Computers are smart. If not we would not be paying millions
or hundreds of millions for them. We don’t expect computers to make mistakes, only
human make mistakes. When computers made mistakes, it is either that they are
programmed with mistakes or input with mistakes, GIGO.
The latest fiasco by SGX, sending investors CDP statements
with errors in the number of stocks they have or did not have, is a grave
error. 1% of 460,000 investors means 4,600 would have received error
statements. And the nature of such errors is like banks sending monthly
statements to their clients showing their deposits, more or less, could be a
very harrowing experience. Some may die of shock if seeing their millions
disappeared, or died from disbelief when a few millions appeared in their
statements.
A mistake like this in the banking industry is a cardinal
sin. It is also no small matter in the stock broking business. The stocks are
money in another form and people can also die from shock when the differences
are huge and unbelievable. And if it is a number game, the plus must come from
somewhere, and the losses must go to some where, it is a vicious circle to
unentangle. Where would the disappeared stocks go to or the increase come from,
from whose accounts to whose accounts?
How could it happen? The errors must be due to some input,
deliberate or otherwise, through a modification in some programmes or data
entry. Given the fact that so many people are affected, it is likely to be a
programme or system error, and a new one. Or it could be the deliberate act of
someone or some maleware in the system. A human error due to negligence is
likely to affect very few people. When more than 4 thousand people are
affected, it is no small matter, not likely to be due to negligence or
carelessness of an operator.
Hope SGX is on top of this problem and could rectify it
fast.