The Reserve Bank of India (RBI) on Saturday imposed a hefty fine of Rs 65 lakh on Andhra Pradesh Mahesh Co-operative Urban Bank (AP Mahesh Co-operative Urban Bank).
New Delhi. Andhra Pradesh Mahesh Co-operative Urban Bank (AP Mahesh Co-operative Urban Bank), a co-operative bank based in Hyderabad, has suffered a major setback. In fact, the Reserve Bank of India (RBI) has imposed a fine of Rs 65 lakh on the bank on Saturday. RBI has imposed penalty on the bank under the provisions of Cyber Security Framework for Primary (Urban) Co-operative Banks. Hyderabad Police gave this information on Saturday.
The RBI imposed a fine of Rs 65 lakh on AP Mahesh Co-operative Bank after a cyber audit and a Hyderabad police probe revealed critical “flaws” in the bank that allowed hackers to gain access to the bank’s systems through “lustful mails”. In January 2022, Rs 12.48 crore was taken out.
Flaws detected in cyber audit and police investigation
Hyderabad Police said in a statement, “An extensive cyber audit of the RBI and the police investigation revealed significant lapses in the bank that led to the breach. This is the first time that such action has been taken against a bank. To protect government money and important data, all banks should follow cyber security rules to avoid such losses.
Several criminals including Nigerian nationals were arrested
A case was registered after the incident of cyber fraud was reported by AP Mahesh Co-operative Urban Bank. Police said that during the investigation of the case, several criminals including citizens of Nigeria were arrested.
