Airtel Money loses Sh670 million to staff fraud
SEE ALSO :Firm switches off Telkom over debtThe company said it had enhanced security, including segregating roles, daily reconciliations and enforced technical restrictions on the transfer of funds to non-Airtel accounts. It, however, noted that the risk of fraudulent activities by individuals employed by or working in partnership with the group “cannot be eliminated completely.” “Additionally, technical or administrative errors could result in customer losses for which the group could be responsible, and the group may be liable for fraud and problems related to inadequately securing group payment systems,” explained the telco. Airtel Africa operates across 14 countries in Africa, with its Airtel Money service available to 14.2 million of its subscribers, 26 per cent of whom are in Kenya. Fraud in the telecommunications sector is on the rise. Two weeks ago, two Safaricom employees were arraigned in court for unlawfully copying and transferring private consumer data and attempting to extort Sh300 million from the company. Brian Wamatu, head of Safaricom's regional expansion for mobile money, and Simon Billy Kinuthia denied the charges of copying the data on diverse dates between May and June this year. Safaricom is also seeking to prosecute Benedict Ndung’u who allegedly obtained the stolen data from the two employees.
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