Reuters on Sun Jan 8, 2012, reported that Singapore DBS bank is paying about S$500,000 ($386,500) to clients as it investigates the biggest such scam to hit the bank. The situation has been contained and it affected 400 customers, Sim S. Lim, DBS’s Singapore country Manager, told reporters.
According to The Star Online on January 10, 2012, Mr. Sim S. Lim said that the preliminary investigations revealed that some ATM machines in Bugis area were compromised.
Singapore’s Minister for Foreign Affairs (MFA) and Minister for Law K Shanmugam said that the Monetary Authority of Singapore will look into this.
Some 400 DBS and POSB customers were affected. The unauthorised withdrawals were made in Malaysia.
This type of fraud is called skimming, which usually involves a device being attached to the ATM card reader at the machine to copy personal data, which is then cloned onto another card.