Customer Did Not Share OTP But SBI's "Most Hyped" 2-Factor Authentication Failed, Resulting in Cyber Fraud: Delhi High Court

In a significant judgment, the Delhi High Court has directed the State Bank of India (SBI) to compensate a customer for a loss of Rs. 2,60,000 incurred due to unauthorized transactions. The Court’s ruling highlights key issues related to bank security, customer protection, and the bank’s failure to prevent a cyber fraud despite its security protocols. Background of the Case The petitioner, a 55-year-old man, received an SMS on April…