Hackers used proxy switch, says Cosmos Bank

ST Correspondent
Tuesday, 14 August 2018

Pune: Officials of the Cosmos Bank suspect the involvement of hackers in which Rs 94.42 crore was illegally transacted through 14,849 transactions from different bank account holders. While addressing a press conference, bank chairman Milind Kale said that the hackers cloned their customers' data and created a proxy switch to carry out the transactions." 

Pune: Officials of the Cosmos Bank suspect the involvement of hackers in which Rs 94.42 crore was illegally transacted through 14,849 transactions from different bank account holders. While addressing a press conference, bank chairman Milind Kale said that the hackers cloned their customers' data and created a proxy switch to carry out the transactions." 

“The entire transaction took place in two hours and fifteen minutes, forcing us to shut down our system. We have found that the amount was withdrawn from different ATM machines in 28 different countries. The hacker has cloned data of our customers to initiate the transactions using a proxy switch. While the transactions have been approved by our system, as per our system logs we have dispensed Rs 94.42 crore and we need to check with different Indian and foreign banks whether this amount has been really withdrawn from the ATM machines by the fraudsters," added kale who said that average reconciliation period is about 2 to 7 days and so within 7 days it is expected to know whether the amount was withdrawn by the fraudsters. 

Kale said that the transactions were executed from Canada. 

"Officials of the Reserve Bank of India, forensic experts and cyber experts are investigating the case. We also have support from VISA and Rupay. From our system logs, we have found that the transactions range from 2,000 to 11,000 dollars. In another suspicious transaction, the fraudster has tried to withdraw Rs 60,000 through six transactions which is not possible. It must be noted that the core banking system has not been affected by the hackers," added Kale. 

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