Feeds

California man jailed for E*Trade skim scam

Salami-slice fraudster heads for the can

Intelligent flash storage arrays

A man who scammed online brokerages including E*Trade and Charles Schwab by stealing a huge number of tiny test deposits from multiple accounts was jailed for 15 months on Thursday.

Michael Largent, 22, of Plumas Lake, California, was also ordered to pay $200,073 in compensation to his victims after pleading guilty to two counts of fraud.

Largent opened 58,000 brokerage accounts using false details in order to steal the micro-deposits made by financial firms to test that accounts are set up correctly. Some of the false names he used took their inspiration from characters in cult cartoon King of the Hill.

The scam netted Largent $50,000, which he transferred to either pre-paid debit cards or his own online banking account. The scam ran between November 2007 and May 2008 until the fraud was detected. A joint US Secret Service and FBI investigation was launched, leading to Largent's arrest.

Largent's crimes have been widely likened to so-called salami-slicing scams as depicted in films such as Superman III and Office Space. ®

Choosing a cloud hosting partner with confidence

More from The Register

next story
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
China is ALREADY spying on Apple iCloud users, claims watchdog
Attack harvests users' info at iPhone 6 launch
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.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
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.
Top 5 reasons to deploy VMware with Tegile
Data demand and the rise of virtualization is challenging IT teams to deliver storage performance, scalability and capacity that can keep up, while maximizing efficiency.
Mitigating web security risk with SSL certificates
Web-based systems are essential tools for running business processes and delivering services to customers.