Bengal Govt asks banks to guard ATMs

The Bengal government asked all banks to ensure that their ATMs were manned within a fortnight.

“The banks have been told that the ATMs would have to be manned 24×7. We’ll carry out an inspection after a fortnight. If we find unguarded ATMs, appropriate action will be taken against the bank,” minister Sadhan Pande said.

“We will draw up cases under the provisions of the consumer protection act,” he said, asked about the nature of the action.

Nearly 80 people are already known to have been robbed of a combined amount of Rs 20 lakh after their ATM cards were allegedly cloned and the data stored in the magnetic stripes gleaned by skimmers. Police investigations so far suggest that all the ATMs where the skimming devices were installed were unguarded.

In the outsourcing model several public sector banks follow, a bank has no role in the installation and maintenance of ATMs. The ATM vendors are paid on the basis of each transaction.

Minister said: “The banks said the functioning of the ATMs had been mostly outsourced. The agencies responsible for running these ATMs appear to be cutting corners for profits.”

“The branch manager should have the phone number of a designated officer from the local police station; he should get in touch with him immediately after a fraud has been reported,” Pande said.

“It appears that most banks don’t talk to one another…. We have volunteered to facilitate a meeting of bank representatives every three months at the consumer affairs department.”