Financial Crime World

Ethiopia’s Commercial Bank of Ethiopia Forms Task Force to Investigate Six-Billion Birr Fraudulent Transactions

In the aftermath of the compromise of Ethiopia’s state-owned Commercial Bank of Ethiopia (CBE), a special task force has been assembled to track down those responsible for the fraudulent transactions that reportedly resulted in a loss of over six billion birr.

The Compromise and Its Impact

  • The bank was allegedly compromised last Saturday night, resulting in the loss of over six billion birr in a matter of hours.
  • The fraudulent transactions affected over 25,000 money transfers and around 66,000 CBE clients.
  • The exact amount of money lost still remains unclear, but transfers valued at over six billion birr took place during those six hours.

The Task Force

  • The task force is made up of security personnel and experts from the National Bank of Ethiopia.
  • Their mission is to identify and recover the ill-gotten funds.

The Suspects

  • University students have reportedly been identified as the majority of those involved in withdrawals and transfers during the system failure.
  • Jimma University and Addis Ababa University have issued statements urging students to return any illegally obtained funds and avoid legal consequences.

Initial Denials and Suspicions

  • CBE initially denied any involvement of a cyber attack but acknowledged an “error in the system.”
  • Some experts suspected an attack on the bank’s digital infrastructure from within.
  • In the recent past, CBE dismissed over 200 employees in connection to fraudulently obtained educational credentials.

Previous Vulnerabilities and Risks

  • The Ethiopian government faced internal sabotage as a national high school leaving examination was stolen repeatedly in the Oromia region.
  • The incident highlighted the vulnerabilities and potential risks to Ethiopia’s government institutions in the face of cyber attacks and organizational weaknesses.

Stakeholder Reactions and Calls for Action

  • Stakeholders are closely monitoring the situation and calling for improved cybersecurity measures.
  • Ethiopians are encouraged to stay informed and protect their financial interests by closely monitoring their account activity and reporting any suspicious transactions to their respective banks as well as the authorities.

Sources

  • Wazema Radio
  • @zborkena (Twitter)
  • t.me/borkena (Telegram)