Financial watchdog wants thorough investigation by Standard Chartered on unauthorized card transactions

Hong Kong’s financial watchdog said they have requested Standard Chartered to conduct a thorough investigation after receiving complaints from the bank’s credit card holders that their card data were stolen for unauthorized transactions.

This came after dozens of Standard Chartered credit card holders complained that their card data have been stolen after receiving messages of unknown transactions. The victims said they received several phone messages of unauthorized transactions, each worth a few US dollars.

The Hong Kong Monetary Authority said it immediately followed up with the bank to make sure effective measures were in place to safeguard clients’ interests.

It has also requested the bank to enable better communication with clients and conduct a thorough investigation into the incident.

According to the Code of Banking Practice, if a cardholder has not acted fraudulently or with gross negligence, the holder is not responsible for an unauthorized transaction.

Standard Chartered responded yesterday through local media saying it saw an increase in suspicious credit cards transactions recently.

In addition to sending alert messages to card holders, the bank "immediately strengthened the relevant monitoring system and measures to protect customers."

"Customers can also block the credit card through SC mobile or online banking if they discover an unauthorized transaction, as well as dispute the transaction within one month and the bank will contact the customer to follow up and investigate," said the spokesman.

The Hong Kong Monetary Authority has so far received 348 complaints related to unauthorized credit card transactions this year.