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Articles about Fraud

Tech Data: UK accounting errors cost us $27m

Tech Data (TD) has turned to "external experts" to beef up fraud detection measures after it emerged that righting accounting wrongs at its UK sub had wiped $27m (£16.55m) off net profits for the last three years. The restatement equates to three per cent of income made during fiscal '11, '12 and '13, the periods that forensic …
Paul Kunert, 05 Feb 2014
The Register breaking news

Banking Trojan hijacks live chat to run real-time fraud

A new strain of financial malware is hijacking live chat sessions in a bid to hoodwink business banking customers into handing over their banking login credentials or into authorising fraudulent transactions. The attack is being carried out using the Shylock malware platform*, using a configuration that runs a browser-based man- …
John Leyden, 28 Feb 2012
The Register breaking news

MPs criticise banks on online fraud despite declining losses

A House of Commons Treasury Select Committee report has criticised banks for failing their customers in the fight against online fraud. Members of the influential committee criticised banks as being "unprepared" to deal with internet fraud as part of a wider study into retail banking, whose main conclusions called for greater …
John Leyden, 07 Apr 2011
The Register breaking news

Top Tory 'lost voters' personal info' days before ID fraud week

Just days before the start of National Identity Fraud Prevention Week on Monday, the Prime Minister's chief policy advisor Oliver Letwin has been snapped binning what appear to be documents containing personal information in a public park. The discarded documents are said to include the addresses of Letwin's constituents in West …
Anna Leach, 14 Oct 2011
The Register breaking news

Barclaycard pay-by-bonk fraud risk exposes Amazon's security

Channel 4 News has found out that pay-by-wave phones are compatible with pay-by-wave cards, and wants something done about it, but it's web bazaar Amazon that's lacking basic security. The investigation, which was carried out by viaForensics at Channel 4's behest, discovered that one can lift the credit card number, expiry date …
Bill Ray, 26 Mar 2012
The Register breaking news

Whitehall fraud pilots save £12m

The Cabinet Office says data-matching has helped its anti-fraud initiatives to stem huge losses from government funds. The government has said that three pilot projects aimed at tackling the £21bn lost each year through fraud and error have delivered £12m worth of savings in their first few months. According to an interim …

Hundreds of folks ready to sue Bitcoin exchange MtGox

Over 400 people have expressed an interest in joining a class action lawsuit against Bitcoin exchange MtGox, according to a British-based law firm. Selachii has been gathering up investors stung by the collapse of the exchange and the prospect that it may have lost 750,000 of its customers' Bitcoins and 100,000 of its own, …
The Register breaking news

Credit crunch pushes US ID fraud to 8 year low

US identity fraud losses fell sharply last year, bucking a long-running trend. The number of fraud victims decreased 28 per cent in 2010 from 11 million to 8.1 million. The total value of fraudulent losses also fell from $56bn in 2009 to $37bn in 2010, according to an annual study by Javelin Strategy & Research. Javelin reports …
John Leyden, 09 Feb 2011
balaclava_thief_burglar

Feds charge Vietnamese suspect with slurp'n'flog of half-a-million Americans' ID data

A Vietnamese man has been charged in connection with a long-running scam involving the theft and resale of what the DoJ rather hiply refers to as the "fullz”* (personal information) of hundreds of thousands of Americans. Hieu Minh Ngo, 24, a Vietnamese national, was hit with a total of 15 charges, including conspiracy to commit …
John Leyden, 22 Oct 2013

Blighty's SFO 'not conflicted' on Autonomy numbers probe

Blighty's Serious Fraud Office has said that there's no conflict of interest in its criminal investigation into Autonomy, despite reports that the SFO itself uses the firm's document management tool Introspect. The SFO was called in to look into allegations from new owners HP of accounting irregularities and misrepresentations …

Feds indict nine for making millions from Zeus malware

The FBI and the US Department of Justice have unsealed charges against nine people accused of racketeering, computer fraud, aggravated identity theft, and multiple counts of bank fraud related to their use of the Zeus malware against victims in the state of Nebraska. "The 'Zeus' malware is one of the most damaging pieces of …
Iain Thomson, 14 Apr 2014

