Cyber fraud costs banks like ICICI, HDFC, Citibank and others 130 cr in 3 years

 Data submitted to FinMin has revealed that cyber criminals have defrauded banks in the country of almost Rs 130 crore in the last three years


MUMBAI: Nearly a month after the Mumbai police busted a Rs 1 crore cyber fraud, data submitted to thefinance ministry has revealed that cyber criminals have defrauded banks in the country of almost Rs 130 crore in the last three years. 

According to a senior finance ministry official, a record 32,928 cases of fraud pertaining to ATMs, debit and credit cards and internet banking were registered in the period involving 50 nationalized and other banks across the country. 

"Most of the banks are from Mumbai and it appears that the law-enforcing agencies have failed to detect the cases. In fact, some of the crucial cases were not entrusted to the specially set up cyber branch or cyber police station. As a result, these are being investigated by ill-trained police officials at police stations,'' the official said. 

The largest number of cyber fraud cases were registered by 
ICICI Bank BSE 1.29 %. As per official information submitted to the ministry of finance, 24,918 cases were registered by the bank in the last three years, totalling Rs 74 crore. Last year, the bank filed 3,428 cases involving Rs 6.76 crore. Citibank followed, with 1,504 cases totalling Rs 6.9 crore, American Express saw 1,231 cases worth Rs 8.16 crore, HSBC 709 cases totalling Rs 1.8 crore, HDFC Bank BSE -0.31 % 525 cases involving Rs 4.09 crore and Standard Chartered Bank registered 511 cases costing Rs2.07 crore. 

Shockingly, it appears that neither the heads of the banks nor the aggrieved customers take cyber frauds seriously or there has been a huge delay in reporting the cases. 

"The RBI has issued stringent guidelines, advising banks to take preventive measures to combat frauds relating to skimming or duplication of credit cards. In addition, specific instructions have been given for reporting cases to the CBI or police, examine staff accountability and complete proceedings against erring staff expeditiously," the official said.