PETALING JAYA: Financial institutions in Malaysia are exploring mechanisms that will enable mobile banking applications to effectively detect and take corrective measures on devices infected by malware.
Industry Task Force on Measures to Combat Financial Scams chairman Datuk John Chong said this is among the additional means and measures being looked into by the banking sector to protect and safeguard their customers.
"We are currently exploring this means to enable mobile banking applications to detect whether the devices are infected with malware or otherwise.
"If malwares is detected in these devices, we can then access options to protect customers by perhaps limiting their banking access or something similar.
"This is still a work in progress," said Chong, who is also Maybank group chief executive officer of global banking.
He was speaking at the #Jangankenascam Fraud Workshop for media professionals at Menara Kenara TTDI here today (March 7).
Other presenters included Malaysian Communications and Multimedia Commission (MCMC) commission member Derek John Fernandez, Commercial Crime Investigation Department's Corporate/Financial Crime Investigation Division principal assistant director Senior Assistant Commissioner Koh Seok Keng and New Straits Times executive editor Sharanjit Singh.
Chong said that banks in the country have implemented security measures. These measures include preventing the sending of SMS or emails with hyperlinks, ensuring that mobile applications operate only on secure versions of devices' operating systems, introducing kill switches, and implementing secure authentication methods at automated teller machines.
"In our efforts to holistically tackle financial fraud on a wider scale, banks will implement similar fraud countermeasures for non-retail banking segments in the coming months, under the guidance of Bank Negara Malaysia.
"We will enforce strong multi-factor authentication (MFA) and a cooling-off period for any MFA activation of third-party transfer limit increase, with timely customer notification," he said.
Throughout last year, he said, banks in the country have blocked and prevented RM383 million worth of suspicious and fraudulent transactions.
At the event, Sharanjit said it was time for all quarters, including the authorities and financial institutions to move beyond educating and spreading awareness to the people about the dangers and losses of online scams.
"I am not here to cast doubts or point fingers at anyone. However, we have been talking about educating people on the dangers of online scams.
"I believe it is time to move beyond just educating the people because they know what happens when they get unsolicited calls.
"It is time for greater enforcement or tougher legislation being put in place," he said.
He added that the media will continue to play its role in highlighting cases and issues surrounding online scams.
"There will be greater investigative journalism put into play to expose what is happening in the country," he said.