SWIFT System Exploited for City Union Bank Cyber-Attack in India

India's City Union Bank has admitted to having suffered hacking attacks from international cyber criminals who accept siphoned abroad almost $2 1000000 using iii unauthorized remittances to overseas lenders.

The hackers reportedly exploited the recently-maligned SWIFT financial messaging platform, which was likewise to blame for the mega Rs xi,000-crore fraud involving Punjab National Depository financial institution and Nirav Modi, which was uncovered earlier this month. However City Union Banking concern says its system was hacked by external parties and was not compromised internally as is the instance with PNB.

According to Reuters, the assail was disclosed on Saturday concluding week every bit the bank discovered the iii fraudulent remittances which were sent using bank's correspondent accounts in Dubai, Turkey, and Mainland china. In a phone interview,N. Kamakodi, the Master Executive Officer of City Union Depository financial institution said,

"This is basically a cyber assail by international cyber criminals. He also iterated that so far no show of any internal staff involvement has been found and the depository financial institution is clear now that the account holders are part of this conspiracy."

City Union explained the hack and said that the depository financial institution was able to block i of the remittances valuing over $500,000 was being sent through a Standard Chartered Depository financial institution account to the Dubai-based lender. The 2nd remittance of 300,000 euros ($372,150) was routed through a Standard Chartered account in Frankfurt to a Turkish account. Which is where the scam was caught as the Turkish Bank blocked the transfer from existence finalized.

City Union Bank statement on Swift hack attack

Lastly, the tertiary remittance of $1 million was sent using a New York-based Depository financial institution of America account to Zhejiang Rural Credit Cooperative Matrimony in Hangzhou, China every bit identified by City Union Depository financial institution. Kamakodi said the bank is working with Indian authorities to work with government in the affected countries to investigate the issue. At the aforementioned time, the bank is also strengthening its internal monitoring system.