficiaries
of coded cheques must register the cheque on the information
sharing system maintained by the Banks Association of Turkey Risk
Center. Changes to a legal person's representatives who issued
the cheque after this registration date will not release the
related legal person from liability.
Please see this link for full text of the Amendment Law
(only available in Turkish).
Information first published in the
MA | Gazette, a fortnightly legal update newsletter produced by
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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