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Bangladesh bank governor resigns after $81m hack

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Governor criticised after failing to inform officials about the massive cyber-theft, allegedly by hackers in Asia.

 

The central bank governor submitted his letter of resignation on Tuesday after hackers allegedly stole $81m of government money from a US account and he failed to sound the alarm over the massive cyber-heist. Central Bank Governor Atiur Rahman told reporters he was "ready to resign from my post for the sake of the country".

 

Preliminary investigations suggest that hackers accessed Bangladesh Bank's computer systems and stole key information in order to pull off the brazen electronic theft. Another $20m was transferred to an account in Sri Lanka, but that money has been recovered, officials said. The US Federal Reserve Bank in New York transferred $81m from Bangladesh's bank account on February 4 into the accounts of four men in the Phillipines, after receiving what appeared to be legitimate transfer orders.

 

The governor has been strongly criticised in recent days for failing to inform the finance minister about the huge loss, which only came to light following news reports in the Philippines - one month after the money was illegally transferred. "I am very unhappy about the handling of the matter by Bangladesh Bank - very incompetent," Finance Minister Abul Maal Abdul Muhith said on Sunday.

 

Bangladesh's government said last week it will sue the Federal Reserve Bank of New York for failing to prevent the theft. But the bank announced on its Twitter account that "there is no evidence of attempts to penetrate Federal Reserve systems and no evidence Fed systems were compromised".

 

SOURCE

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