Reprieve for Weev: Court disowns AT&T hacker's conviction

Andrew "Weev" Auernheimer has had his troubling conviction and sentence under the Computer Fraud and Abuse Act reversed and vacated. The Third US Circuit Court of Appeals announced on Friday [PDF] that Weev's conviction was being vacated due to it being tried in an improper venue, following an appeal by Weev. Weev had been …
Jack Clark, 11 Apr 2014
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Satyam pays $10m to end fraud probe

Indian reseller and outsourcer Mahindra Satyam and its auditor PwC have paid a total of $16m to end a US investigation into fraud charges. The Securities and Exchange Commission said yesterday that failings by five PwC Indian subsidiaries allowed the massive fraud to go undetected for years. It said the problems were not limited …
John Oates, 06 Apr 2011

Feds cuff five more suspects in $45m bank mega-cyber-heist

US Federal authorities have arrested five people accused of aiding a massive electronic bank heist in New York earlier this year. The US District Attorney's office for Eastern New York said that the five were detained following the discovery of photographic evidence that allegedly links the men to a $45m cash-swindling operation …
Shaun Nichols, 19 Nov 2013
Bitcoin bloodbath

MtGox gets its sorry assets frozen amid US class-action lawsuit

Embattled Bitcoin exchange MtGox has experienced a setback in its efforts to gain bankruptcy protections in the US, their opponents' legal team tells us, as the company has been hit with a temporary restraining order freezing its assets. The order, attorney Christopher Dore of Edelson PC tells The Reg, was obtained by plaintiffs …
Shaun Nichols, 11 Mar 2014

Bitcoin ban row latest: 'Unstable, loved by criminals' Yup, that's the US dollar – Colorado rep

A US Congressman has proposed a ban on the American dollar to mock colleagues who are campaigning against Bitcoin. Rep. Jared Polis (D-Colorado) said the American dollar bill, much like the Bitcoin cryptocurrency, was "unregulated and unstable," and had been used for illicit criminal activity. Polis, a former web entrepreneur …
Shaun Nichols, 06 Mar 2014

You can play Flappy Bird on a POINT OF SALE TERMINAL

Mobile Point of Sale (MPOS) devices can be easily hacked and leave banks and retailers wide open to fraud, warn infosec researchers. Security researchers from MWR InfoSecurity, the same security firm that researched serious vulnerabilities in chip-and-PIN devices back in 2012, demonstrated at last week's SyScan security …
John Leyden, 08 Apr 2014
The Register breaking news

Chinese mobile malware powers click-fraud scam

Malware writers are trying to infect Chinese users of Android smartphones with a Trojan that poses as a wallpaper for the smartphone's screen or other legitimate applications, such as the popular game RoboDefense. The mobile malware, dubbed Adrd or alternatively HongTouTou, has been seeded onto third-party mobile app stores in …
John Leyden, 17 Feb 2011

Crooks target Target: 40 MILLION bank cards imperiled in cyber-heist

Target says 40 million credit and debit card accounts are at risk after crooks infiltrated the US megastore chain's payment systems. It's feared criminals harvested customers' sensitive banking details between November 27 and December 15, right in the middle of America's peak shopping season. The leak leaves shoppers vulnerable …
Shaun Nichols, 19 Dec 2013

US card scammers pull $2m petrol heist

US attorneys have charged thirteen people in connection with a massive fraud operation which netted some $2m in stolen funds. The Manhattan District Attorney's office says that four defendants masterminded a plot to install card skimming devices at gas pumps throughout the southern US and then use a network of money mules to …
Shaun Nichols, 23 Jan 2014

When ZOMBIES go shopping: 40m Target customer breach? That's NOTHING!

Malware linked to fraud in the retail sector may be a bigger problem than even the recent revelation about the compromise of systems US retailer Target suggests. Shopping giant Target and luxury retailer Neiman Marcus both announced significant data breaches during the 2013 holiday shopping season. The Target breach at least …
John Leyden, 23 Jan 2014
The Register breaking news

Chain Reaction finds and plugs security hole that led to fraud

Popular UK-based biking site ChainReactionCycles.com has confirmed that a security breach on its systems led to fraud against its customers. Some of the cyclists who shopped with the site earlier this month noticed fraud against their credit cards days later, normally fraudulent purchases of mobile phone top-ups costing around £ …
John Leyden, 25 Mar 2011

