Kansans Affected By Security Breach At Oklahoma Casino

By: Lily Wu - Email
By: Lily Wu - Email

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Friday, October 7, 2011

Systems used for processing credit card transactions may have had a breach in security at First Council Casino in Newkirk, Oklahoma.

"We hate to see any kind of breach by any of our customers or retailers in the area," said Bruce Schwyhart, president of CornerBank in Winfield.

Banks in Cowley County are working close with law enforcement authorities after employees noticed some unauthorized transactions this week.

"They utilized their services down there and so their cards were compromised, those transactions were compromised. Then they went ahead and contacted us and that's when we started saying, okay, there's a pattern," said Schwyhart.

The pattern prompted officials at CornerBank to use their fraud prevention system and started contacting any individuals who may have used their debit cards at First Council Casino.

"It's not something that's unusual. That's why we have our fraud prevention system. That's why we put it in place," said Schwyhart. "That helped us a great deal to avoid these kinds of losses for our customers."

CornerBank suffered losses between $1,000-$2,000 after reimbursing customers who filed reports on the unauthorized transactions. CornerBank and Union State Bank had to issue new cards for customers that were affected.

"Any time you have that breach, it's a concern about whether or not information that is used on these cards might be compromised. You don't want that to happen," said Schwyhart.

First Council Casino management issued a press release on Friday, stating that they are "taking the matter very seriously" and "taking every measure to address the issue."

Schwyhart recommends that people check their account regularly and immediately contact financial institutions if there is an unauthorized transaction.

The Federal Bureau of Investigation in Oklahoma is aware of the issue and is checking to see if there have been any federal law violations.

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