NY-based Intelli-Check had a shareholder lawsuit dismissed by the U.S District Court for the District of New Jersey. As previously disclosed, the plaintiffs, who were short-sellers of Intelli-Check stock, brought suit in October 2001, alleging violations of federal securities laws. Originally, the plaintiffs proposed a class action suit, but they amended their lawsuit in November 2001 into an individual action on behalf of the three individual plaintiffs.Details
JCB has expanded its 10-year relationship with Equant by signing a three-year contract to build an MPLS-based IP VPN for JCB to connect 32 locations around the world. Working with JCB, Equant Professional Services consultants will design and manage the migration of JCB from its X.25 and frame relay network to an IP VPN. In addition, Equant consultants will assist in the implementation of a wireless LAN system that will allow JCB employees to access e-mail wirelessly, allowing them to be mobile at the workplace. Equant Frame Relay will still be used by JCB for extranet communications with its partners and merchants, and Equant global network management centers will continue to monitor the entire network around the clock.Details
Juniper Bank has inked a co-branded credit card deal with the world’s largest hotel chain. The new “Best Western MasterCard” will be marketed to “Gold Crown Club International” members. The card enables cardholders to earn one reward point for every three dollars spent at a Best Western and one reward point for every five dollars spent elsewhere. New cardholders will also earn a 1,200-point bonus upon their first use of the “Best Western MasterCard” and up to 800 points for balance transfers. Points can be redeemed for free stays and awards from other retailers. The new card has no annual fee and a 0% intro rate on balance transfers for 6 months, and a 9.9% variable on-going APR. In May, Juniper Bank launched the co-branded “Frontier Airlines MasterCard.” Juniper also issues the “AirTran A-Plus Platinum VISA” and the “Midwest Express Airlines MasterCard.” (CF Library 5/22/03)Details
MasterCard International reported that its second quarter global gross dollar volume, excluding PIN-debit, was up 4.8% to $308.1 billion. For the second consecutive quarter, Asia-Pacific experienced a decline in total volume, decreasing 9.1% to $51.3 billion. During the first quarter, MasterCard’s Asia-Pacific gross dollar volume dipped 6.8% to $54.2 billion. The decline in the Asia-Pacific region is attributable to the SARS outbreak and rising losses in countries such as South Korea and Singapore. Elsewhere, during the second quarter of this year, Europe was up 14.1% to $77.7 billion, and Canada was 13.5% to $10.3 billion. The hot Latin America region reported a 24.5% increase in 2Q/03 to $9.2 billion and the emerging South Asia / Middle East Africa region posted a 17.5% gain to $ 2.6 billion.Details
Vital Processing Services, an independent joint venture company formed by VISA and TSYS, announced this morning that former Wachovia top executive Bev Wells has been named President and CEO of Vital, effective immediately. Wells spent 26 years at Wachovia, reaching the position of EVP for its Retail Division which included oversight of its credit card portfolio and acquiring business. She was named president of Wachovia Bank Card Services in 1994 and elected EVP in 1997. She succeeds Vital CEO Jonathan Palmer, who has resigned to attend to family responsibilities in Florida. Wells, who retired from Wachovia in 2002, is relocating Vital’s corporate headquarters in Tempe, AZ. Processing one out of every four electronic payment transactions in North America, Vital also processes for the top 25 acquirers in the USA. (CF Library 9/9/97; 4/26/99)Details
Bank Danamon Indonesia has launched Euronet’s “Mobile Recharge” with all major mobile operators in Indonesia for both credit
and debit cards. Bank Danamon’s has approximately 1.25 million debit and credit cardholders. Euronet has connections with all four major Indonesian mobile operators, including Satelindo, Telkomsel, Excelcomindo and IM3, that combined represent more than 9.4 million customers. Euronet offers these services through a joint venture called Euronet Sigma Nusantara, which authorizes and processes the mobile transactions at ESN’s local data center in Jakarta. ESN performs daily settlements and reconciliation among all participants, including the banks and mobile operators. Euronet owns 80% of ESN.
