Sunday 9 March 2008

Hi-Tech Thieves Steal PINs

An international gang of fraudsters is ripping off bank customers at ATMs across Sydney, using high-tech devices to copy card details and access their accounts.

More than 100 customers of one bank lost money after their cards were "skimmed" at ATMs.

The crooks place dummy card scanners over the slot where cards go into the ATM to read the card's magnetic strip. Tiny cameras are hidden above the ATM to record the secret pin number being punched in.

St George Bank had to call up to 100 customers last week to tell them their cards had been cancelled as they had probably been skimmed.

Arncliffe pensioner Annette Cruger was told by St George Bank's fraud section her account had been illegally accessed in Canada over the weekend and $1100 had been stolen.

"The bank said they had to call 80 to 100 customers who had been 'skimmed' at ATMs and the bank had to cancel their cards to stop more money being stolen from their accounts," she said.

"The bank did not seem to know where the card had been skimmed as they asked me which ATMs I normally use so they could cross-reference it with others who had been skimmed."

Fraud squad head Detective Superintendent Col Dyson said his squad busted an international skimming gang of Bulgarians two years ago who had plundered $1.6 million from 600 accounts, but he could not say if the same gang was back.

Seven gang leaders escaped the police net and fled to Canada where they raided Australian accounts at ATMs around Toronto using cards copied from the Sydney operation.

Superintendent Dyson said even more high-tech skimming devices were appearing overseas which use a touch sensitive cover over the keypad to record the pin numbers, transmitting the code to a laptop computer up to 100 metres away.

Detective Sergeant Peter Meagher said the skimming devices were cleverly disguised.

But all the experts agree there is a perfect low-tech solution to the high-tech crime: shield your hand typing in the pin code so the hidden camera can't see it.

How it works

1. Crooks attach covering to top or side of ATM cabin to that contains a tiny camera to record the secret pin code being punched in the keypad.

2. Attach replica of slot opening where card is inserted which reads the magnetic strip and stores it before it goes into ATM.

3. Overseas crooks are using keypad covers that transmit the numbers to a laptop up to 100 metres away.

4. Crooks retrieve devices after 20 to 30 uses, copy magnetic strip data onto blank card and use secret pin number to access account.