iPay 88 data breach: Forensic investigations ongoing

SHAH ALAM – Cause of data breach on service payment gateway iPay88 (M) Sdn Bhd is due to the card paying system, not the weakness of banking institutions system.

In a statement, Bank Negara Malaysia (BNM) affirmed that forensic investigations were still ongoing.

It also stressed that the financial institutions in the country also adopted strong authentication methods for online card transactions including to immediately notify cardholders for further verification when there were possible risky transactions.

“Therefore, this issue lowers the risk of fraudulent transactions occurring,

“For unverified transactions specifically purchases from sellers overseas, customers will not be held responsible for any fraudulent transactions or unauthorised transactions which may happen following this incident,” they said.

Following the iPay 88 data breach, BNM had instructed all banks to immediately inform affected card holders of additional protection measures that would be taken to continue protecting users from fraudulent transaction risks or unauthorised transactions.

“Banks will also be heightening their fraud risk management and monitor suspicious or fraudulent activities within the involved cards,

“BNM views seriously any incidents that may jeopardise the confidence in the payment systems and will not hesitate to take regulatory action or any appropriate enforcement,”

“This is to ensure the implementation and practice of strong safety controls by financial institutions and to ensure customers receive a fair treatment,” they said.

It was further explained that customers were advised to immediately inform their banks if they notice any foreign transactions out of the ordinary or unauthorised transactions using their cards.

For more information or complaints, please contact BNMTELELINK at 1-300-88-5465 or https://telelink.bnm.gov.my.