Synopsis

Bank of Baroda said its recent data leak resulted from the compromise of a single employee's email account and did not affect its core banking systems. The bank has launched a forensic investigation, informed regulators, and notified a cyber insurance claim while authorities assess the impact of the alleged data breach.

Bank of Baroda says employee email breach caused data leak, systems secure

Bank of Baroda said a recent data leak linked to a reported cyberattack stemmed from the compromise of a single employee's email account after claims emerged that up to one terabyte of data, including customers' Aadhaar details, was leaked on the darknet. The lender said its core banking systems were not affected.

"The bank has robust information security protocols in place. The incident involved compromise of an employee's email account, resulting in unauthorised access to certain data. The matter was promptly identified, and immediate containment measures were implemented. The bank's core banking systems were not accessed and continue to remain secure."

Also Read: Bank of Baroda data reportedly leaked on dark web

The state-owned bank said it has initiated a comprehensive forensic investigation into the incident and is working with the relevant authorities in accordance with regulatory requirements. It added that it remains committed to maintaining information security standards and safeguarding customer interests.

The issue came to light after posts on social media platform X claimed that Bank of Baroda had suffered a potential data leak. The posts alleged that around one terabyte of data, including customers' Aadhaar details, had been accessed without authorisation. Soon after, internet security websites reported that a dataset purportedly linked to the alleged breach had become available online.

The Economic Times reported, citing people familiar with the matter, that Bank of Baroda has notified a claim under its cyber insurance policy following the data breach. The bank has informed lead insurer National Insurance under its cyber insurance programme, which provides total coverage of about ₹750 crore.

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The claim has been submitted as a notice of loss, allowing insurers to begin assessing the incident while forensic investigations continue. Any eventual payout will depend on the scale of financial losses, regulatory action, business disruption and third-party liabilities arising from the data breach.

"The claim has already been reported. At this stage, it is only an intimation while the forensic investigation is underway," a person aware of the development said. The loss limit under the policy is about ₹300 crore, according to another source.

Bank of Baroda's cyber insurance programme carries an annual premium of around ₹6 crore and is backed by multiple domestic insurers and reinsurers. National Insurance is the lead insurer and is responsible for coordinating claims under the programme.