Indian bank not fully prepared for tackling cyber attacks: experts.
Cyber security experts raised questions on the preparation of Indian banks for security from cyber attack on Tuesday. The experts said the need of time to create a modern security system Let us know that the hackers have transferred 94.42 crore rupees from the Cosmos Cooperative Bank Limited located in Pune to the country-based bank accounts in two days.
According to Nilkhil Bedi, partner of Deloitte India, the impetuous security system and the ability of quick action on time are essential for all companies and financial institutions, because they are patrons of the customer’s assets including the data and funds. Bedi said in a statement that awareness is increasing, but there are also large number of institutions that awaken only when they have felt licked. This often damages their prestige.
In 2016, the security of the non-SBI ATM network was caused by a malware, after which around 6 lakh debit cards were blocked. According to an estimate, there is a potential risk of leakage of data leaks on more than 30 lakh debit cards issued by all the banks of public and private sector.
Cyber attacks can be executed in various ways today. This can happen by downloading malware in a system or by hacking a web application.
Anshuman Singh, senior director (product management), Barakuda Networks Inc., warns, “This is a big challenge, especially for banks. Banks are not only required for cyber security of data centers or headquarters, but cyber security of ATMs and branches is also important. They are also required to protect the data coming from affiliated organizations. ‘ Barracuda Networks is a US based company that works for data protection.
In the case of Cosmos Bank, hackers developed a proxy switch and pass all fraudulent payment approvals with proxy switching system. Usually Core Banking System (CBS) receives a debit card payment request from the switching system.
According to bank officials, the malware happened on the attack switch system, which was working as a paymaster gateway for Visa / Rupee debit cards. There was no cyber attack on the bank’s core banking system, so the accounts of the consumers and their balance were not affected.
Banking Financial Services and Insurance (BFSI) domain remains the most vulnerable to cyber hazards. Sanjay Katkar, Joint Managing Director and Chief Technology Officer of Pune-based Quick Heal Technologies Ltd, says, “Regulators need to develop Risk Management Framework, which includes adequate Threat Response Strategy and all the other The steps have already been decided. ‘
Katkar said, “It should be mandatory to appoint Chief Information Security Officer for all institutions of BFSI domain. Apart from this, the sector should also regularly monitor the security protocol as well as its capacity for quick action.