In the wake of the recent cyber fraud involving the unauthorized transfer of Rs 11.55 crore from Himachal Pradesh State Cooperative Bank, the bank’s Managing Director Shravan Manta has assured customers that their funds are completely safe.
“No customer has suffered any financial loss. All deposits are completely secure,” said Manta.
He confirmed that cybercriminals had hacked the bank’s server and exploited a customer account from the Hatli branch in Chamba district to illegally transfer the funds to multiple accounts. The incident occurred between May 11 and 12, 2025.
Upon discovering the breach, the bank took swift action by informing the Indian Computer Emergency Response Team (CERT-In), the central government’s nodal cyber security agency, and registering an FIR at Sadar Police Station in Shimla. A team from CERT-In has already reached Shimla and initiated a detailed investigation into the incident.
Manta emphasized that the breach was limited to internal systems and did not impact customer accounts directly.
He further stated that the bank has a comprehensive cyber insurance policy in place, which will cover any financial losses incurred due to the fraud. “We are fully insured against cyber frauds. Any financial impact on the bank will be compensated through the insurance mechanism,” he said.
In a significant step to enhance security and operational resilience, Manta announced that the Board of Directors has approved the upgradation of the bank’s Core Banking System to Finacle 10.2.25, a state-of-the-art software developed by Infosys and widely used by India’s leading banks.
“This transition to Finacle will not only enhance operational efficiency but also bolster our cybersecurity infrastructure,” he noted.
An internal probe has also been launched to identify any procedural shortcomings and implement corrective measures to prevent such incidents in the future. Meanwhile, the bank is coordinating with law enforcement agencies and cyber experts to trace the perpetrators and recover the misappropriated funds.
