Fed's Dudley Met With Bangladesh Bank, SWIFT on Cyber Fraud

  • Parties exchanged information on cyber vulnerabilities
  • Agreed to pursue recovery of stolen funds and find the hackers

Federal Reserve Bank of New York President William Dudley met with representatives from Bangladesh’s central bank and SWIFT to discuss the February cyber attack in which hackers stole $81 million.

"The parties provided details on the actions taken and exchanged information about the cyber and physical vulnerabilities illustrated by this event," the New York Fed said Tuesday in a joint statement on its website.

In February, hackers stole $81 million from Bangladesh Bank’s account at the New York Fed, which said instructions to make the payments were authenticated by the SWIFT message system, which is widely used by financial institutions. The episode highlighted weak links in the payment network underlying the global financial system, and investigations are ongoing.

"The parties also agreed to pursue jointly certain common goals: to recover the entire proceeds of the fraud and bring the perpetrators to justice, and protect the global financial system from these types of attacks," the statement said.

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