Question : Online Banking Fraud

(a) whether the cases of withdrawal of money by fraud through internet/online banking have increased in the recent years;

(b) if so, the details thereof during each of the last three years and the current year;

(c) the number of complaints received along with amount of money involved therein during the last three years and the current year, bank-wise and State/Union Territory-wise;

(d) whether the Government has conducted any study/investigation to ascertain the nature of such frauds;

(e) whether the Banks have any mechanism to find out such frauds; and

(f) if so, the details thereof and the remedial steps taken/being taken by the Government to protect the customers form said frauds?

The Minister of State in the Ministry of Finance


(a) to (b): Details of Internet banking frauds, as reported by the Reserve Bank of India (RBI), are in Annex.

(c): RBI has informed that it has no specific information in this regard.

(d) to (f): RBI, vide its circular on “Cyber Security Framework in Banks”, has advised banks to report all unusual cybersecurity incidents to RBI. RBI reviews cybersecurity developments and threats on an ongoing basis and takes necessary measures to strengthen the cyber-resilience of banks. RBI has also advised banks to take necessary preventive and corrective measures address various types of cyber-threats. Caution advices are also issued as and when necessary for preventing and controlling frauds.

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Annex
Lok Sabha Unstarred Question no.†1276 for 22.12.2017 regarding “Online Banking Fraud”
Details of Internet banking frauds
Amount in lakh Rupees.
Period Internet banking
No. of frauds Amount involved
2014-15 203 2,445.80
2015-16 34 175.31
2016-17 133 198.43
Half year Apr 2017 to Sept 2017 58 370.09
Total 428 3,189.63
Source: Reserve Bank of India