DIB denies Gulf News report on ATM fraud

DUBAI — The Dubai Islamic Bank said yesterday that it had not fallen a prey to any ATM fraud as suggested by a local English daily. Reacting to a report that appeared in Gulf News on June 11, a DIB official clarified that there were no new incidents of attempted ATM fraud, apart from just two instances which were reported last month when an ATM machine belonging to another UAE-based bank was hacked by fraudsters, and said that the bank blocked the transactions in eight European countries mentioned in the Central Bank’s report on June 2, and not ‘yesterday’ (June 10), as mentioned in the Gulf News report.

By A Staff Reporter

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Published: Mon 12 Jun 2006, 10:18 AM

Last updated: Sat 4 Apr 2015, 7:21 PM

Wassim Saifi, Executive Vice-President, Head of Retail and Business Banking, DIB, said: “As part of the ATM frauds that were reported in newspapers last month, there were only two instances wherein fraudsters had siphoned nominal amounts that involved DIB customers. Besides, these transactions were the result of cards skimming carried out at non-DIB ATMs, a few weeks ago.”

Many UAE newspapers, including your favourite No.1 newspaper Khaleej Times had carried reports on the attempted fraud and the preventive actions taken by banks. On May 24, Emirates Bank detected an attempted data theft at its ATM in Umm Siquem using a micro camera and skimming device. The bank immediately reported the matter to the Central Bank along with the details of the affected banks and customers. The Central Bank circulated a report amongst all UAE banks which mentions details of all cards which could have been potentially compromised owing to skimming devices put up by fraudsters at the ATM.

“In order to protect the interest of its customers, a two-pronged approach was adopted. The DIB first blocked all the card holders mentioned in Central Bank’s report and offered them fresh cards with new numbers. Secondly, in consultation with the authorities and Visa, DIB blocked the usage of its cards in the eight countries where suspected transactions had emanated for all the banks,” Safi said.

Reacting to the new reports, an official with Emirates Bank said they were not aware of any new fraud attempts. “As far as the case relating to incident on May 24 is concerned, we have identified the source of the fraud, and all evidence — including video recordings from the ATM site — have been handed over to the police.” About 10 days ago, the Emirates Bank had tracked transactions to Bulgaria and a few East European countries. Subsequently, transactions to these countries were temporarily blocked.

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