In Bangladesh, a fraud ring has siphoned off BDT 2.7 million from the credit cards of 54 customers of multinational Standard Chartered Bank (SCB) using a sophisticated method. Even though the customers did not use their cards, BDT 50,000 from each account was transferred to various mobile financial service (MFS) accounts, from which the fraudsters later withdrew the money.
The incident occurred in the last week of August. Following the fraud, the bank has temporarily suspended card-to-MFS transfers through bKash and Nagad. After complaints from affected customers, SCB reported the matter to Bangladesh Bank and law enforcement authorities, who have already initiated an investigation.
Victims reported on social media that money was deducted from their accounts within seconds, even though they did not share their OTPs or passwords with anyone. SCB’s technology team conducted a security audit and found no vulnerabilities in the bank’s systems. The bank stated that the issue arose due to the use of the “Add Money” option in MFS apps.
Lutfal Habib, Managing Director of SCB Bangladesh, said, “Fifty-four customers have lodged complaints. Law enforcement and Bangladesh Bank are investigating. Once the facts are confirmed, the culprits will be identified and punished. Meanwhile, transfers from cards to MFS apps have been temporarily suspended.”
The incident has raised concerns among customers and highlighted the urgent need to strengthen security in the banking sector.