Sat, Feb 25, 2017 | updated 01:28 AM IST

Security breach in debit cards being probed, says Shaktikanta Das

Updated: Oct 21, 2016 16:10 IST

New Delhi [ India], Oct.21 (ANI): A senior finance ministry official on Friday said that a detailed report has been sought from banks amid fears that millions of debit cards data may have been stolen in one of the country's largest-ever cyber security incidents.

Economic Affairs Secretary Shaktikanta Das said the Reserve Bank of India (RBI) has been asked to investigate the matter.

"We have asked for a detailed report from the banks regarding the hack. The Reserve Bank of India will launch an investigation and so will the finance ministry. On behalf of the government, I would like to say that cyber security is of paramount importance," said Das.

Das further said there was no need to panic over the feared security breach.

"Customers should not panic because these hackings are done through computer and trail can easily be reached. They should not be alarmed or get panicked. Whatever action has to be taken, it will be done with speed," said Das.

Several banks in India are replacing or asking their customers to change security codes of as many as 3.25 million debit cards due to fears that the card data may have been stolen.

Card network providers Visa, MasterCard, and home-grown RuPay run by the National Payments Corp of India (NPCI) swung into action in September after receiving complaints from some banks that their clients' cards had been fraudulently used mainly in China and the United States even though they were in India, said the chief of NPCI, which also runs the biggest network of shared ATMs.

There was a possible compromise of one of the payment switch provider's systems, NPCI Chief Executive A.P. Hota said in a statement. A switch is part of the back-end network aiding ATM operations.

Hota said the card network providers had alerted all affected banks and the advice to banks to replace cards was a "preventive exercise", adding: "Necessary corrective actions already have been taken and hence there is no reason for bank customers to panic."

Of the debit cards affected, about 2.65 million are on Visa and MasterCard platforms, while 600,000 are on RuPay, Hota earlier told CNBC TV18, adding the breach involved some 90 ATMs.

Visa and Mastercard said in separate statements their own networks had not been compromised, but they were aware of the issue and were working with banks, regulators and others to support investigations.

While the potential breach impacts a large number of debit card holders, the number of cards affected accounts for just 0.5 percent of the nearly 700 million debit cards issued by banks in India.

While the NPCI did not name the payment switch provider whose systems it found had been compromised, banking industry sources with direct knowledge said the issue stemmed from a breach in systems of Hitachi Ltd subsidiary Hitachi Payment Services, which manages ATM network processing for Yes Bank Ltd.

The sources were not authorised to speak with media on the matter and so declined to be identified.

Yes Bank said in a statement on Thursday it had proactively undertaken a review of its ATMs and found no evidence of any breach. The bank said it continued to work with other banks and the NPCI to ensure safety and security of its ATM network and payment services.

A Hitachi spokeswoman said it was investigating the matter, including whether there was a malware problem, adding it had no further comment at this time.

State Bank of India, the nation's top lender, said it had blocked cards of certain customers after being informed by card network providers about a breach outside its network and it was replacing those cards as a proactive measure.

The bank has found about 620,000 of its more than 200 million cards "vulnerable", Mrutyunjay Mahapatra, a deputy managing director at SBI, told Reuters, but added he did not expect any significant financial loss.

Complaints of fraudulent cash withdrawals affected a total 641 customers of 19 banks, and the money involved was 13 million rupees ($194,612), according to NPCI.

ICICI Bank, HDFC Bank and Axis Bank - the top three private sector lenders - confirmed in separate statements some of their customers' card accounts had been possibly breached after use at outside ATMs. The banks said they had advised the clients to change their PINs.

Standard Chartered's Indian unit has also begun to re-issue debit cards for some customers, according to messages sent to clients. The bank said it replaced possibly affected cards as a "precautionary measure" to ensure that customers' financial security is not compromised, adding there was no breach across its own network. (ANI)

New Delhi [India], Feb 24 (ANI): Enforcement Directorate on Friday issued show cause notice dated February 16, 2017 to CC Thampi and his three companies including Holiday City Centre, Holiday Properties, and Holiday Bekal Resorts Pvt. Ltd respectively for contravention of provisions of section 6 (3) (b), 6(3)(e), 6(3)(f), 6(3)(i) read with Section 47(3) and Section 6(6) of Foreign Exchange Management Act,1999 for the aggregate amount of Rs. 288 crore.

Full Story >>

New Delhi [India], Feb 24 (ANI-BusinessWireIndia): As the saying goes, "there are no free lunches in the world" yet here is an organisation that proposes to do just that for you. The story of a social initiative in Odisha that aims to encourage and motivate digital transformation of an entire nation.

