* FDIC Bair urges banks to improve data security
* FDIC develop guidelines for online data authentication
* Citi says 1 pct card customers affected by crime
* Attacking a first direct violations of the big American bank (recasts, adds analyst comment, background, security)
By Maria Aspan
NEW YORK, June 9, Reuters)-the big American banks came under growing pressure from banking regulators to enhance the security of their customer account information after Citigroup Inc (C, N) became the latest high-profile victims of a large-scale cyber attack.
While Citigroup insisted that the infringement had been restricted, are experts who called it one of the first large, direct attack on a major U.S. financial institution, forecast and it could run the driver of a systematic review of the banking sector information security measures.
The Federal Deposit Insurance Corp. develops new guidance for banks and demand "some banks to strengthen their authentication when a customer logs on to your online account," said FDIC Chairman Sheila Bair on Thursday.
Citigroup said late Wednesday that computer hackers breached the Bank's network and accessing data from approximately 200,000 bank cardholders in North America.
Third largest u.s. Bank is the latest in a growing list of companies that have suffered cyber attacks, including Sony (8729. T) and Google Inc (GOOG.O).
Security experts said the attack could be a watershed moment for the U.S. banking sector, which until now have suffered fewer direct hacker attacks than retailers.
"We have to deposit in the number of fraud cases," said Gartner research analyst Avivah Litan, security
As regulators weigh whether to demand more money for security, said "this could be the straw that breaks the camel's back," she said.
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Stories about hacked company [ID: nL3E7H90JQ]
Sony attacked [ID: nN0288458]
U.S. firm EMC tries to reassure [ID: nN06115644]
Google sees China link in hack attack [ID: nN08269664]
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Citigroup said the names of the customers, account number and contact information, including e-mail addresses, was displayed in the crime. The Financial Times said Bank of detected offences in early May.
Citigroup said other information such as date of birth, social security number, card expiration date and card security code (CVV) was not jeopardized.
"We are contacting customers whose information was the collision. Citi has implemented the improved procedures to prevent a repetition of this type of event, "said Sean Kevelighan, a spokesman for the United States-based bank via e-mail Wednesday night. "For the safety of these customers, we do not disclose further details."
In this expression, short e-mail said Citi not what had occurred.
Another Citi spokesman, James Griffiths in Hong Kong s.a.r., said that the infringement had affected 1% of North American card customers Bank's annual report says a total of 21 million.
Banks may be particularly attractive targets for cyber criminals, Bair said on Thursday.
-It is the type of a constant, "said she." it is one of the many risks that you must deal with. "
Just like Sony, Citi would come into the firing line for talking not customers sooner.
Sony has reported several attacks, including one that hackers accessed personal information about 77 million PlayStation Network and Qriocity accounts. The company was criticized for a delay in telling account holders that their information had been stolen by hackers. (Reporting by Maria Aspan, additional reporting by Ross Kerber, Boston, editing by John Wallace)
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