NY-based Intelli-Check has filed a patent infringement lawsuit against Tricom Card Technologies in regard to its “ID-CHECK” technology. The suit, filed in U.S. District Court for the Eastern District of New York, maintains that Tricom infringes on Intelli-Check’s U.S. Patent No. 6,463,416 B1 for its state-of-the-art ID-CHECK technology relating to its authentication system for document identification. The Intelli-Check Complaint also maintains that Tricom induces infringement of the Intelli-Check patent on the part of Tricom’s customers. Intelli-Check seeks an unspecified amount of compensatory damages from Tricom and injunctive relief.Details
UC Card has selected Cyota, and its local partner Intelligent Wave, to provide an end-to-end “Verified by Visa” Internet payment security service. To date Cyota and IWI have deployed and launched multiple commercial “3D Secure” systems in Japan for top issuers.
UC Card, as a member of Mizuho financial group, has more than 12 million cards-in-force. Cyota’s “SecureSuite,” the Company’s “3D Secure” solution, is now available to more than 320 million cardholders and 9,600 financial institutions worldwide.
Cincinnati-based Skipjack Financial Services has signed a deal to offer CardinalCommerce’s “Cardinal Centinel” payment authentication software to its online merchant clients. CardinalCommerce is the leading provider of online merchant payment authentication for securing online transactions. Cardinal Centinel is designed for acquiring banks, merchant service providers and their merchants. The software reduces the level of online fraudulent transactions and guarantees payment to online merchants who use it, while protecting the accounts of cardholders.Details
Electronic Clearing House reported second calendar quarter revenue of $10.6 million, a 25.7% increase over the prior-year quarter. Bankcard processing and transaction revenue increased 24.1% to $8,612,000 for the quarter. The Company also reported net income of $308,000 for the quarter, compared to a net loss of $168,000 one year ago. ECHO says the revenue increase is due to the significant increase in bankcard and transaction processing revenue, and a reduction in research and development expenditures as the “VISA POS Check Service” program moved from beta testing to implementation. During the quarter, ECHO completed a full implementation of a major global specialty retailer, with close to 3,000 storefronts, into the VISA program. For complete details on ECHO’s second quarter results visit CardData ([www.carddata.com]).
Providian confirmed yesterday that it has closed on the sale of a portfolio of approximately 435,000 credit card accounts with $859 million in outstanding balances to Atlanta-based CompuCredit. The loans were technically purchased by a joint venture formed by CompuCredit and Merrill Lynch. The Company expects to transfer servicing of the portfolio by mid-August. Providian disclosed the sale last week but did not identify the purchaser. One year ago, Providian dumped $2.6 billion in sub-prime card outstandings to two limited liability companies setup by Goldman Sachs, Salomon Smith Barney, CardWorks, and CompuCredit. (CF Library 4/16/02)Details
MN-based TCF Financial disclosed a letter from VISA to the Wall Street Journal which refers to a new VISA bylaw that will charge top debit card members a fee if they decide to drop or change brands. TCF has publicly disclosed its unhappiness with the recent debit card settlement. In May, TCF, the 16th largest issuer of VISA debit cards with more than one million cardholders, filed a “motion to intervene” with Federal district court Judge John Gleeson over the proposed debit card settlement. TCF wanted credit card issuers to share the burden of the settlement. Gleeson denied the motion in June. The bank reportedly subsequently explored the possibility of leaving VISA. According to the Wall Street Journal, TCF was notified by VISA of a new bylaw, passed in June, that requires an exit fee from any of the top 100 debit-card issuers if they decided to leave VISA. The fee calculated for TCF was $20 million. VISA reportedly says the fees are based on the banks’ share of VISA’s debit-card issuance. (CF Library 5/14/03; 6/17/03)Details