32 lakh debit cards recalled; banks list caution steps

The suspected security breach happened through a malware in the systems of Hitachi Payments Services, which serves Yes Bank. Hitachi provides payment services through ATM services, point of sale services (POS), emerging payments services and banking channel products like cash recycling ATMs and auto passbook entry machines. In light of the incident, Yes Bank’s managing director and chief executive Rana Kapoor underlined the need for a greater vigilance on outsourced work. 

According to bankers, the breach took place in such a way that anyone using the said bank’s ATMs in the region might stand to get affected. SBI deputy managing director and chief operating officer Manju Agarwal explained that the data breach took place between May and July, but was discovered only in September. A statement from the spokesperson of the bank said, “Yes bank has proactively undertaken a comprehensive review of its ATMs, and there is no evidence of a breach or compromise on Yes Bank ATMs.”

Meanwhile, the Finance Ministry has sought details from lenders as also the additional steps that need to be taken to avert such incidents. According to the ministry sources, the Department of Financial Services has sought information about implication of such data compromise from Indian Banks Association.