Hackers use new tricks to clone ATM cards in Delhi

Cheats in city are making multiple copies to clean out accounts in minutes.

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In Short

  • Around 10-12 calls pertaining to card cloning are received by the control room every day
  • Users should opt for chip-based cards, as these have added layers of safety: Experts
  • Physically check the keypad and the card swiping area to ensure any overlay

Cloning technology has come a long way since the days of Dolly the sheep. Now fraudsters in the city have taken their version of this craft to the next level by making multiple copies of bank cards and emptying out accounts within moments.

Last month, a 72-year-old woman in East Delhi's Shakarpur received 18 messages of cash withdrawal from her bank in 12 minutes. By the time she could react, Rs 2.3 lakh had been snatched out of her account from different locations, all outside the city. Her debit card was cloned and multiple duplicates were created to usurp her savings.

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This is not the only case of its kind that is being investigated by the police. Crimes with similar modus operandi have recently been reported from South Delhi's Safdarjung Enclave where a man was duped of Rs 3 lakh, while a 40-year-old woman was looted of `1.5 lakh last month at Nehru Place, also in South Delhi. Sources in Delhi Police said at least 10 to 12 calls pertaining to card cloning are received by the department's control room every day. And a big challenge investigators are facing these days is multiple cloning.

"Multiple cloning helps hackers make several transactions in a very short time. It helps the conmen take out huge amounts of cash before the victim gets the card blocked," a Delhi Police officer said. Investigators have not ruled out the involvement of private security guards manning automated teller machines (ATMs) as well as the operators of the kiosks and swipe machines at various retail outlets.

They said usually transactions are made from secluded or unmanned ATMs where CCTV cameras are often found to be non-functional. "The ready availability of skimming contraptions is a key cause behind the growing instances of ATM frauds," Delhi Police spokesperson DCP Madhur Verma said. "The web of skimming devices used to clone cards is spread all across Delhi and NCR. Alertness of users is very crucial in preventing such frauds."

He added that during the probe if the person the card belongs to turns out to be innocent, the money is refunded by the bank on getting assurance from Delhi Police. The amount is insured by the bank and after the victim submits a claim form, the funds are restored in the account.

Several bank officials, however, put the onus on the customers. A senior executive in a public sector bank, requesting anonymity, told Mail Today that most of the times it turns out that the customers were at fault as they tend to handle their cards carelessly and also share their PIN with phoney telecallers only to become the target of fraudsters.

Explaining the functioning of skimmers, cyber expert Rakesh, who goes by one name, said, "Card skimming is the most elementary form of identity theft, typically involving an electronic machine that can be placed inside data and then replicated onto fake cards. It can also involve a small video recorder being placed on the machine to read the victims' PIN codes."

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The hackers install a scanner to copy the magnetic strip of the bank card. Usually, a green box is attached in the ATM meant for inserting the card. A genuine device also has a blinking light. A crook brings a similar looking, slightly larger, device that fits over the green box. It flashes a similar light and fools the user. When a card is inserted, the apparatus immediately scans and copies the magnetic strip.

The scanner is rechargeable and is wireless. It has unlimited storage capacity depending on the external memory used with the device.

The second step is to place a micro camera, often above the PIN keypad. A basic tiny camera with resolution of 2 MP is sufficient to record the codes being entered by the users. These cameras are also available online, starting at a price of just Rs 2,500. There are also wireless ones that can be fitted with double-sided adhesive tape. These devices have battery backup of 2-3 days.

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Officers who have arrested such conmen recently told Mail Today that the hackers are buying the skimmers from shopping portals for a mere `8,000 and installing them in the ATMs or point-of-sale (POS) machines.

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