The National Consumer Disputes Redressal Commission (NCDRC) has passed an important ruling in which it states that if hackers fraudulently withdraw money from a person’s bank account, the bank, would be responsible for the loss, not the customer.
The Commission blamed the bank for a mistake within their system while passing the judgment in one of the case in which the victim alleged that the money was withdrawn from her account by a hacker. The victim believed that the hacking was due to banks electronic system and the bank should compensate her.
It was observed by the commission that no proof has been provided by the bank which proves that the card of the victim has been stolen.
In one of the other cases, Jesna Jose, the complainant who lives abroad, will also receive around Rs 80,000 in interest and compensation. Jose had submitted the complaint before the district consumer forum in 2009. She said she procured the card in 2007 and the fraud took place in 2008. The commission rejected the bank’s claim because the woman had not taken care of the card and hence she was liable for the fraud.
According to the RBI report, who will bear the loss will be decided by whose fault it is. If there is negligence or mistake on the part of the bank, then the entire loss will be borne by the bank. On the other hand, if the fraud is due to the negligence of the customer, then the customer will have to suffer the loss. In a situation where it is neither the fault of the customer nor the fault of the bank, then if the customer lodges a complaint with the bank within 3 working days of the fraud, then the customer will not be responsible for the fraud.