The latest to add to this list is the cyber fraud that happened at YES Bank that resulted in a financial loss of Rs 1 crore. Although one person has been arrested in this regard yet RBI has decided to investigate the matter itself.
RBI would on Monday ask for an explanation from the YES bank regarding the financial fraud that has happened at its branch. This is the second case where the real-time gross settlement (RTGS) system has been abused to perpetuate the financial crime.
According to Praveen Dalal, managing partner of ICT law firm Perry4Law and leading techno legal expert of Asia, the RTGS system involves many security features that cannot be bypassed easily. In RTGS system the payment is initiated only after the customer gives a written request for the same. Further, a two way security check in the form of maker and checker has to be undertaken to approve the funds transfer, suggests Dalal.
Meanwhile YES bank is also investigating the case itself and would come up with an explanation on Monday.