Global Internet security giant, Kaspersky Lab reports an alarming study on the increasing threat of financial cyber attacks. As the global figures rose to 22.49, India recovering from the wake of demonetisation remains under the radar as well.
During the Black Friday, Cyber Monday and the Christmas periods or more specifically the holiday season of 2016, the number of malware encounters in terms of theft and infringement of money, valuables, and classified financial information have reached up to 319,000. The figures reported by Kaspersky shows a 22.49 pc rise over the same period in 2015.
India recently witnessed incidents where hackers gained access to the systems of three government-owned banks — two headquartered in Mumbai and one in Kolkata. Fake trade documents were created that may have been used to raise finance abroad or facilitate dealings in the forbidden article of trade.
Holiday season trap
At end of 2016, Kaspersky Lab analysis over the time frame October, November and December in the previous three years found in their investigation that offenders are attempting to attach their pernicious crusades to particular occasion dates. Examination of the occasion time frame in 2016 demonstrated that last year’s season wasn’t the special case. Oleg Kupreev, the security master at Kaspersky Lab, says information on the progression of assaults demonstrates that budgetary malware administrators attempted to connect their movement to specific dates in 2016, and the Christmas season’s commitment to the quantity of money related vindictive assaults amid this time is unmistakably obvious.
A Juniper Research titled: “Online Payment Fraud: Key Vertical Strategies and Management 2016-2020 discovered e-retail finish the rundown of online extortion with 65% of general episodes assessed to reach $16.6 billion by 2020. Second on the rundown was web based keeping money misrepresentation, making up 27% of cases all around, which is esteemed at $6.9 billion. Aircraft ticketing extortion positioned in at third place with 6% of occurrences making up $1.5 billion.
Indian Banks SWIFT codes compromised
The three banks in India that got subjected to the cyber attack found out that their SWIFT systems have been compromised. The global financial messaging service, SWIFT is a classified bank encoder that assists banks to move millions of dollars and documents across borders every day. The banks remained clueless about the attack or the intention of the hackers before the incident got reported to the Reserve Bank of India.
Following RBI’s instruction, banks now have to match the documents shared through SWIFT with the actual documents in their base or core banking system to find out whether systems have been misused. “It’s possible that some banks may not be aware that an outsider has crawled into the system. Since there is no immediate loss of money, a bank may take a long time to sense that its SWIFT system has been hacked and misused,” said a cyber security professional.
Allegedly, since June 2016, SWIFT systems of four Indian banks have been targeted. In the first case (involving another Mumbai-based public sector bank), the bank had a narrow escape after a large American bank to which hackers had tried to transfer funds suspected that something was fishy. If the hackers had their way, the local lender would have lost USD 150 million – about twice the size of the hit taken by the Bangladesh central bank whose chief stepped down after the cyber heist a year ago.
The study onlookers from Kaspersky have suggested a precautious measure for those who are using credit cards or online banking at the peak season. In India, the National Corporation of India (NPCI), the body that looks after the retail payments in India are yet to figure out a norm to tackle, address or resolve disputes on these cyber attacks.
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