"Our role is changing in the fact that we see fraud being perpetrated in a new manner everyday via malicious software, banking Trojans and online theft," says Jean-FranÃ§ois Legault, senior manager of forensics and dispute services at Deloitte.
Insider fraud expert Shirley Inscoe says Citi is not the only financial institution that's doing a poor job of keeping up with employee misconduct. Few banking institutions grasp how damaging inside jobs actually are.
Three recent breach incidents, each involving the loss or theft of back-up drives, illustrate that some organizations are doing a better job than others in informing consumers about the steps they're taking to prevent more breaches.
Once a CEO understands the value and risks catered through mobile functionality, it is easier to discuss mobile innovations, policy and how the company can then strike a balance to meet customer and employee requirements.
The survey of local, state and federal IT security practitioners also shows a lack of faith in secure cloud computing. Half see insider threats and poor practices as their agencies' greatest vulnerabilities.
"The environment that started by supporting whistleblowers ... is essentially morphing into 'Gee, we as an organization need to be completely transparent, whether we want to or not,'" says Cal Slemp, managing director of Protiviti.
Fraud attempts will escalate, not diminish, as new threats and channels blossom in 2011. Growth in mobile banking and the use of social networks are expected to pose new security challenges, experts say.