The Great Bank Account Heist: 3,500 Accounts Suspected in Scam Scandal

In the context of complex scams and property appropriation, Military Commercial Joint Stock Bank (MB) has recently introduced a new feature to detect fraudulent account information. Since the end of June 2024, when customers make a money transfer, the MB system will quickly check and cross-reference the account to see if it is on a suspicious list. Customers will receive an on-screen alert when transferring money to dubious accounts on the “black” list and can then decide whether or not to proceed with the transaction.

In addition, MB and the Department of Cyber Security and High-Tech Crime Prevention (A05), Ministry of Public Security, update the list of all accounts involved or implicated in fraudulent activities nationwide. This “black” list of bank accounts is updated continuously and, as of now, has reached 3,500 accounts, an increase of 500 accounts since the end of July.

According to Mr. Vu Thanh Trung, Vice Chairman of the Board of Directors in charge of Digital Transformation at MB, this is just a list of suspected accounts, including both actual scam accounts and those that are merely suspicious.

MB’s leadership also stated that the bank clearly warns customers before transferring money that the recipient account is on the suspicious list. In July 2024 alone, when this feature was first introduced, MB warned 2,700 customers, and 1,500 of them proactively halted their transactions after receiving the warning.

Earlier, the State Bank of Vietnam (SBV) issued Circular No. 17/2024/TT-NHNN (Circular 17), which took effect on July 1, regulating the opening and use of payment accounts at credit institutions providing payment services. According to Article 22 of Circular 17, by the 10th of each month, banks and branches of foreign banks in Vietnam must provide the SBV with information about accounts showing signs of fraud, deception, or violation of the law.

The updated list of individual customers with suspected payment accounts related to forgery, fraud, or deception includes: customer code (CIF), identity document number and type, full name, date of birth, gender, nationality, account number, account opening date, registered phone number for e-banking services, reason for suspicion, account status, and unique device identifier (MAC address).

The information must be provided electronically by the 10th of each month through the technical support system for management, supervision, and fraud risk prevention in payment activities of the State Bank.

The Department of Cyber Security and High-Tech Crime Prevention (A05) has implemented a solution to connect with commercial banks and intermediary payment organizations to establish an online information system.

Thus, information about suspected fake, fraudulent, or deceptive accounts from the police units will be notified to the banks, which can then immediately suspend online transactions for those accounts.

According to the Circular, signs of suspected accounts related to forgery, fraud, or deception that banks must report include: information in the account opening dossier of the account holder does not match the individual’s information in the National Population Database; the payment account is advertised, bought, sold, or traded on websites or online groups; the payment account receives money from multiple other accounts and is then immediately transferred or withdrawn (leaving no or very little balance).

At the same time, a payment account that has received money from more than three accounts on the list of suspected fraudulent accounts; a payment account with abnormal transactions, such as unusually large transaction values or volumes that are inconsistent with the account holder’s profession, age, residence, transaction history, and behavior; and a payment account with abnormal transaction locations, times, or frequencies.