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RBI summons executives over forex card breach
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The Reserve Bank of India (RBI) has summoned senior officials of Yes Bank following a significant data breach involving the Yes Bank-BookMyForex multi-currency forex card, two people aware of the development told ET.
Card details and CVV numbers of several users were allegedly compromised. The central bank has sought a detailed explanation of how Yes Bank’s systems may have been breached and the sequence of events that led to the leak of sensitive customer data, the sources said.
“The RBI has sought a comprehensive briefing from Yes Bank’s senior management on the root cause of the breach, the timeline of events, and the adequacy of the bank’s cybersecurity framework,” one of the persons said. “The regulator wants clarity on how sensitive card data, including CVV numbers, may have been exposed and what immediate containment measures have been implemented.”
Yes Bank did not comment on the Reserve Bank of India’s queries but said an internal probe found fraudulent transactions involving 15 merchants in a Latin American country on February 24. About ‘2.54 crore in transactions were approved across 5,000 customers, while 688 unauthorised attempts worth around ’90 lakh were blocked. The bank is working with the card network to initiate chargebacks and ensure affected customers do not suffer any financial loss.
Separately, BookMyForex said it does not store customers’ sensitive card information and that its systems were neither breached nor compromised during the period in question.
The RBI has also sought details on how sensitive card data-particularly CVVs-was stored and protected, whether encryption and security protocols were followed, and why existing cyber controls failed to prevent the exposure. In addition, the regulator is examining the timeline of detection and reporting, the robustness of third-party risk management and oversight, the number of customers impacted, and the steps taken to block cards, prevent misuse and mitigate potential losses. It has also sought clarity on internal accountability, supervisory lapses and remedial safeguards to prevent a recurrence.
