ATM Fraud and Bank Security

The Register has a fascinating report on how British Banks failed to deal with the fact that phantom withdrawls from ATMs were a real problem, until a man of integrity discovered it and (arguably) saved the system:

“This is the story of how the UK banking system could have collapsed in the early 1990s, but for the forbearance of a junior barrister who also happened to be an expert in computer law – and who discovered that at that time the computing department of one of the banks issuing ATM cards had “gone rogue”, cracking PINs and taking money from customers’ accounts with abandon.”

I posted it on Bruce’s blog today as well:

U.S. Regulators Require Two-Factor Authentication for Banks

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