$2.7 Million Losses Hit Citigroup After Cyber Crime

Jay Decenella, IT audit expert
June 27, 2011 /

Approximately $2.7 Million has been funneled by hackers in a cyber crime that first compromised customers’ data of the company last month.

In a press statement on Monday, Citi admitted to the said losses that allegedly accounted for 3,400 customers.

Earlier this month, the banking group confirmed that a group of computer hackers have penetrated its servers, stealing bank card data of more than 210,000 credit card holders in USA.

Breaking down the number of compromised accounts based on the states, California accounted for the largest number of affected customers, about 80,454, followed by Texas with with 44,134 and Illinois with 30,054.

Citi provides more than 21 million credit cards that generate more than $77 billion in receivables in North America, making it one of the banking industry’s biggest credit card providers.

The cyber crime affected card data such as account numbers, customer names and contact information of Citi customers.

But Citi added that the hackers failed to gain access to customers’ Social Security numbers, dates of birth, card expiration dates, or card security codes. How these hackers infiltrated Citi’s servers remains unresolved.

The company said in a statement that “roughly one percent of Citi bankcard customers’ account information was viewed.” The figure represented more than 200,000 clients of Citigroup.

The company advised its customers to “review their account statements and to report any suspicious or unauthorized charges” to Citigroup, taking off the liability for the losses from unauthorized use of their accounts.

Additionally, Citigroup has started offering identity theft solutions for free to help customers know what to do in cases where their data has been accessed by third parties.

Citi was previously criticized for reporting the data breach this month when it allegedly took place in May.

 

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