Woori Bank Strengthens Financial Fraud Response System With AI FDS and Police Experts
TECHWORLD ·
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Woori Bank said it will advance its preemptive financial fraud prevention system into a three-stage framework against the backdrop of rising financial crime risks.
At a press briefing at its headquarters in Jung-gu, Seoul, the bank announced strengthened prevention measures centered on specialists from the Korean National Police Agency and a response system built around a generative AI-based FDS.
Woori Bank aims to become a bank that leads financial fraud prevention over the long term, based on a dedicated organization, external cooperation, education, and information sharing.
Woori Bank said it will advance its preemptive financial fraud prevention system into a three-stage framework, against the backdrop of rising financial crime risks. On the 12th, the bank held a press briefing on financial fraud prevention at its headquarters in Jung-gu, Seoul, and announced strengthened prevention measures centered on specialists from the Korean National Police Agency and on a generative AI-based Fraud Detection System (FDS). The briefing was led by Jeon Jae-hong, Woori Bank's chief head of financial fraud prevention.
Jeon Jae-hong, Woori Bank's chief head of financial fraud prevention, said that while financial crime cases have been declining, the level of risk has become even higher. He said financial fraud techniques are evolving, making it necessary to introduce technologies such as generative AI ahead of time and to establish defensive systems.
Woori Bank plans to internalize its bankwide financial fraud prevention capabilities going forward. It also aims to expand this into a joint response model across the financial sector and to promote its spread into the local community's prevention ecosystem.
He said the attack environment is becoming more industrialized and specialized, while the spread of AI tools is lowering the barrier to entry for attacks. Accordingly, he forecast that financial fraud using AI will increase.
According to statistics from the Korean National Police Agency, domestic financial fraud losses amounted to KRW 791.1 billion in 2022 and KRW 2.3755 trillion in 2025, nearly tripling in 3 years. He noted that the scale of losses has also grown significantly in statistical terms.
Criminal organizations have shifted to a division-of-labor structure with more specialized roles, and as they use AI technology for crime, their methods are becoming more sophisticated. At the same time, it was pointed out that efforts to track down and arrest criminals have remained stagnant despite the increasing sophistication of attack technologies.
He diagnosed technological progress and the internationalization of criminal structures as the background for the persistence of financial fraud. He also pointed out that weak security and internet-connected environments are providing criminal opportunities, and argued that it is time to upgrade financial fraud prevention.
Woori Bank is pushing ahead with the introduction of an FDS based on generative AI to respond to increasingly sophisticated financial fraud techniques. The existing FDS analyzes financial transactions in real time and detects anomalous signs. Through the generative AI-based FDS, Woori Bank aims to analyze vast transaction data and identify abnormal patterns that people would have difficulty detecting.
Yang Jin-eun, deputy head of Woori Bank's Financial Fraud Prevention Division, said the bank has accumulated vast amounts of data and logs related to financial transactions. She added that the bank is pushing ahead with data cleaning and analysis based on generative AI, with the ultimate goal of distinguishing attack patterns that are difficult for people to verify with their eyes and responding to them. Woori Bank has established a dedicated financial fraud response organization and set up a round-the-clock response system.
Woori Bank recently recruited Jeon Jae-hong, its first former police officer in the banking sector, as chief head. The hiring was intended to combine investigative and on-the-ground experience. Woori Bank is also expanding cooperation with external organizations to share new financial fraud information and respond quickly. In addition, it is working to raise financial consumers' awareness through preventive education, upgrade the FDS, and share fraud cases across the financial sector.
Woori Bank plans to pursue a long-term roadmap focused on 'incident prevention.' Its mid- to long-term vision is 'Woori Bank leading financial fraud prevention.' The bank plans to advance its financial fraud response system through stages of building the foundation, expanding capabilities, and leading prevention. Initial setup elements include AI-based detection capabilities, a specialized response organization, external cooperation, and an education system. After that, it aims to strengthen organizational response capabilities by standardizing detection and analysis work, expanding specialized personnel, increasing education, sharing information, and reinforcing reporting links.
Regarding this direction, Jeon Jae-hong said the bank is planning to establish a dedicated team for financial fraud prevention staffed by former police officers, but nothing has been finalized yet. Jeon said the insurance sector, including Samsung Fire & Marine Insurance and Hyundai Marine & Fire Insurance, has organized specialized personnel with police backgrounds, and that those cases showed the potential to strengthen response capabilities. He added that if such specialists participate in the financial sector as well, stronger response capabilities are expected.
Source: TECHWORLD · Kim Hye-jin
Original: https://www.epnc.co.kr/news/articleView.html?idxno=408029
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Source: TECHWORLD
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