Aditya Birla Capital Ltd.'s money management subsidiary was breached on June 9, with digital gold worth around Rs 2 crore sold from over 400 accounts. The company detected unauthorized access to digital gold worth Rs 1.95 crore from 435 accounts.
Officials from Aditya Birla Capital Digital (ABCD) said that These holdings were restored to affected customers soon after. According to them, corrective action was also taken to freeze fund transfers across multiple bank accounts and that the technical vulnerabilities around cyber hack had been resolved since.
An investigation is still going on to find the perpetrators of the cyber hack. ABCD said that it is working with cyber insurance partners, law enforcement and CERT-In to ensure implementation of corrective actions.
A first information report was lodged in Mumbai following a complaint by ABCD, after which, the Central Region Cyber Police launched an investigation into the issue. The perpetrator was found to have hacked into ABCD's application programming interface and its server, and then bypassed the mandatory OTP verification process to transfer the digital gold.
When customers reported the transfer of their gold assets without due authorization, ABCD temporarily suspended the digital gold selling feature. All the digital gold services are secure and live on the platform now, ABCD officials confirmed.
ABCD said it buys and sells digital gold through a government-authorised entity and all its transactions are processed via Razorpay.
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