Banks study proposal to open accounts for inmates in Kuwait

The Kuwaiti banks are considering a proposal to allow inmates in correctional facilities to open bank accounts.

These accounts will enable prisoners to deposit and withdraw cash, as well as issue checks, but would not include ATM cards or borrowing facilities. Reports Al-Rai daily quoting a reliable source.

The proposal, submitted by the National Human Rights Council, covers all prisoners, including Kuwaiti citizens, Gulf nationals, residents, children of Kuwaiti women, and those under judicial custody.

It is modeled on Gulf experiences where prisoners are allowed to operate their accounts under strict regulatory controls.

According to the plan, accounts would be opened following an official request from the Director General of Prisons or an authorized representative and registered under the General Administration of Correctional Institutions.

Account management would require joint signatures from at least two authorized officials, typically including the prison director or deputy and the officer in charge of prisoner affairs.

Withdrawals would be permitted only by checks or transfers from the inmates’ trust account, while deposits could be made in cash or by check. Banks may provide online or telephone banking access for viewing balances and transactions, but not for executing payments or withdrawals.

In cases where the account holder dies, the account would be converted into an heirs’ account or a new account would be opened in the name of the heirs, who must present a certified inheritance certificate.

The heirs or their authorized representatives would be permitted to sign on the account, while ATM or credit cards would remain prohibited. The account would need to be updated annually and could be closed if inactive for five years after the account holder’s death.

For accounts managed by judicial guardians, banks would require documentation including the court decision appointing the guardian, the guardian’s identification, and records pertaining to the disputed matter.

These accounts would be valid for one year, renewable annually, and would allow check issuance but no ATM or credit card access.

The proposal also allows Gulf citizens to open accounts provided they present a civil ID and address, and they may authorize a Kuwaiti or Gulf citizen to manage their accounts.

Resident prisoners may also open accounts using their civil ID, while expatriates who are children of Kuwaiti women may open salary accounts after proving their mother’s nationality.

Banks are required to report any suspicious activity or illegal sources of funds to the Financial Investigations Unit.

The initiative aims to provide inmates with controlled access to banking services while ensuring transparency, security, and compliance with existing financial regulations.

Follow The Times Kuwait on X, Instagram and Facebook for  the latest news updates