Page 5 - Banking Finance June 2020

BANK UPDATE

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Karnataka Bank Managing countries are reeling under the impact to avail the moratorium. “As an addi-
of Covid-19 pandemic, which originated tional benefit for downloading the app,
Director gets 3-year exten- in China’s Wuhan province. the customer could be promised at

sion least three more months of morato-
Pursuant to the approval from RBI, the Banks to be more vigilant rium,” said Ratolikar.
board of directors of Karnataka Bank to prevent online frauds The app, on the pretext of getting
have reappointed P Jayarama Bhat as downloaded, will also install a virus,
With the announcement of 3 month
part-time (non-executive) Chairman to malware or a Trojan on the phone,
loan moratorium by RBI, there can be
hold office up to November 13, 2021, which will capture and communicate
rise in online banking frauds.
and Mahabaleshwara MS as Managing the customer’s keystrokes to the
Director and Chief Executive Officer of “The EMI moratorium has just begun. fraudster, who can then initiate a
the bank for a further period of three While we haven’t observed anything transaction with an SMS OTP (again
years with effect from April 15. per se, one has to understand what obtained from the customer).
could happen proactively. We have to
People's Bank of China start an awareness campaign,” said The third modus operandi is social-
Sameer Ratolikar, Executive Vice-Presi- media phishing, where the fraudsters
now holds 1.1% of HDFC dent and Chief Information Security track the Twitter and Facebook ac-

People’s Bank of China has entered the Officer at HDFC Bank. counts of banks to find out customer
exclusive club of foreign portfolio inves- grievances.
“Banks will always communicate
tors (FPIs) with over 1% stake in HDFC
through official channels, but they will
as at March-end 2020 . never ask you to disclose personal cre- Union Bank reorganizes
PBoC, which is China’s central bank, dentials,” he asserted. after merger
now owns 1.01 per cent (or Fraudsters could choose between three Union Bank of India, announced the roll
1,74,92,909 equity shares) in India’s or four modus operandi. One, they may out of its new, combined organisation
largest standalone housing finance reach out to the customer about EMI structure that includes 18 zonal offices
company. At closing price of Rs. 1,701, moratorium on credit card bills and and 125 regional offices.
the value of PBoC’s shareholding in seek card details. Once the customer This roll out follows the amalgamation of
HDFC is Rs. 2,977 crore. discloses this by call or text, the Andhra Bank and Corporation Bank into

According to reports, Chinese financial fraudster could next ask for the OTP Union Bank of India with effect from April
institutions are picking up stakes in and make a transaction. 1. The public sector bank, in a state-
companies across the world. This Alternatively, customers may be asked ment, said four new zonal offices have
comes at a time when majority of the to download a mobile app sent by a link been established across Chandigarh,

BANKING FINANCE | JUNE | 2020 | 5