Banking industry is growing at a rapid rate. With its ever growing speed, it is also adopting technology driven banking model. More and more technology is inducted in banking and financial transactions in India in the form of ATM machines, credit and debit cards, online banking and internet banking, etc.With the growing use of technology for banking business, technology driven crimes have also increased. This is partly due to the increasing penetration of internet and other technologies all over India and partly due to lax cyber law of India.
According to Praveen Dalal, a Supreme Court Lawyer and Leading Techno legal Expert of India, with an Extremely Weak Cyber Law of India, the only other option left to Banking Institutions is the use of Robust Cyber Security and other Techno Legal Measures.
Cyber security cannot be used by banking sector of India till it is systematically used by all the banks and financial institutions. For that a dedicated cell or wing must be established that can take care of issues pertaining to cyber law, cyber security, cyber forensics, etc.
Reserve Bank of India (RBI) has recently shown its intentions to adopt security measures for ATM machines. RBI may also issue guidelines regarding due diligence under Indian cyber law and other laws, cyber security and cyber forensics.
Banks would find it really difficult to ensure legal and regulatory compliances, especially cyber law related compliances, till steps in this regard are taken right now. It would be a good idea to start developing capabilities in this regard right now.
