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SYSTEMS TIES UP WITH CITIBANK N.A., SINGAPORE BRANCH, TO OFFER
INNOVATIVE E-ESCROW SECURE PAYMENT SERVICE
Mainboard-bound, Stratech Systems Limited ("Stratech"), announced that the Company has, in collaboration with Citibank N.A., Singapore, developed a web-based international transaction service platform, targeted at high-value, large volume transactions over the Internet.This platform is an internet escrow service which aims to dramatically reduce the risk factors normally associated with on-line transactions. Called Safe-EX.com™, this Internet escrow service will be launched before the end of the year.
Dr David Chew, Chairman and Chief Executive of Stratech said, "In such situations, the likelihood of delayed or non-payment, or any other form of breach of trust either on the part of the buyer or seller is high. With Safe-EX.comT, the onus is on both buyer and seller to honour a contract or sales agreement before monies or goods are dispensed. The potential for a breach of trust will be reduced substantially."
Based on the principle of "willing buyer" and "willing seller", payments for goods will be held in safekeeping by a trust account (escrow service, as referred to in financial parlance) until sellers and buyers have completed the transactions including satisfactory delivery and receipt of goods. Many companies are reluctant to embrace Internet commerce because of the trust issue especially in cross-border transactions. With Safe-EX.comT, their concerns will be addressed. Buyers and sellers will soon have a safe avenue to execute transactions. If anything goes wrong in the deal, they get their goods or their money back; no questions asked," Dr Chew said.
How does Safe-EX.comT work?
Safe-EX.comT will act as the neutral and trusted third party that holds money in a temporary trust account for a transaction until the Buyer agrees to release the funds to the Seller. This occurs upon the completion of the transaction in which the Buyer is satisfied with the merchandise or service upon delivery and/or inspection. Safe-EX.comT is a unique e-Business solution that encompasses end-to-end (E2E) payment & fulfillment assurance. For the payment module, Safe-EX.comT can track multi-mode cash payment till the funds from the Buyer are cleared before informing the Seller to ship the goods to the Buyer.
For the fulfillment module, Safe-EX.comT can provide carrier neutral multi-modal tracking across land, rail, sea & air where status updates on journeys can also be tracked. Safe-EX.comT also allows for convenient and multiple payment modes via telegraphic transfer, cheque, bank draft, direct debit/credit and others, making it attractive and convenient for commerce in the Old Economy as well.
According to Salomon Smith Barney, the e-Commerce business to business (B2B) & business to consumer (B2C) market size in Asia-Pacific (excluding Japan, Australia & NZ) will grow from an estimated US$503 million (2000) to around US$85 billion (2005), a 170-fold increase. This does not take into account E-commerce transactions completed through offline means (for example, fax, telephone) but which may have been initiated through the Internet. The difference between wider offline commerce and E-commerce may be a factor of three times or greater. The result is a market opportunity of around US$350 billion in 2005 for Asia-Pacific alone. [Source: Asian eFeast, SSB Global Equity Research, dated 24/2/00).