The scam at PNB went unnoticed for years, allegedly because unauthorized transactions were made on SWIFT, which was not linked to the bank’s CBS. Additional steps being taken by banks include instituting better security infrastructure, more frequent audits of internal controls, and review of human resources (HR) policies, including leaves and job rotations. Banks are also planning to put in place one-time password (OTP)-based system to log in to SWIFT, bankers said. “There is no direct interface between the two (CBS and SWIFT) and that is done by manual reconciliation. To begin, there could be a review of the current officers at such positions to understand their expertise and technical knowledge.

Source: Mint February 25, 2018 18:33 UTC