C-Edge technologies’ breach isolates banks from national network, affecting 0.5 per cent of payment volumes
A ransomware attack on C-Edge Technologies, a provider of banking technology systems, has forced payment systems across nearly 300 small Indian local banks to shut down temporarily, sources told the media.
The attack, which has disrupted the operations of C-Edge Technologies, has led to a temporary halt in payment systems for banks serviced by the firm. C-Edge Technologies has not responded to an email seeking comment on the situation.
The Reserve Bank of India (RBI), which regulates the country’s banking and payment systems, also did not respond to a request for comment from Reuters.
The National Payments Corporation of India (NPCI) confirmed the impact, stating, “Customers of banks serviced by C-Edge will not be able to access payment systems during the period of isolation.”
In response to the attack, nearly 300 small banks have been isolated from the broader national payment network to prevent any wider repercussions, according to sources who are officials at a regulatory authority. “Most of these are small banks and only about 0.5 per cent of the country’s payment system volumes would be impacted,” one of the sources added.
India has approximately 1,500 cooperative and regional banks, primarily operating outside major cities. It is these banks that have been affected by the ransomware attack, the sources noted.
The NPCI is currently conducting an audit to ensure the attack does not spread further, a second source confirmed.
In recent weeks, the RBI and Indian cyber authorities have warned banks across the country about the heightened risk of cyber attacks, according to banking industry sources and a regulatory official.
