Nagra Plunkett, Staff Reporter

WESTERN BUREAU:

The Area One Fraud Squad has launched a top-level probe into a sophisticated automated teller machine (ATM) skimming ring operating in Montego Bay, St. James.

A source told The Gleaner that the scam, which dates back to late 2005, has fleeced thousands of dollars from the accounts of customers of one of the island's commercial banks, with the transactions being registered in Montego Bay.

"These criminals went into my account over a period of one week and pilfered more than $300,000," one affected customer told The Gleaner.

"I went into my account about two weeks ago and discovered that my money was gone."

Account frozen

The customer, who is now fearful of withdrawing money from ATMs and conducting point-of-sale purchases, said the account has been frozen by the bank until the matter can be rectified.

The scam involves the use of a portable card reader that is reportedly attached to the front of legitimate ATMs.

Customers unknowingly insert their ATM cards into the skimmer and enter their PIN (personal identification number) codes on the keypads.

The stolen information is then transferred to phoney cards, which are used to withdraw money from the individual accounts. This practice is widespread in the United Kingdom, Canada and the United States.

What is an ATM skimmer?

An ATM skimmer is a portable card reader that thieves attach to the front of a legitimate ATM (Automated Teller Machine).

The ATM skimmer is disguised as a normal ATM card reader. ATM customers are tricked into inserting their ATM cards into the skimmer and entering their PIN (Personal Identification Number) codes on the keypads.

The keypads are either replaced, or a hidden camera is placed to record the customers PIN as it is entered on the keypad.

The ATM skimmer either stores the card data, or uses a wireless transmitter to send it to a nearby receiver. Once the thieves have the data from the ATM card and the PIN, they can create a duplicate card and use it to withdraw money from customers' accounts.

- Source: www.TECH-FAQ.com