BankersOnline Security Spotlight

When performing risk assessments across the country, I?m frequently asked this question:how often should we change vault combinations?My answer:Even though calling in a locksmith is an added expense, vault combinations must be changed when personnel assigned to vault duty retire, are reassigned, or leave your employment.The fewer people that have access to your vault, the less likely the chance that your institution will have to deal with the problem of internal fraud.
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Welcome to the April Issue of Security Spotlight
Security means always being alert, and expecting the unexpected. Unfortunately, one teller learned this the hard way. Read about her experience and the ultimate conclusion reached by two 'colorful' robbers. The CrimeDex blurb tells about skimming on the rise and a bad check ring broken. Speaking of 'colorful' robbers - read about one very colorful robber in Security Shorts!

A Hard-learned Security Lesson and a Bad End to a Caper
Ambush in the morning... A bank teller in Quarryville, PA, was attacked in an attempted morning-glory robbery on Saturday March 20, 2010, around 7:30 am.As she was getting out of her car, a man came up behind her, stuck something in her back, and ordered her to enter the bank. She assumed he had a gun, although she didn't see it. She told him that she did not have the keys to the bank. He hit her on the side of her head and ran toward a gas station. He is described as a white male in his late twenties or early thirties with a mustache. He was around six feet tall, thin build, wearing a gray sweatshirt, dark pants and dark shoes.

The teller undoubtedly learned a hard lesson that is often repeated in security training, particularly when arriving at work early in the day. Bank personnel should park away from possible hiding places and be very observant of their surroundings to avoid the potential for being ambushed.

No Luck o' the Irish for this character...
The luck of the Irish wasn?t on the side of this bank robber nor was there any pot of gold at the end of the rainbow for this Leprechaun or his accomplice.On St Patrick?s Day, two men, David Christopher Cotton and Jonathan Ryan Skinner, took part in robbing a bank in Gallatin, TN. After deciding against robbing the bank next door, Cotton, dressed as a leprechaun, robbed the First State Bank instead while skinner waited in the getaway car. While attempting to flee in a Toyota driven by Skinner, a police chase ensued, with one of the suspects firing shots at the police from the getaway car. Cotton committed suicide by a self inflicted gunshot, while Skinner was shot and killed by police. Cotton has been identified as the "Bad Santa" bandit who robbed a bank in Nashville, TN on December 22, 2009.

Be sure to check our Bank Robbery page for photos and information on all the latest robbery suspects. Protect your institution by posting signage prohibiting hats, hoods and sunglasses. The effectiveness of this simple sign on your door is unsurpassed. Available now in two different designs in static cling format in the Banker Store.



A Little from All Over ...

A Lovely Robber... -Why does a bank robber wear a mask? Bank robbers don't want to be identifiable. Well, that is a lesson to be learned by William Charles Allen. He is a suspect in several bank robberies. Allen can be identified by his long pink hair. Yes, pink! Allen has confessed to three bank robberies. In his last robbery, he was captured moments after leaving the bank. He left his cell phone there, which had to be taken by the bomb squad and exploded in a controlled area. Allen dyed his hair pink after his other robberies, so he wouldn't be identified as a suspect in those.

Robbers who Warn the Bank they are Coming... -You train employees how to handle a robbery. You consider the armed robber hiding near the building, waiting for an employee to take as a hostage, the robber in the lobby, and maybe even demanding money at the drive up. Now consider Albert "Stealth Brotha" Bailey. He and a juvenile called the bank to say that they should get $100,000 in large bills ready because they were going to be robbed. If they didn't get this money there would be a "blood bath". The employee called 911 immediately. The juvenile was, at that point, in the lobby and handing a robbery note to a teller. The bank was already locked down because of the call. The juvenile asked to be let out with the $900 the teller had given him. As he exited, the police called to him and he ran to the getaway car where both were arrested.

Grandpa Bandit Still at Large -There is a $15,000 reward for the "Grandpa Bandit" who is suspected of six bank robberies in the Medford, OR area.He is no friendly grandpa, however. He threatened to kill one teller as he raised his coat and showed her a weapon in his waistband. The Portland FBI office said that the Grandpa Bandit "earned that nickname because he is older than your average bank robber". He is in his 50s or 60s.

Three Robberies in Four Hours -In the South Shore region of Massachusetts, three bank robberies happened in a matter of four hours. It isn't known yet whether they were all done by the same suspect. In the first, a white male wearing a white hoodie, in his late 20s, handed a note to a teller demanding money. He was armed, but police didn't say with what. He escaped on foot. The second robbery happened three and a half hours later. Rockland police say a man had what he described as a bomb taped to his chest. He demanded money and left a trail of cash as he fled. He was in a gray hoodie. Less than an hour later a third robbery happened. This time it was a man in his 20s.

Stats from the FBI -The FBI released its crimes report. Some points of interest to banks include:

• the time frame when crimes happen most frequently is between 9:00 and 11:00 a.m
• most violations occurr on Friday
• there were 1,312 reported violations of the Federal Bank Robbery and Incidental Crimes Statue. This represents a decrease from the 1,649 reported in the same quarter of 2008
• more information is available from the FBI including a link to the report.