Full Story >>

London [United Kingdom], Feb.24 (ANI): The third Indo-UK Thought Leadership Awards took place on February 22. Awards were presented to individuals from India and the UK who have been contributing to strengthening bilateral relations between India and the UK.

Full Story >>

New Delhi [India], Feb. 24 (ANI): Businesses in Mexico, China and India are increasingly turning to technology to power successful growth, reveals new global research by Epicor Software Corporation, a global provider of industry-specific enterprise software to promote business growth.

Full Story >>

New Delhi [India], Feb 24 (ANI-NewsVoir): MAX the country's largest International fashion brand, recently launched the third edition of MAX Design Awards. After receiving tremendous response from across, over the last two years, MAX is geared up for its third edition to provide a platform for fashion designing students to unleash their creativity and connect with the world of fashion.

Full Story >>

New Delhi [India], Feb 24 (ANI): Despite an increase in the job market in the first half of 2017, finding the right talent will prove difficult for recruiters due to an on-going talent crunch. This sentiment has emerged from Naukri's Hiring Outlook survey 2017 a half yearly survey conducted to gauge the hiring sentiment across companies and industries.

Full Story >>

New Delhi [India], Feb. 24 (ANI): Online fashion portal, Jabong, announced its exclusive partnership with the leading iconic headwear brand New Era, available for men, women and kids.

Full Story >>

New Delhi [India], Feb. 24 (ANI-NewsVoir): Three members from the Internet of Things group at Next Tech Lab, SRM University won the Industrial IoT-AR/VR Make-a-thon organised by the IESA Vision Summit 2017.

Full Story >>

New Delhi [India], Feb. 24 (ANI): Online holiday portal, Travkart.com, announced the hiring of financial advisory firm, Global CFO, which provides virtual CFO and fund-raising services to companies.

Full Story >>

New Delhi [India], Feb. 24 (ANI): Following the successful solar implementation at Cochin International Airport, Ganges Internationale Private Limited (GIPL), a multifaceted technology company, bagged its second project to install 11MW module mounting structures, thus enabling Cochin airport to be the world's first 'Green Airport'.

Full Story >>

New Delhi [India], Feb. 24 (ANI): India-based Software-as-a-Service (SaaS) player, Djubo, launched an app facilitating property management system for hotels, titled Djubo Cloud PMS.

Full Story >>

New Delhi [India], Feb.23 (ANI): The government, in consultation with the Reserve Bank of India(RBI), has decided to issue Sovereign Gold Bonds 2016-17-Series IV.

Full Story >>

New Delhi [India], Feb.23 (ANI): The Central Board of Excise and Customs (CBEC) has launched a mobile application for Goods and Services Tax (GST) to inform the taxpayers of the latest updates on GST among others.

Full Story >>

New Delhi [India], Feb 23 (ANI-NewsVoir): WittyFeed, world's second largest and India's largest viral content company has also emerged as 20th most visited websites in India surpassing the most major social networking sites Twitter and Instagram being the fastest and youngest company to attain this ranking. The latest Alexa ranking as on 22nd February shows as the 20th most visited website in India. This is an enormous achievement for the viral content website from tier II cities in India called Indore.

Full Story >>

New Delhi [India], Feb 23 (ANI): Mobile wallet major MobiKwik on Thursday announced an investment of Rs. 300 crore for expansion aimed at growing its user base from current 50 million to 150 million in 2017.

Full Story >>

New Delhi [India], Feb.23 (ANI): White Page International recently released the research and jury based listing of India's Most Admired Brands and Leaders 2016-17 with PwC as Process Reviewers.

Full Story >>

New Delhi [India], Feb 23 (ANI-NewsVoir): Ministry of Skill Development & Entrepreneurship (MSDE) and the Wadhwani Operating Foundation (WOF) announced a partnership aimed to empower Government of India's Pradhan Mantri Yuva Udyamita Vikas Abhiyaan on entrepreneurship.

Full Story >>

New Delhi [India], Feb 23 (ANI): Enforcement Directorate on Thursday attached an amount of Rs.1,02,16,000 in case of Kishore Bhajiawala involved in post demonetization frauds.

Full Story >>

New Delhi [India], Feb 23 (ANI): The Reserve Bank of India (RBI) on Thursday announced that it has imposed a monetary penalty of Rs. one lakh (rupees one lakh only) on Sahebrao Deshmukh Co-operative Bank and Rs. four lakh (rupees four lakh only) on Progressive Co-operative Bank Ltd in Mumbai.

Full Story >>

Mumbai [India], Feb.23 (ANI-Businesswire India): The oil palm division of Ruchi Soya Industries Limited at Lunglei in Mizoram recently conducted digital banking awareness seminars to familiarise the farmers with transacting in a cashless economy.

Full Story >>