Shell has suspended chip-and-pin payments at 600 UK petrol stations after more than £1m was stolen from customers’ accounts.
Eight people have been arrested in connection with a fraud inquiry. The fraud is being investigated by the Metropolitan Police cheque and plastic crime unit.
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The units used for inputting customer PINs are supposed to be tamper-proof.
It is believed the units under investigation could have been used to “skim” card details and record the PINs entered by customers.
The fraud is only being linked to the petrol stations owned and run by Shell. Its other franchised outlets are still accepting chip-and-pin payments from customers.
Shell-owned petrol stations are currently only accepting payments through swiping cards and asking for a customer signature.
Shell said it hoped to re-introduce chip-and-pin as soon as possible. It is speaking to its chip-and-pin terminal provider about the fraud.
The Association of Payment Clearing Services (Apacs) said the fraud related only to Shell petrol stations, although BP is believed to be investigating a separate incidence of card fraud.
It is not known whether the BP fraud is related to chip-and-pin.