Card processing companies compromised in $45m ATM theft
Card payment processing companies with operations in India named as weak link in RAKBANK, Bank Muscat thefts
Two India-based card payment processing companies were hacked allowing cyber criminals to steal $45m using fake prepaid credit cards.
According to a Reuters report, EnStage Inc, which operates from Bangalore, and ElectraCard Services, which is based in Pune, were compromised by hackers, which allowed the thieves to increase balances and remove withdrawal limits on pre-paid MasterCard debit cards, which were then cloned and used to withdraw cash from ATMs in 27 countries.
US prosecutors said on Thursday that two card processing companies had been hacked, but did not name them. ElectraCard Services processed the prepaid cards for RAKBANK, which lost $5m, while EnStage, which is headquartered in the US with major operations in India, processed payments for Bank Muscat.
German police have arrested two Dutch nationals for their involvement in the thefts, which took place in December 2012 and February 2013.