Hacking threats

The Federal Investigation Agency team looking into the massive online fraud last October which depleted the accounts of many customers has launched an investigation which touches 44 countries. The most alarming aspect of the business is that the FIA team has stated that the bank concerned was attempting to hide the details and that this could cover up other loopholes in the banking sector from which cyber criminals could profit. Whereas it had been reported initially that various banks were involved in the fraud, the FIA has said only one bank was hit by the ring of hackers who were based in nations around the world. An international forensic audit expert and other specialists have been hired by the bank to probe the matter.

One of the problems is that while the FIA has sought detailed inquiries from the 44 countries where the hackers were based, it has no agreements on evidence sharing and joint investigation with most of these countries. Investigators have also said that the banking sector is showing a lack of cooperation, perhaps because it fears a loss in confidence by account holders. The Ministry of Finance has already informed the Senate that no customer will lose money as the amounts taken out illegally are covered by insurance. Some banks have also offered advice to account holders on avoiding giving out personal details through email or over the phone.

The hacking incident in October has exposed the need for far greater caution by both banks and those using banking services of various kinds. At this moment, all banks in Pakistan need to cooperate and work together to manage what is a very serious threat. The fact that nations like the UK with far tougher laws on cybercrime are still struggling to manage the problem should be a warning to us. Rather than any attempt to hide information, there must be full cooperation with the FIA team, and assurances given to customers while also developing government-level policies which allow cooperation with other nations to cope with banking crime. We are currently all at risk. This offers a good reason to work together, ensure all banks cooperate and develop new policies and laws to prevent fraud on this scale occurring again.