Technology company Productive Business Solutions Limited (PBS) is pushing to introduce enhanced automated banking machine (ABM) security solutions that utilise a type of security ink as it proposes new ways in which local banks can respond to the surge in physical attacks on their machines seen over the last year.

The Intelligent Bank Note Neutralisation System (IBNS) technology which PBS general manager Vennis Williamson disclosed to the Jamaica Observer is being seriously eyed, is one that would come as a new security solution in the local financial landscape.

The technology which is already popular in some parts of North America, she said currently provides a high level of deterrence against ABM theft with theft reduction rates of between 80-90 per cent in countries where its services are now deployed. This, as the solution’s security mechanism, uses a special type of security ink to splash/stain banknotes stashed in stolen machines thereby rendering the cash worthless to criminals who steal ABMs.

The ink, which experts say offers maximum protection, cannot be washed out as once activated, the banknotes become permanently marked and neutralised. As a defected tender, only the legal owner of the cash, in this case the Bank of Jamaica (BOJ), would be able to exchange or authorise exchange of the neutralised banknotes, thus allowing the IBNS technology to offer a high level of security with no loss of value.

To this end, the system is being touted as a safe and credible solution that can make local financial networks more robust, compliant and aligned with industry standards as it helps to safeguard customer funds while maintaining a higher level of public trust in financial institutions.

Physical attacks on ABMs, which have become pervasive in the last year, sees criminals outside of their direct attacks on cash courier services, using explosives and other tactics to rip out machines to gain access to the cash inside. When compared to logical attacks in which devices are attached to ABMs to steal card/customer information, the former calls for quick response as the loss of high volumes of cash is oftentimes untraceable and irreplaceable.

“When criminals try to access these machines in an unauthorised way, with IBNS, the system becomes triggered and through some specific security response measures, the ink staining will begin to damage all the notes contained in a stolen machine. Based on the systems which would be put in place, similar to what obtains for counterfeit notes, persons found in possession of these notes will have to give an account of how they’ve come by the cash, making it a deterrent for the theft of ABMs, since this type of cash would come under a higher level of scrutiny,” Williamson told the Business Observer.

Utilising a 360 approach to assess the applicability of this solution, PBS working with its partner NCR Atleos, an international financial solutions company, the general manager said is now locked in a process of consultation with all stakeholders including the financial industry regulator, other ABM service providers, financial institutions, and the Jamaica Bankers’ Association as it seeks to secure the necessary regulatory approvals and buy-in before the service can be rolled-out in the local market.

“We have spent a bit of time demonstrating what that looks like as well as what will be required of all the parties in play and how it can be instituted from the ABM level to the different points from which the cash is handled. There will also need to be a level of sensitisation that is done to ensure that the public and all other stakeholders are aware of what will happen under this system, especially since the theft of ABMs and other forms of lawlessness emerges among matters of national and financial system insecurity that should not be taken lightly, as it can reflect very negatively for our country on the international stage, exposing vulnerabilities in our system,” Williamson noted.

She said that while discussions about whether to adopt the measure remain ongoing at all levels, a high level of interest has been expressed by key stakeholders of which PBS is ready to service. The technology company, which services ABMs for a number of the island’s deposit-taking institutions, also offers a suite of other technologies aimed at hardening systems to provide real-time monitoring as it support banks with detecting suspicious activities while helping them to detect any form of tampering and unauthorised access at machines.

“We are ready to bring the new IBNS solution to market but right now we are going through the due diligence with the regulator, remaining very hopeful that we can complete the process with all stakeholders as soon as possible. We would love to be able to have the service up and running before physical attacks on ABMs becomes even more widespread,” the general manager said.

If given the green light to roll-out the IBNS security solution locally, its implementation, Williamson said, should also positively impact the operations of PBS, a publicly traded company which last year earned record revenues of US$333.3 million ($51.59 billion) along with a consolidated net profit of US$11.40 million.

“Being able to pioneer the IBNS technology locally will allow PBS as a long-standing ABM service provider to continue our leadership in the space. We have been known to bring many innovative solutions to market and something like this, which would be a first in the island, would auger very well for our business. We therefore remain on high alert as we look for more opportunities to do so,” she stated.