By : Azura Abas

KUALA LUMPUR, MALAYSIA: It was not an inside job.

Preliminary investigations by the Association of Banks in Malaysia (ABM) into illegal withdrawals from bank accounts had so far revealed that no bank employee was involved in selling classified information to third parties.

ABM chairman Datuk Seri Abdul Hamidy Abdul Hafiz said legal action, including termination of employment would be taken against any bank employee, if it was proven that there was inside involvement in the illegal withdrawals.

"It is of utmost importance that the public take comfort in the fact that the integrity of the banking system has not been compromised in any manner.

"Customers will be compensated if the security of the electronic banking system has been breached.

"ABM is working closely with all stakeholders, including Bank Negara Malaysia (BNM) and the police to put a stop to SMS and 'phishing' scams targeting unsuspecting customers," he said in a statement yesterday.

Banks have also periodically warned the public of some of the common tricks employed by fraudsters so that customers know what to look out for.

Hamidy said lately most illegal withdrawals of funds were SMS-related.

The investigations have shown that the SMS fraud generally involved victims who received unidentified SMSes stating they had won a cash prize and needed to call a stated mobile number to claim it.

The respondent on the mobile number will then prompt the victim to make an automated teller machine transaction in order to be eligible for the prize.

This ATM transaction involves putting the ATM card into the machine and inputting the ATM number, after which the victim is told to open an Internet banking account using a pin number provided by the fraudster.

The crook will then ask for the victim's 16-digit ATM number, under the pretext of helping the victim log into the Internet banking site for the first time, thus enabling the fraudster to gain access to the victim's bank account via the Internet.

The victim will be asked to create a second authentication pin number which will also be requested by the fraudster for "verification" -- allowing the fraudster to keep checking the victim's bank account periodically from then on (with the help of the ATM card number) and empty it of funds.

Hamidy urged the public to follow two simple guidelines to ensure that no fraudster gets access to one's bank account; never divulge bank account numbers and never reveal Internet security pin codes.

BNM said yesterday that it had received 165 complaints on unauthorised withdrawals last year.

It also stressed the infrastructure for ATM and Internet banking transactions was secure, with security controls and fraud warning systems to detect suspicious transactions at all banking institutions.

BNM is also working closely with the police and the public can lodge complaints by contacting BNMTELELINK at 1-300-88-5465 or email bnmtelelink@bnm.gov.my.

-- New Straits Times / Asia News Network