Barclays Security Team Crumbles and May Impact JetBlue Card Holders

by Tim Sloane 0

JetBlue card holders were well aware that Barclays security team was in disarray when Barclays took over the JetBlue portfolio from American Express. This analyst experienced a level of turn downs that made the card useless and customer service was non-existent. Reading this Bloomberg article it is likely the problem began at the top:

“Barclays Plc head of group information security Troels Oerting will probably not return to the British lender after his leave of absence ends, according to two people with knowledge of the decision.

Oerting’s leave and eventual departure are unconnected with his role in the Jes Staley whistle-blower scandal, said the people, who asked not to be identified speaking about confidential personnel matters. Oerting was interviewed by the U.K.’s Financial Conduct Authority several times over the past few months as part of an investigation into Chief Executive Officer Staley’s attempts to unmask an informant.

A spokesman for Barclays declined to comment, while Oerting didn’t respond to phone calls seeking comment.”

Perhaps it was this distraction that enabled Nilesh Sheth to open up 400 fake accounts to pilfer £16million. It will now be up to Paul Gillen to try and right the ship, although how he will accomplish this when his assignment is only on an interim basis is difficult to reconcile:

“Paul Gillen, the head of Barclays’s joint security operation centre, will take over Oerting’s job on an interim basis, said one of the people. Gillen is also a director of the Cyber Defence Alliance, a group of law enforcement agencies and banks with British operations that share information to help prevent hacking. Oerting, the former head of Europol’s European Cybercrime Center, joined Barclays in February 2015.”

That Barclays security is in disarray is clear and JetBlue will need to deal with the fallout. While this analyst loves JetBlue the problems associated with the JetBlue card were too much and so it’s good-bye JetBlue, hello Delta.

 

Overview by Tim Sloane, VP, Payments Innovation at Mercator Advisory Group

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