Uni of Maryland hacked: 300,000 SSNs of staff, students, alumni swiped

Former and current staff and students at the University of Maryland are going to be getting a free year of credit score protection after hackers slurped the names, social security numbers, dates of birth, and university identification numbers for 309,079 people. "The University of Maryland was the victim of a sophisticated …
Iain Thomson, 21 Feb 2014

IBM snaps up banking security biz Trusteer, won't say what it paid

IBM has announced a deal to acquire transaction security firm Trusteer and open a new cybersecurity lab in Israel. Financial terms of the buyout, announced Thursday, were not disclosed. Big Blue said the deal would allow it to offer improved cloud-delivered software and services to defend against advanced security threats to its …
John Leyden, 15 Aug 2013
The Register breaking news

Fraud baron forced henchmen into S&M orgies to prove loyalty – cops

A US card cloner forced would-be gang members to take part in group sex sessions as part of an initiation ceremony designed to weed out undercover cops, according to a detective. Vikas Yadav - an Indian national resident in Athens, Georgia, at the time of his crimes but has since been deported - used chat rooms frequented by …
John Leyden, 01 Feb 2012
The Register breaking news

Internet fraud laundryman gets two years in cooler

An internet fraudster was sentenced to two years prison yesterday for his part in a gang which pocketed hundreds of thousands of pounds from various web-based scams. Michael Ugboaja, 48, of Beckton, was sentenced for his part in laundering £470,000. The gang targeted a Canadian doctor on a dating site and persuaded her to hand …
John Oates, 07 Jul 2011
The Register breaking news

Phishers dodge fraud protections in Firefox, Chrome

A recent round of phishing attacks targeting customers of Bank of America and PayPal circumvent fraud protections built in to the Mozilla Firefox and Google Chrome browsers by attaching an HTML file to the spam email. According to M86 researcher Rodel Mendrez, the locally stored file opens a web form that collects the customers …
Dan Goodin, 17 Mar 2011
gavel_judgment_channel

Former Systemax exec faces second probe by Feds

Former Systemax exec Carl Fiorentino, the man currently contesting charges of fraud related to his work at his former company, is the subject of a second federal probe, according to a recent US court filing. This second probe was mentioned by his legal team at Pinera-Vazquez Law Firm in its petition to move the venue of the …
Paul Kunert, 31 Oct 2013
Screen shot from SpyEye

Russian SpyEye author pleads guilty to starting malware onslaught

Russian national Aleksandr Andreevich Panin has pleaded guilty to charges of banking and wire fraud for his role in developing the SpyEye Trojan, which used botnets of enslaved computers to harvest financial credentials from internet users around the world. "The apprehension of Mr. Panin means that one of the world's top …
Iain Thomson, 29 Jan 2014
The Register breaking news

Hacker cops to payment card fraud worth more than $36m

An American citizen has admitted to stealing data for more than 676,000 payment cards from databases he hacked into and netting more than $100,000 by selling them in underground bazaars online. Rogelio Hackett, 26, of Lithonia, Georgia, pleaded guilty to one count of access device fraud and one count of aggravated identity …
Dan Goodin, 24 Apr 2011
Samsung Galaxy S5

Samsung Galaxy S5 fingerprint scanner hacked in just 4 DAYS

The much-hyped fingerprint scanner on Samsung’s flagship handset the Galaxy S5 can be fooled just days after the device was launched. Researchers at Germany’s Security Research Labs (SRLabs) publicised their findings in a YouTube clip. According to the narrator, the scanner was hoodwinked "under lab conditions, but is based on …
Phil Muncaster, 16 Apr 2014
The Register breaking news

UK plastic fraud losses fall for first time in 3 years

A rise in online banking fraud losses took some of the shine off the overall fall in debit and credit fraud in the UK last year. Official figures from the UK Cards Association, which represents UK credit and debit card providers, published on Wednesday show that fraud on debit and credit cards fell by 28 per cent in 2009 to £440 …
John Leyden, 10 Mar 2010
Stock ticker board

Former US POLITICIAN gets 6 years in slammer for FACEBOOK SCAM

A former candidate for governor of Oregon has been sentenced to six years in prison for convincing investors to hand over millions of dollars for Facebook shares he never owned. Craig Berkman got people to hand over $13m by pretending that he had access to stocks in companies like Facebook, LinkedIn, Groupon and Zynga before …
The Register breaking news

