The research focuses on the effect of fraud of the beneficiary of the international letters of guarantee on the international commitment of the bank through UNICITRAL rules for 1995. Article 19 of UNCITRAL illustrates the cases where the guarantor is able to waive the payment to the beneficiary. UNICITRAL rules grant the bank the power to refuse payment when the claim of the client is supported by fake documents and so it keeps the balance between the different interests. UNICITRAL rules grant the bank the discretionary authority of the payment. The bank's role to maintain the confidence in the letter of guarantee and the characteristics of the letter of guaranty, which is independent and separate from the bank’s obligation towards the beneficiary of the letter of guaranty, is taken into account.

In addition to that, these rules affirm the right of the client to take temporary judicial proceedings in the cases of exception from the payment in accordance with Article 19 of UNCITRAL. My research is divided into two sections, the first section is on the concept of fraud, its provisions and conditions according to UNICITRAL and the second section highlights the effects of the fraud on the bank’s commitment and means to protect its client.

I have discussed the rules of international conventions of fraud and abuse of the authority by the beneficiary of the letter of guaranty before and after 1995.

Finally, I referred to the beneficiary fraud in the Egyptian legislation