October 21, 2016

Breach Costs Citigroup $2.7 Million

Citigroup Inc. has revealed that around 3,400 of the customers whose credit-card information was hacked have suffered about $2.7 million in losses.

Citi acknowledged the breach earlier this month, saying hackers had accessed more than 360,000 Citi credit card accounts of U.S. customers. The hackers were able to obtain the numbers, along with the customers’ names and contact information.

This is the first time that Citi has admitted that the security breach has resulted in financial loss to customer accounts. Citi said earlier this month that it discovered the breach on May 10 through routine monitoring. More than 360,000 accounts had some information stolen, including names, account numbers and e-mail addresses. Since then the bank has been actively replacing cards and has changed 217,000 cards so far.

Citigroup disclosed the losses when briefing government officials this week about the breach. The size of the losses is a fraction of recent annual totals of $48 billion in identity fraud losses and 9.9 million customer victims, according to data on CreditCards.com.

International Monetary Fund Hit By Large and Sophisticated Cyberattack

The IMF has come under a large and sophisticated cyberattack which could be the work of a “nation state.” According to the BBC, officials at the fund gave few details but said the attack earlier this year had been “a very major breach” of its systems.

The New York Times said IMF staff had been told of the intrusion on Wednesday by an e-mail that warned of “suspicious file transfers” that had been detected and that an investigation had shown a desktop at the Fund had been “compromised and used to access some Fund systems”.

Asked about the reports of the computer attack late Friday, David Hawley, a spokesman for the fund, declined to provide details or talk about the scope or nature of the intrusion, however he did confirm that they were “investigating an incident.”

The International Monetary Fund (IMF) is an organization of 187 countries, working to foster global monetary cooperation, secure financial stability, facilitate international trade, promote high employment and sustainable economic growth, and reduce poverty around the world.