Have you come across the computer jargon "Trojan Horse"? Have you ever wondered what this is and where this term comes from? The term "Trojan Horse" originates from an ancient Greek myth. In a war between the Greeks and the Trojans (i.e. the people living in Troy), the Greeks constructed a huge wooden horse and hid a selected force of men inside. The Greeks pretended to retreat and the Trojans pulled the horse into their city as a victory trophy. This allowed the Greek army inside the horse to enter the city and open the gates for the rest of the Greek army which led to the final conquest of the city of Troy by the Greeks.
Similarly, a Trojan Horse in computer terminology refers to a malicious computer programme presented as a useful or harmless software to induce users to install it. These programmes can be inadvertently installed by internet users, for example, when they visit certain dubious websites or open attachments to incoming e-mails from dubious sources. Through the use of Trojan Horse planted in the personal computers of internet users, fraudsters may capture screen displays and keystrokes (e.g. to capture the user's login credentials and account information when the user accesses his/her internet service accounts such as internet banking account), steal information stored in, or take over the control of, the user's personal computer.
Such form of internet fraud is growing worldwide, and a small number of suspected Trojan Horse cases have recently been detected in Hong Kong in which during the login process to an internet banking account, a suspicious web page was displayed requesting the customer to input his/her credit card number, card security code, card expiration date and Automatic Teller Machine (ATM) Personal Identity Number (PIN). The customers involved found the web page suspicious and reported the incident to the banks concerned without inputting the requested information on the suspicious web page. No financial loss was incurred by the customers concerned.
Bank customers should stay vigilant to potential security issues including Trojan Horse attacks on their personal computers to avoid compromising their usage of internet services such as internet banking. To safeguard against such attacks, customers should install personal firewall and anti-virus software in their personal computers and keep them up-to-date. They should also avoid visiting or downloading software from suspicious websites, and be wary of opening attachments in e-mails from unfamiliar sources. Bank customers who discover any suspicious web page or any unauthorised transactions in their bank accounts should contact their banks immediately. Further information and advice on internet banking safety may be found on the HKMA website and on the websites of most banks.
So long as both the banks and their customers take appropriate security precautions against attempts to compromise the security of their personal computers, internet services such as those offered by banks are safe to use. Given the ever changing technology landscape and the increasingly sophisticated internet banking fraudulent methods, the HKMA will continue to monitor the development and trend of internet banking services and to review and, if necessary, strengthen the relevant controls where appropriate.
Executive Director (Banking Conduct)
12 November 2010