Cyber-robbers hit bank

Northern Ireland`s Northern Bank has been hit by a cunning criminal cash scam, according to a Sunday Life report.

Criminals apparently cracked the bank`s computer systems and took money from one of its automatic cashpoint machines. The undisclosed wad of notes was stolen from a Northern Bank ATM in Belfast, apparently using a stolen card.

But the fraudsters mysteriously managed to hoodwink the money from the bank`s coffers without it being debited from the stolen credit card customers` account.

The Northern Bank, already victim to the biggest cash robbery in UK history, when lb26.5 million was stolen from its Belfast headquarters last December, has now been forced to install new computer software to beat the cyber-robbers.

The Foreign Trade Bank of Russia (Vneshtorgbank) intends to increase its IT budget by 30% in 2006, says the bank`s senior VP, Andrei Korotkov.

RIA Novosti reports that according to a source in the bank, Vneshtorgbank`s 2005 IT budget is $55 million.

"The number of banks will be declining and only banks focusing on up-to-date technology will win," Korotkov says.

Vneshtorgbank intends to make a major investment in cooperation with IT giant Oracle. According to Korotkov, Vneshtorgbank`s agreement with Oracle stipulates the creation of an Internet platform, an integrated decision-making support system and a database control system.

India`s Yes Bank has introduced single PIN and two-factor authentication facilities as part of its retail and corporate Net banking initiatives, reports Sify.

Customers can use the single personal identification number to operate ATMs, phone banking and also for Net banking, which director H Srikrishnan says eliminates the need for multiple personal identification numbers.

Once a customer opens an account, he or she gets a debit card and one PIN number for the ATM, Internet and phone account. As per regulatory requirements, these numbers should be changed later, which also takes care of security issues. "There is only initial access using the single PIN," says Srikrishnan.