South Africa’s banks have lost tens of millions of rand after an “unauthorised international organisation” hacked the card details of fast food restaurant customers, according to Payments Association of South Africa.
“There’s not a single bank that hasn’t been affected,” PASA Chief Executive Officer Walter Volker said in a phone interview Tuesday. “We first detected higher volumes of fraud early in the new year.”
The syndicate probably loaded software intended to damage computers onto a server at fast food outlets, before capturing data stored on the magnetic strip of a bank card. It then either produced its own fraudulent cards or sold the compromised data to a third party Bloomberg reports, Volker as saying.
Standard Bank Group Ltd. (SBK), Africa’s biggest lender, is aware of the breach and is trying to limit its potential exposure, spokesman Ross Linstrom said in an e-mailed statement. The fraud affects its debit, credit and check card customers, he said.
Hundreds of thousands of customers have probably been affected by the fraud, which has been traced back to Europe, according to Volker. Some of the stolen funds have been spent using compromised cards in the U.S., he said.
“These guys are quite clever at hiding their tracks because they go through multiple service providers,” Volker said. “The syndicates could be anywhere in the world.”
KFC Security Breach
Yum! Restaurants International, a unit of Yum! Brands Inc., is aware of the software that’s infected point of sale equipment used by retailers in its South Africa KFC stores, according to an e-mailed statement.
“We take this extremely seriously,” the company said. “Our first priority is to make sure that the impact on our customers remains minimal.”
Burger King Worldwide Inc. (BKW), which opened its first South African restaurant in Cape Town …