BanditTracker Website -Overall bank robberies are down in the northeast, but the FBI still wants these reports lower and has a new website, BanditTracker NorthEast to publicize the faces of these criminals. There are more web surfers than people in the lobby of the post office. A private company started this in 2007, in Dallas, then later in Little Rock, Indianapolis, Chicago, and Atlanta.

ATM Stolen on a Flatbed Truck -Some bank robberies don't have to happen at the bank. In Smyrna, GA, police were notified at 4:25a.m. that an ATM alarm was going off. The alarm company asked the police to look for burn marks, smoke, damage to the exterior and to make sure the machine's screen did not read "out of order". What the police found was a forklift where the ATM used to be, but this Bank of America ATM had a tracking device on it. (Have you lo-jacked your free-standing ATMs?) Police were able to track the ATM for a short time. They located a stolen flatbed truck believed to have been used in the theft. The ATM was thought to have been dumped in a pond. Bobby Gibson, a police spokesman said, "The suspects didn't get away with any money, but they sure tore up some guy's truck and the ATM."

Debit Cards Skimmed and $50,000 Stolen -On the topic of ATMs, skimming is still popular. As just a few of the recent examples we've read about, in Norwood, OH, police are investigating a theft that started on the weekend of Feb. 27, 2010, and ended three weeks later. In all, more than 120 customers had their debit cards skimmed and $50,000 was stolen. The ATM captured some images as the device was installed and police are investigating.

Woman Seen Installing Skimming Device -In the Village of Goshen, NY, a Bank of America ATM has images of a woman installing a skimming device. It was installed in December and removed a short time afterward. Late February and early March are when customer reports of the theft were received as suspicious transactions were seen at ATMs in New York City and Chicago. At least thirty-seven customers had a total of $25,000 stolen.

More on Skimming...how it happens. -The problem is unfortunately common again. Good Morning America has an article and a video showing more skimmers being used in Daytona Beach, FL. Here the second ATM was marked as "out of order" to increase usage at the rigged ATM. After seven hours, a Bank of America customer suspected there was a problem and notified police. The video shows how cards are skimed and duplicated, and what consumers should do to protect themselves.

Alerts & Counterfeits
March started off with a bang as eight notices about suspect items were received on the first. Thankfully, that pace died down as only ten more reports were received during the month, for a total of eighteen. Two of those were from the OCC and the remainder were from the FDIC.

One excellent reason to watch for these alerts on BOL is the Mega Bank report. They were reporting lost checks that were now showing up in circulation. By knowing this was happening, it would be easy to post an alert for your tellers, providing a detailed description of the checks. It isn't too late to do this now. Go to the Alerts & Counterfeits page and see how easy it is.

Are you interested in what other banks do about these checks? One banker recently started a discussion thread because his institution was getting a hundred calls a day. That will tie up some staff you don't really have the resources for this. Join the discussion at the Private Security forum. This is for bankers only. If you don't yet have access to the Private Forums, using your bank email address, contact cindy@bankersonline.com and request access today.

Skimmer Scams Fuel Concern
CrimeDex alerts about payment card skimming began and ended the month of March. Fuel pumps were involved in each report. To start the month, a report from California announced the arrest of two Armenian nationals in connection with a series of card skimming devices found in gas pumps in the San Francisco and San Diego areas. Near the close of the month, we learned that the Secret Service and California officials are investigating more fuel pump card skimming devices. Those reports serve as a reminder that a crook doesn't need to steal your customer's payment card to compromise your customer's deposit or credit card account, and that your customer's claims of fraudulent transactions shouldn't be dismissed based solely on the fact that the card is still in the customer's possession.

From the opposite coast came an announcement that a major bad check ring operating in Virginia and the Carolinas had been broken. The group of sixteen identified suspects have allegedly been involved in mail theft and fraudulent check cashing for several years, victimizing area banks with stolen or counterfeit business checks. Cooperation between local police and Postal Inspectors will result in federal prosecution of ring members.

Another March alert reminded BOL CrimeDex alert subscribers of the ease with which Telecommunications Relay Service (TRS), designed for hearing- or speech-impaired individuals, can be used as a tool for social engineering and financial fraud. Does your institution have protocols to follow when handling a TRS call, to prevent attempts to compromise your legitimate customers' private information or steal from customer accounts?BOL CrimeDex can be a valuable source of information for your bank's security personnel, who can use it for staff training, as well as for loss prevention and recovery. If you aren't yet a subscriber, consider how your bank might have benefited from getting alerts like these, and check out BOL CrimeDex.

Is he thinking "no good deed goes unpunished"? A "hero" who stopped a bank robber is now suing his bank. He took on an armed robber in the bank lobby. This is just what bankers hope doesn't happen, but there is more, including gunshot wounds. Read all the details in the March 19, blog entry. This story is in the BOL Security Blog.

You may also be interested in some law enforcement cases that involve social networking. The information gleaned from these sites can help identify suspects, and sometimes help police locate and arrest them. More on this is in the BOL Geek Blog.

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