SWIFT Ignored Lax Security In Smaller Member Banks, Say Officials

A special report by Reuters reveals that for years SWIFT was aware of vulnerabilities in the security of smaller banks, which are part of the global messaging group, but neglected it. Some former and current SWIFT officials have admitted the organization did not monitor security of customer terminals, leaving it up to bank regulators.

"They were focusing on other things, and not about the fundamental, sacred role of SWIFT, which is the security and reliability of the system," former CEO Leonard Schrank told Reuters.

Large banks traditionally take adequate care of computer security at their end, but it is the smaller banks which pose a threat, says the news agency.

SWIFT, however, denied the charge: “Today's security threats are not the same threats the industry faced five or ten years ago – or even a year ago – and like any other responsible organization we adapt as the threat changes."

Read details here.