Feeds

Six in California indicted for online bank fraud

Criminal enterprise allegedly earned $383,000 in 8 months

Protecting against web application threats using SSL

Six California men accused of breaking in to online bank accounts and funneling out the proceeds have been indicted for bank and wire fraud and money laundering. The 53-count indictment could carry a sentence of as much as 30 years in prison and a fine of $1m.

The defendants, all from Fresno, allegedly netted $383,000 in the scheme, which ran from November 2003 to July 2004, according to the indictment, which is surprisingly vague on some key details about how they pulled it off. Two of them "acquired a software program from a free online source which allowed them to scan/surf the Internet for shared resources on other computers and which allowed the defendants to access those computers for its program backup files."

(Sounds like we're talking about a publicly available bot like rxbot, but we can't be sure. We also aren't told how many accounts they compromised.)

The defendants were then able to glean login credentials for online banks by rummaging through backup files related to Quicken, Quickbooks and Microsoft Money on the machines they illegally accessed. With this important information, the defendants then transferred money out of victims' online accounts. In addition to funneling money into an account established under a sham company called West Coast Data Systems, the defendants also used a service called Qchex, which allows the secure sending of printable checks over the net.

The men were also accused of depositing bad checks into the compromised accounts and then withdrawing the funds before the transactions had closed. ®

Reducing the cost and complexity of web vulnerability management

More from The Register

next story
Early result from Scots indyref vote? NAW, Jimmy - it's a SCAM
Anyone claiming to know before tomorrow is telling porkies
TOR users become FBI's No.1 hacking target after legal power grab
Be afeared, me hearties, these scoundrels be spying our signals
Jihadi terrorists DIDN'T encrypt their comms 'cos of Snowden leaks
Intel bods' analysis concludes 'no significant change' after whistle was blown
Home Depot: 56 million bank cards pwned by malware in our tills
That's about 50 per cent bigger than the Target tills mega-hack
Hackers pop Brazil newspaper to root home routers
Step One: try default passwords. Step Two: Repeat Step One until success
NORKS ban Wi-Fi and satellite internet at embassies
Crackdown on tardy diplomatic sysadmins providing accidental unfiltered internet access
UK.gov lobs another fistful of change at SME infosec nightmares
Senior Lib Dem in 'trying to be relevant' shocker. It's only taxpayers' money, after all
Critical Adobe Reader and Acrobat patches FINALLY make it out
Eight vulns healed, including XSS and DoS paths
Spies would need SUPER POWERS to tap undersea cables
Why mess with armoured 10kV cables when land-based, and legal, snoop tools are easier?
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
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?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.