NPCI suspends C-Edge's services after ransomware attack, 200 banks affected
The National Payments Corporation of India (NPCI) has temporarily suspended all retail payment services provided by C-Edge Technologies. This decision was taken following a ransomware attack on the Mumbai-based technology firm two days ago. C-Edge Technologies, a collaborative venture between software giant TCS and the State Bank of India, primarily offers payment services to regional rural banks and cooperative banks. Over 200 such banks have been affected by the attack.
NPCI's rationale behind the suspension
NPCI justified its decision on X, stating that it was a precautionary measure to prevent further disruption in the payment ecosystem. "To prevent a larger impact on the payment ecosystem, NPCI has temporarily isolated C-Edge Technologies from accessing the retail payment systems operated by NPCI." As a result of this move, customers of all banks powered by C-Edge Technologies ,will be unable to access retail payment services like UPI, IMPS, and those provided by NPCI.
Impact and recovery efforts
A senior banker familiar with the situation commented on the overall impact: "In terms of overall volume impact it will be less than 1%, but NPCI had to isolate its systems to ensure the larger banking ecosystem is safe." The banker also revealed that restoration work has already begun and anticipates that the affected banks should resume online operations by tomorrow.
