EAST Publishes European Fraud Update 3-2013

EDINBURGH, Scotland - Nov. 19, 2013 - PRLog -- This is based on country crime updates given by representatives of 19 countries in the Single Euro Payments Area (SEPA), and 3 non-SEPA countries, at the 31st EAST meeting held at Equens SE in Utrecht on 9th October 2013.

Skimming at ATMs was reported by twenty countries, with increases reported by eight countries and decreases by six countries.  The usage of fake ATMs for card and PIN compromise has been reported, the first time such a method has been seen by an EAST National Member, and skimming devices placed on ATMs with dip readers appear to be becoming more prevalent.

ATM related skimming losses continue to migrate away from EMV* Chip liability shift areas.  From January to September 2013 such losses were reported in 38 countries and territories outside of the Single Euro Payments Area (SEPA) and in 6 within SEPA.  The USA is still the top location for such losses, followed by Thailand and Colombia.  For the first time significant losses are being reported in India.  European fraud counter-measures such as geo-blocking, fraud monitoring capabilities and fraud detection continue to improve.

Skimming attacks on other terminal types were reported by thirteen countries, and there has been an increase in attacks on unattended payment terminals (UPTs) at petrol stations.  A major intercontinental network of card fraudsters that carried out attacks on point of sale (POS) terminals has been dismantled in Canada and Europe through a joint police operation.  Operation ‘Spyglass’ has so far resulted in the arrest of 29 people.

Cash trapping incidents were reported by thirteen countries, with three of them reporting related arrests, and nine countries reported transaction reversal fraud (TRF) incidents.  The usage of the cash claw continues for both types of attack.

The trapping of cards at ATMs was reported by seven countries.  Criminals are also using distraction methods to capture cards, typically targeting elderly people.  Six countries reported such attacks.  The criminals observe a genuine transaction, note the PIN, and then distract the cardholder to steal the card.

Ram raids and ATM burglary were reported by ten countries.  Nine countries reported explosive gas attacks and two of them also reported attacks on ATMs using solid explosives.  The overall rise in explosive attacks in Europe appears to be continuing, and their impact is growing.

The full Update is available to EAST members and subscribers and details of how to join or subscribe to EAST can be found at https://www.european-atm-security.eu

ENDS

(Background data on the Fraud Update & EAST follow)

EUROPEAN ATM FRAUD UPDATE 3-2013
The above release is based on a European Fraud Update prepared three times a year by EAST, based on country crime updates given at its meetings.  These Updates are prepared by EAST to provide interested parties with an overview of the European ATM crime situation.  They are produced for EAST National Members, EAST Associate members (including Law Enforcement officers), and EAST Subscribers.  The following countries supplied full or partial information for this Update:
Austria, Belgium; Canada; Denmark; Finland; France; Germany; Hungary; Ireland; Italy; Liechtenstein; the Netherlands; Norway; Poland; Portugal; Romania; Russia; Spain; Sweden; Switzerland; the United Kingdom, Ukraine.

EAST has taken reasonable measures to develop this Update in a fair, reasonable, open, and objective manner.  However, EAST makes no claims, promises, or guarantees about the completeness of the Update.  In addition, as the information in the Update has been passed to EAST by other parties, errors or mistakes may exist or be discovered.  Neither EAST nor its members, authors, or agents shall be liable for any loss, damage, or claim with respect to any such information being provided.  All such liabilities, including direct, special, indirect, or consequential damages, are expressly disclaimed and excluded.

ABOUT EAST
Founded in 2004, EAST is a ‘non-profit’ organisation whose National Members are committed to gathering information from, and disseminating EAST reports to ATM deployers and networks within their countries/regions.  While the main focus of EAST is on ATMs, the group also focuses on all payment terminals that have a direct impact on crime perpetrated at ATM locations.

Our mission is to gather and provide information to the European ATM industry and to facilitate effective representation of ATM related security issues at relevant European central institutions, through a pan-European co-ordination of ATM security resources.

EAST has set up a framework network structure to improve co-operation with industry, law enforcement, and in particular Europol, in order to achieve awareness and better results in the fight against organised cross-border crime.  EAST National Members represent 29 countries with a total deployment of 624,597 ATMs.

The EAST Expert Group on ATM Fraud (EGAF), formed in May 2013, provides a European specialist expert forum for discussion of ATM related fraud trends, fraud methodologies and counter-measures, and for the provision of regularly updated  lists of known devices used for card or PIN or data compromise, for cash trapping, and for lists of known counter-measures. Through a new system of ATM Fraud Alerts EAST is able to communicate important and timely information to its National and Associate Members.

In 2014 EAST plans to launch the EAST Expert Group on ATM Physical Attacks (EGAP) to provide a European specialist expert forum for discussion of ATM related physical attack trends, attack methodologies and counter-measures, and for the provision of regularly updated lists of known counter-measures.

More information can be found at https://www.european-atm-security.eu