Feeds

£6.5m phishing duo jailed

Sprats

  • alert
  • submit to reddit

SANS - Survey on application security programs

An American who masterminded the UK part of a multi-million pound ID theft scam was yesterday jailed for six years. Douglas Havard, 24, was sentenced on Monday at Leeds Crown Court after pleading guilty to conspiracy to defraud and conspiracy to launder money. His accomplice, Lee Elwood, 25, of Glasgow, was jailed for four years after pleading guilty to the same offences in June 2004.

The court heard the duo were integral to a phishing scam that netted an estimated £6.5m. The duo operated the UK end of an international operation that tricked consumers into handing over their banking credentials to bogus websites. The pair used credit cards obtained under false names, money raided from compromised bank accounts and the illicit purchase and sale of goods online to finance a lavish lifestyle.

Their criminality was exposed during a National Hi-Tech Crime Unit (NHTCU) investigation into eastern European phishing fraudsters. Police reckon Havard and Elwood stole over £750,000 during the 10-month period of the investigation but estimate they could have raked in as much as £6.5m over two years.

Havard confessed to receiving data dumps of compromised account details from criminal associates in Russia. This information was used to pay for goods online, sold in auctions by criminal affiliates in the UK. Havard and Elwood and their UK allies would take a cut before forwarding the balance back to Russia. Police found forged travellers' cheques, financial documents relating to 10 bank compromised bank accounts and cash when they raided Havard's flat. Intelligence recovered led to a raid on Elwood's home where police recovered forged documentation and bank documents as well as a cache of credit card counterfeiting equipment.

Police said Havard and Elwood were active on illegal "carding websites" such as carderplanet and shadowcrew, The Scotsman reports. The paper adds that Havard faces charges counterfeiting and armed robbery in Texas. ®

Related stories

Four charged in landmark UK phishing case
UK banks launch anti-phishing website
DIY phishing kits hit the Net
UK police issue 'vicious' Trojan alert
UK police arrest 12 phishing mule suspects
eCrime cost UK.biz £2.4bn in 2004
US Secret Service busts 28 ID fraudsters

High performance access to file storage

More from The Register

next story
Parent gabfest Mumsnet hit by SSL bug: My heart bleeds, grins hacker
Natter-board tells middle-class Britain to purée its passwords
Obama allows NSA to exploit 0-days: report
If the spooks say they need it, they get it
Mounties always get their man: Heartbleed 'hacker', 19, CUFFED
Canadian teen accused of raiding tax computers using OpenSSL bug
Web data BLEEDOUT: Users to feel the pain as Heartbleed bug revealed
Vendors and ISPs have work to do updating firmware - if it's possible to fix this
Samsung Galaxy S5 fingerprint scanner hacked in just 4 DAYS
Sammy's newbie cooked slower than iPhone, also costs more to build
Snowden-inspired crypto-email service Lavaboom launches
German service pays tribute to Lavabit
One year on: diplomatic fail as Chinese APT gangs get back to work
Mandiant says past 12 months shows Beijing won't call off its hackers
prev story

Whitepapers

Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
SANS - Survey on application security programs
In this whitepaper learn about the state of application security programs and practices of 488 surveyed respondents, and discover how mature and effective these programs are.