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Wednesday, June 7, 2017 - BPI suspends transactions due to glitch
Bank of the Philippine Islands (BPI)
Source -
Where - Philippines
Business line - Corporate Services

A major Philippine bank was forced to suspend all online and ATM transactions when money went missing from customer accounts this week.

Customers at Bank of the Philippine Islands (BPI) feared their accounts had been hacked when money was withdrawn and transferred without their approval. However, the bank released a statement saying the issue was caused by an internal data processing error, not a malicious cyber incident.

All ATMs were closed and eight million customers were not able to access internet banking as the bank tried to fix the issue.

At a press conference, BPI senior vice president Cathy Santamaria told customers not to panic, adding that the bank would “make sure that your money is there.”

The bank later said the efforts to fix the issue were progressing well, but no real explanation was given for why it occurred – leading many to speculate that it might have been the result of a hack.

Nestor Espenilla, governor of the Philippine Central Bank, said they would accept BPI’s explanation for the event "for now", but added that an investigation would be taking place.

“We have no reason to believe otherwise at this point of time, but as I said this is standard operating procedure, we always verify every incident that we are aware of,” Espenilla said in a radio interview.

“For now I think it's important that BPI resolves it as quickly as possible. We take their assurance that this is not a hack and no money will be lost.”