Feeds

Judge rules against firm that lost $345k to bank trojan

Victim failed to secure account credentials

5 things you didn’t know about cloud backup

A federal magistrate judge has ruled against a small business that lost $345,000 in an online bank heist, arguing that the theft largely resulted from its own failure to secure its account credentials, according to published news reports.

Patco Construction Company sued Ocean Bank in 2009 after crooks used malware to siphon about $589,000 out of the company's account. Bank employees managed to recover about $243,000 of the pilfered funds, but held the small business responsible for the remainder. Patco asked a federal judge in Maine to hold the bank accountable for the loss, arguing bank employees should have recognized warning signs that the transactions were fraudulent.

This week's 70-page ruling (PDF) serves as a recommendation and still must be formally adopted by the judge overseeing the case. Still, it could serve as a harbinger of rulings to come. With the wide availability of malware generated from the ZeuS and SpyEye DIY kits, online bank heists have run rampant over the past few years, generating millions of dollars in losses.

Hanging in the balance is whether banks or end users should be on the hook for reimbursing those costs.

More from Bank Info Security, IDG News and KrebsOnSecurity is here, here and here. ®

5 things you didn’t know about cloud backup

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
5 things you didn’t know about cloud backup
IT departments are embracing cloud backup, but there’s a lot you need to know before choosing a service provider. Learn all the critical things you need to know.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
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?