Feeds

EDS duped by ‘NATO’ fraud

Ships kit to top secret project - never to be seen again

  • alert
  • submit to reddit

Secure remote control for conventional and virtual desktops

Electronic Data Systems (EDS) yesterday admitted it was conned out of millions of dollars worth of kit through a fake NATO project. It appears that a group of scamsters posing as NATO and US Air Force officers approached EDS in 1997 with "a highly sensitive voice recognition project for NATO". So impressed was EDS, that it shipped an order of computer audio and video equipment for the top secret project to the Netherlands. The villains then scarpered before paying. The thieves and the "tens of millions of dollars" worth of kit have since disappeared. A red-faced EDS, which was acting as a co-ordinator for other bidding vendors, was left to explain the incident to the FBI and EDS shareholders. The US computer services company said it did not expect any serious financial impact from the theft. But it was unable to comment further "because of the governmental investigations and the pending litigation". This latter statement was a reference to lawsuits filed by two vendors who got dragged into the fraud. One of these is believed to be Akai Musical Instrument Corp, a former subsidiary of Akai Electronic of Japan. Last year, EDS made $957 million profit on sales of $18.5 billion. ® Related stories: Fraud row lands EDS in yet more hot water

Secure remote control for conventional and virtual desktops

More from The Register

next story
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.