Feeds

ID thieves target enterprises

Grifters Inc.

  • alert
  • submit to reddit

Intelligent flash storage arrays

ID thieves are going corporate. Assuming the identity of consumers to obtain loans and credit cards under assumed names has become the US's fastest growing crime. Now fraudsters are applying similar tricks against potential enterprise victims.

Here's how it works. Crooks set up websites under the names of legitimate companies and apply for merchant status with credit card payment processing firms. Next they put orders through these bogus sites using credit cards, raking off a tidy percentage in the process. Crooks direct these illicit revenues to separate accounts in the hope they'll be able to draw out a sizable wedge by the time their ruse is rumbled. The trick is to obtain numerous merchant accounts for each bogus site.

The scam sounds inefficient and straightforward to spot but numerous companies have already fallen victim. New-York based software company T-Data was landed with a bill for $15,000 in credit card fees. "They are flying under the radar on each transaction unless someone does a whole lot of work," said Jeff Duhl, T-Data's owner, who remains critical of merchant's patchy record in recognising bogus transactions.

T-Data is far from alone in suffering because of the scam. More than 50 other organisations have already become victims to corporate identity theft, MSNBC reports. ®

Related stories

Invasion of the identity snatchers
World's largest ID theft felon faces 14 years' jail
Spammer charged in huge Acxiom personal data theft
Gov.uk launches anti-fraud website

Remote control for virtualized desktops

More from The Register

next story
DRUPAL-OPCALYPSE! Devs say best assume your CMS is owned
SQLi hole was hit hard, fast, and before most admins knew it needed patching
Knock Knock tool makes a joke of Mac AV
Yes, we know Macs 'don't get viruses', but when they do this code'll spot 'em
Feds seek potential 'second Snowden' gov doc leaker – report
Hang on, Ed wasn't here when we compiled THIS document
Why weasel words might not work for Whisper
CEO suspends editor but privacy questions remain
DEATH by PowerPoint: Microsoft warns of 0-day attack hidden in slides
Might put out patch in update, might chuck it out sooner
BlackEnergy crimeware coursing through US control systems
US CERT says three flavours of control kit are under attack
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
Simplify SSL certificate management across the enterprise
Simple steps to take control of SSL across the enterprise, and recommendations for a management platform for full visibility and single-point of control for these Certificates.