Philippine approves expansion of cyber security division

 04 Jun 2016 - 12:26

Philippine approves expansion of cyber security division
A logo of Bangko Sentral ng Pilipinas (Central Bank of the Philippines). Reuters


CEBU, Philippines: The Philippine central bank's policy making Monetary Board has approved further expansion of the cyber security division of its supervision and
examination sector, deputy governor Nestor Espenilla said on Saturday.

The action comes amid reports that more banks have fallen victim to cyber attacks that involved the use of fraudulent SWIFT messages, the same technique at the heart of February's massive theft from the Bangladesh central bank.

Espenilla, who is in charge of banking supervision, also said regulators were looking at tightening regulations for remittance companies and money changers, and regulating virtual currencies to boost efforts to combat money laundering.

The Philippine central bank has revoked the license of Philrem Service Corporation, a remittance company that anti-money laundering investigators said was used to transfer some of the $81 million hackers looted from the Bangladesh central bank.

The Anti-Money Laundering Council (AMLC) issued a complaint against Philrem on April 28, accusing it of creating a fog around transactions and laundering the stolen funds via a web of transfers and currency conversions through Philippine bank accounts, before moving the cash through casinos in Manila and junket operators.

Philrem has denied any wrongdoing.