Credit card crime law urgent: Police
Credit card crime law urgent: Police
P.C. Naommy, The Jakarta Post, Jakarta
The government needed to urgently pass new a law on payment
systems to combat rising credit card crime in the country, card
groups and the police said on Thursday.
Existing laws were ineffectual and would leave criminals free
when they should be behind bars, the Indonesian Credit Card
Association (AKKI) and the police said.
"Current criminal laws are not effective to combat crimes
using high technology," said Adj. Sr. Coms. Dharma Pongre Kur, an
officer in the Jakarta Police Special Crime Division.
Without a coherent law, it would be impossible to provide
assurance for credit card holders, AKKI chairman Budy Setiawan
added.
Credit card crime is on the rise here. According to data from
AKKI, credit card fraud cases caused losses of about Rp 60
billion (US$7.1 million) nationwide last year, 50 percent higher
than Rp 40 billion in 2002.
The Central Jakarta Police are currently investigating a fraud
case involving five suspects. This single case alone is estimated
to have involved losses of up to Rp 40 billion.
The police have confiscated 3,900 fraudulent credit cards from
the suspects and a laptop computer containing information about
thousands of credit card owners.
With a device called a "scemmer", a criminal could easily
duplicate credit cards, AKKI risk management coordinator Dodit W.
Probojakti said. A scemmer reads and records all data from a
credit card after it is swiped through a credit card machine.
Criminals could also duplicate cards by using a chip implanted
in a credit car machine or through phone tapping, he said.
However, encryption, or data encoding, could prevent data
theft, Dodi said.
"Data sent through phone lines can be randomized, then made
available to the designated bank after going through an
encryption process," he said.
A syndicate usually used people -- "jockeys" or decoys -- to
hit shops with fraudulent credit cards. "They usually use women
to deceive cashiers," he said.
It was important retail staff were educated so they were aware
of the techniques credit card fraudsters used, he said.
Basic precautions for card holders
1. Memorize your pin number
2. Never reveal a card number, PIN number or password in response
to an unsolicited phone call or e-mail.
3. Guard your payment card number.
4. When it comes to online buying, deal only with a reliable company.
5. Always keep the hotline or customer services number of the
bank issuing the card.
6. Take only cards you are likely to use on any trips.
7. Do not let your card leave your sight while you make a transaction.
8. Make sure that you are holding your own card again after the transaction.