Yuhang Deshang Village Bank Fined 1.095 Million Yuan; Two Staff Cited for Data Security

The People's Bank of China Zhejiang Branch warned, publicly criticized, and fined Zhejiang Yuhang Deshang Village Bank 1.095 million yuan for eight violations, including data security and cybersecurity management. Two employees, including Gao Moudi of the information technology department, were each fined 15,000 yuan for the data security breach.

PBOC Zhejiang Branch penalty

On 8 September, the People's Bank of China Zhejiang Branch published an administrative penalty against Zhejiang Yuhang Deshang Village Bank. The bank was warned, publicly criticized, and fined 1.095 million yuan.

The decision cited eight violations: financial statistics management rules; account management rules; data security management rules; cybersecurity management rules; RMB circulation management rules; anti-counterfeit currency business management rules; credit information collection, provision, query and related management rules; and failure to report suspicious transactions as required.

Staff penalties

Three employees were fined. Ji Mouping and Gao Moudi of the information technology department were each held responsible for violating data security management rules and fined 15,000 yuan. Sun Mouzheng of the business department was held responsible for violating credit information collection, provision, query and related management rules and fined 22,500 yuan.

The case covered both data security and cybersecurity management failures. Two people were fined for the data security management violation. One of them is assigned to a technology unit. The source did not name a department for Ji Mouping.

Ownership and registration

Qichacha records show Zhejiang Yuhang Deshang Village Bank was established in May 2013. Registered capital is 318.27 million yuan. The largest shareholder is Zhejiang Deqing Rural Commercial Bank, with a 52.00% stake.

Earlier two-person data security penalty

Bank Tech Research Society figures show that several banks have already received data security penalties, including dual penalties on the institution and named staff. Technology-unit staff appear often on those lists. Two people fined at once for the same data security issue is less common.

The previous two-person data security penalty involved Beijing Rural Commercial Bank. On 28 February, the People's Bank of China Beijing Branch published a 1 million yuan fine against that bank for violating data security management rules. Li Mouqing of the retail finance department and Wang Mouzhi of the operations and maintenance center were each fined 140,000 yuan as persons with direct responsibility. The operations and maintenance center is a technology-related unit.