Anytime Trouble Machine
Open ATMs help banks cut down on cost of building shelters and paying guards. But how safe are they for you and your money?
Yogesh Avasthi and Hemington James
Posted On Thursday, December 09, 2010 (http://www.ahmedabadmirror.com/index.aspx?Page=article§name=News%20-%20Latest§id=2&contentid=201012092010120920002132cb58dbff)
Unguarded automated teller machines are an open invitation for conmen. And Ahmedabad has not one or two, but at least 10 such ATMs in the city. Exposed ATMs helps banks cut down on cost of constructing a shelter and installing a guard, but what about the safety of customers’ money?
Most of the ATMs belong to the State Bank of India. A senior SBI official, seeking anonymity, said, “There are 600 ATM machines in Ahmedabad and half of them belong to the SBI. We do have some ATMs installed in the open. But it is up to the people whether they want to carry out a transaction here. Those who have a problem should stop going to such ATMs.”
He added, “Do not publish such reports. It gives ideas to criminals.”
So, according to him, the problem here is reporting about exposed ATMs not the ATMs itself.
Card theft
There has been an increase in the number of ATM card theft recently. In September, cops arrested ‘friendly’ conman Rajiv Bhatt. The 24-year-old would prowl around ATMs looking for people who had difficulty in operating the system. Once he identified his prey, he would approach them and offer help. He would remember the pin number that the victims told him. He would exchange the victim’s card with one of his fake cards and then use the pin number to withdraw money.
Mirror’s report ‘College student robbed of Rs 14K and cellphone’ on December 2 showed how a 19-year-old student of H L College was robbed of Rs 8,000 cash, a cellphone and two ATM cards by an unidentified man. The accused also withdrew Rs 6,000 from the teenager’s bank accounts. The cops hoped to catch the accused as they had obtained CCTV footage of him withdrawing money from an ATM.
What if the thief had withdrawn money from one of these exposed ATMs which do not have walls and doors, forget a guard or a CCTV camera?
Operational cost
According to a senior bank official, the estimated expense of operating an ATM machine is around Rs 1.75 lakh. “It is not possible for banks to hire so many guards. Also, ATM machines are insured so banks do not lose money. Hiring a guard would cost more. As for conmen, people should use common sense. They must ensure that nobody is watching them while they enter the PIN number or how much money they have withdrawn,” he said.
Collegian Rahul Dhahima uses an open SBI ATM machine at the Gujarat University. “Middle-class families do not keep cash at home. I live in a hostel close to the bank. Keeping money at the hostel is not safe either. But I am always tense while using the ATM as anyone can see me entering my password. They can also see how much cash is being dispensed,” the 23-year-old said.
Jaydeep Mehta, a professional, uses an open SBI machine near Gujarat College. “Such ATMs are risky but we use it in case of emergencies. The account holder has no privacy. A conman or a pickpocket can easily target the users.”
Bank responsible
The matter had been taken up at a regular meeting of the security committee comprising police officers, bank officials and officials from the RBI as well as Intelligence. Despite repeated efforts, senior RBI officials refused to comment on the issue.
“The security of an ATM is the responsibility of the bank that has installed it. There should be proper security arrangements at the centre. CCTV cameras has to be installed. The location of ATMs is important too. People should also be very careful while using exposed ATMs,” said Joint Commissioner of Police (Sector-I) Satish Sharma.
Yogesh Avasthi and Hemington James
Posted On Thursday, December 09, 2010 (http://www.ahmedabadmirror.com/index.aspx?Page=article§name=News%20-%20Latest§id=2&contentid=201012092010120920002132cb58dbff)
Unguarded automated teller machines are an open invitation for conmen. And Ahmedabad has not one or two, but at least 10 such ATMs in the city. Exposed ATMs helps banks cut down on cost of constructing a shelter and installing a guard, but what about the safety of customers’ money?
Most of the ATMs belong to the State Bank of India. A senior SBI official, seeking anonymity, said, “There are 600 ATM machines in Ahmedabad and half of them belong to the SBI. We do have some ATMs installed in the open. But it is up to the people whether they want to carry out a transaction here. Those who have a problem should stop going to such ATMs.”
He added, “Do not publish such reports. It gives ideas to criminals.”
So, according to him, the problem here is reporting about exposed ATMs not the ATMs itself.
Card theft
There has been an increase in the number of ATM card theft recently. In September, cops arrested ‘friendly’ conman Rajiv Bhatt. The 24-year-old would prowl around ATMs looking for people who had difficulty in operating the system. Once he identified his prey, he would approach them and offer help. He would remember the pin number that the victims told him. He would exchange the victim’s card with one of his fake cards and then use the pin number to withdraw money.
Mirror’s report ‘College student robbed of Rs 14K and cellphone’ on December 2 showed how a 19-year-old student of H L College was robbed of Rs 8,000 cash, a cellphone and two ATM cards by an unidentified man. The accused also withdrew Rs 6,000 from the teenager’s bank accounts. The cops hoped to catch the accused as they had obtained CCTV footage of him withdrawing money from an ATM.
What if the thief had withdrawn money from one of these exposed ATMs which do not have walls and doors, forget a guard or a CCTV camera?
Operational cost
According to a senior bank official, the estimated expense of operating an ATM machine is around Rs 1.75 lakh. “It is not possible for banks to hire so many guards. Also, ATM machines are insured so banks do not lose money. Hiring a guard would cost more. As for conmen, people should use common sense. They must ensure that nobody is watching them while they enter the PIN number or how much money they have withdrawn,” he said.
Collegian Rahul Dhahima uses an open SBI ATM machine at the Gujarat University. “Middle-class families do not keep cash at home. I live in a hostel close to the bank. Keeping money at the hostel is not safe either. But I am always tense while using the ATM as anyone can see me entering my password. They can also see how much cash is being dispensed,” the 23-year-old said.
Jaydeep Mehta, a professional, uses an open SBI machine near Gujarat College. “Such ATMs are risky but we use it in case of emergencies. The account holder has no privacy. A conman or a pickpocket can easily target the users.”
Bank responsible
The matter had been taken up at a regular meeting of the security committee comprising police officers, bank officials and officials from the RBI as well as Intelligence. Despite repeated efforts, senior RBI officials refused to comment on the issue.
“The security of an ATM is the responsibility of the bank that has installed it. There should be proper security arrangements at the centre. CCTV cameras has to be installed. The location of ATMs is important too. People should also be very careful while using exposed ATMs,” said Joint Commissioner of Police (Sector-I) Satish Sharma.
