trending Market Intelligence /marketintelligence/en/news-insights/trending/al5pi7tlbvnyqsvi4fxhww2 content esgSubNav
In This List

Banco de Chile sues Hong Kong firm over stolen funds from cyberattack

Podcast

Street Talk | Episode 94: Recessionary fears in ’22 overblown, Fed could overtighten

Blog

Insight Weekly: Ukraine war impact on mining; US bank growth slowdown; cloud computing headwinds

Blog

Investment Banking Essentials Newsletter April Edition - 2022

Blog

Banking Essentials Newsletter April Edition - 2022


Banco de Chile sues Hong Kong firm over stolen funds from cyberattack

Banco de Chile has started legal action against a Hong Kong-registered company, Ketuo Trade Ltd., demanding that the firm return about $5.5 million that was allegedly siphoned into one of its bank accounts during a cyberattack that hit the Chilean bank in May, La Tercera reported.

The Chilean bank on June 25 started legal proceedings in Hong Kong courts, claiming it has evidence of a money transfer with the sum to Ketuo Trade, according to the newspaper.

Using the international SWIFT system of money transfers, Banco de Chile reportedly has tracked four transactions totaling about $10 million that were sent to companies believed to be based in Europe or Asia.

Furthermore, when the bank detected and contained the activity it was able to stop attackers from stealing an additional $10 million and transferring it to Hong Kong.

Banco de Chile said hackers mainly targeted the bank and not customers, with the attack used only as a distraction; accessing the SWIFT system was the actual goal. Meanwhile, the bank's CEO Eduardo Ebensperger stated the incident has insurance coverage.

Following the attacks Chile's financial regulator SBIF has urged banks to strengthen their organizations' cybersecurity.