Feeds

California man jailed for E*Trade skim scam

Salami-slice fraudster heads for the can

Protecting users from Firesheep and other Sidejacking attacks with SSL

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. ®

The next step in data security

More from The Register

next story
Israeli spies rebel over mass-snooping on innocent Palestinians
'Disciplinary treatment will be sharp and clear' vow spy-chiefs
Infosec geniuses hack a Canon PRINTER and install DOOM
Internet of Stuff securo-cockups strike yet again
THREE QUARTERS of Android mobes open to web page spy bug
Metasploit module gobbles KitKat SOP slop
'Speargun' program is fantasy, says cable operator
We just might notice if you cut our cables
Apple Pay is a tidy payday for Apple with 0.15% cut, sources say
Cupertino slurps 15 cents from every $100 purchase
YouTube, Amazon and Yahoo! caught in malvertising mess
Cisco says 'Kyle and Stan' attack is spreading through compromised ad networks
Hackers pop Brazil newspaper to root home routers
Step One: try default passwords. Step Two: Repeat Step One until success
Greater dev access to iOS 8 will put us AT RISK from HACKERS
Knocking holes in Apple's walled garden could backfire, says securo-chap
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.
Security and trust: The backbone of doing business over the internet
Explores the current state of website security and the contributions Symantec is making to help organizations protect critical data and build trust with customers.
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.