SOUTH BEND, Ind. - The FBI is investigating whether an in international ring siphoning funds from local credit union and bank accounts obtained the account information from ATMs owned by 1st Source Bank.
The victims all appear to have used a 1st Source Bank ATM during the first 10 days of May, authorities said.
The bank was alerted to a possible computer breach on May 12 and responded by shutting down its computer system and contacting authorities.
Three weeks ago, 1st Source sent its customers a letter explaining the unauthorized access of its debit card server, during which thieves are believed to have obtained account numbers and PINs from cards used at its ATMs.
Officials at 1st Source Bank did not return a phone call from the Credit Union Journal seeking comment.
Leo Ditchcreek, president of Notre Dame FCU, said a review of the 50 or so members whose cards were accessed from overseas locations in Russia, Ukraine and Spain showed that all of the cards had been used at 1st Source Bank ATMs between May 1 and 9.
He said he is confident the bank’s ATMs are the source of the breach. “We know it,” Ditchcreek told Credit Union Journal.
Meantime, the scope of the breach continues to grow, with at least eight area institutions reporting that accounts had been hacked into, including Teachers CU, Elkhardt County Farm Bureau CU, Chiphone FCU and KeyBank, Michiana’s Finest Bank and E-Trade Financial.
Notre Dame Federal Credit Union’s Ditchcreek said the hackers appear to be using the card information to withdraw cash in small amounts. About $15,000 to $20,000 has been siphoned from Notre Dame Federal Credit Union accounts so far, which the credit union has reimbursed.
“Right now, our main concern is to get all of our members to take a look at their accounts and see if they’ve been affected,” he said.(c) 2008 The Credit Union Journal and SourceMedia, Inc. All Rights Reserved.http://www.cujournal.com http://www.sourcemedia.com
