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Could cyber heist have been even bigger?

Monday, June 06, 2016 - 01:36

Sources close to Bangladesh Bank tell Reuters that hours before the New York Federal Reserve cleared $81 million in fraudulent money requests by hackers, it had identified and identified and rejected the exact same requests. As Reuters' Ryan Brooks reports, those sources say the Fed had enough warning to cancel the fraudulent transfers.

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One of the biggest cyber heists in history could have been a whole lot bigger. Sources telling Reuters that when hackers got away with 81 million dollars from the Bangladesh central bank's account with the New York Fed. They may have been attempting take nearly 2 billion. SOUNDBITE (English) REUTERS CORRESPONDENT, KRISHNA DAS, SAYING: "The new information actually questions the New York Fed's handling of the transactions in early February. Bangladesh Bank sources told us you know the New York Fed had all the all needed flags to cancel these transactions but some of them went through. And that is actually causing a lot of tension between the two central banks." The two sides disagree on exactly what happened. Hackers hit the Fed with two waves of fake transaction requests - 70 in total. The first 35 were all blocked, but four were accepted when the second wave came through. According to Bangladesh, the exact same requests were filed the second time around, so New York should have identified the threat and blocked the transactions like it did first time around. On the other hand, New York says 70 separate transactions were made, and four slipped through the cracks. Either way, the evidence suggests that somewhere along the line, the Fed dropped the ball. Adding to that, Bangladesh says the scale of the attempted hack should have been a red flag. SOUNDBITE (English) REUTERS CORRESPONDENT, KRISHNA DAS, SAYING: "Within a span of four hours- the hackers sent 70 payment instructions to the New York Federal Reserve Bank. The source said that the typical transaction from Bangladesh Bank is less than two per day over the past 8 months." The New York Fed has said there are no problems with its approval process. And declined to comment on whether it was outwitted by cyber criminals.

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Could cyber heist have been even bigger?

Monday, June 06, 2016 - 01:36