Woman with 15 IDs gets 7 years for multiple VAT fraud

A Bristol woman has been jailed for using a complex web of 15 different identities and companies to defraud the Revenue out of £118,000. 48-year-old Alison Reynolds was jailed for seven years yesterday for VAT fraud and police offences. Reynolds was found guilty of four charges of cheating the Public Revenue, one charge of using …
John Oates, 06 May 2011

Target's database raided, 70 MILLION US shoppers at risk of ID theft

Hackers swiped the names, home and email addresses, phone numbers and other personal information of up to 70 million Target shoppers, the superstore giant admitted today. Evidence of the customer database raid was discovered during an investigation into the attack on Target's payment systems that leaked 40 million credit and …
Shaun Nichols, 10 Jan 2014
chalk outline of  human body at crime scene

'Weev' attempts to overturn AT&T iPad 'hack' conviction

Lawyers for Andrew "Weev" Auernheimer went to court on Wednesday to appeal his conviction in a high-profile iPad data leak case. Auernheimer, a member of the grey-hat hacking collective Goatse Security, was jailed for three years and five months back in March 2013 after he was found guilty of leaking the private email addresses …
John Leyden, 20 Mar 2014
The Register breaking news

ID fraud costs UK £2.7bn a year

Identity fraud affects 1.8 million Britons every year, costing £2.7bn in the process, researcher claimed today. A study by the National Fraud Authority - published on Monday at the start of identity fraud prevention week - found that fraudsters gain by more than £1,000 from every stolen identity. Stolen credentials are used to …
John Leyden, 18 Oct 2010
The Register breaking news

UK Serious Fraud Office mulls News Corp probe

The Serious Fraud Office (SFO) is considering investigating various allegations against Rupert Murdoch's News Corp. A spokeswoman said the SFO was mulling over a letter sent to the agency by MP Tom Watson, a member of the Commons media select committee which grilled Murdoch, his son James, and ex-News International boss Rebekah …
Kelly Fiveash, 20 Jul 2011
The Register breaking news

Feds finger China in wire fraud

The FBI has issued an alert warning that money obtained by phishing is being transferred to trade companies in China. The bureau says money obtained from compromised business computers is being wired to Chinese companies located near the Russian border. The transfers are initiated after criminals compromise computers (typically …

Russia charges 'criminal organization' behind Blackhole malware kit

The Russian government has charged a group of people with organized crime offenses related to the creation and use of the Blackhole malware kit. Word first leaked out via Europol in October that a man going by the alias "Paunch", who was suspected of being the creator of the infamous crimeware tool, had been arrested in Russia …
Neil McAllister, 06 Dec 2013

Scam emails tell people they have cancer to trick them into installing a money-stealing Trojan

Sick fraudsters have put out a batch of malware-riddled hoax emails warning recipients that they may have cancer. The scam emails purport to come from the UK National Institute for Health and Care Excellence (Nice). The emails - which arrive with the header "important blood analysis result" - ask prospective victims to download …
John Leyden, 14 Mar 2014
credit: Alexandre Duret-Lutz licensed under Creative Commons Attribution-share alike http://creativecommons.org/licenses/by-sa/2.0/

Serious Farce Office: 32K secret BAE probe files spaffed to WRONG bod

The UK's top anti-fraud agency has admitted it sent tens of thousands of sensitive documents from an investigation into arms giant BAE Systems to the wrong person. The probe into multinational defence corporation BAE Systems ended after the aerospace firm paid a whopping $400m fine to the US relating to a violation of US rules …
Jasper Hamill, 09 Aug 2013
The Register breaking news

HMRC nabs 5 after £500k 'cyber attack' on tax systems

Computer systems operated by the UK's tax authority have been subjected to a cyber attack in an attempted tax scam, it has said. HMRC said that it suspects five men it arrested of using "illegally obtained personal data from third parties" to set up fake tax self-assessment accounts online in a bid to "steal large sums of false …
OUT-LAW.COM, 30 Aug 2013
The Register breaking news

Mobile Active stung for Bieber fraud fever

Mobile ringtone and gaming provider Mobile Active has been busted by the Australian Competition and Consumer Commission for false and misleading advertising practices from two of its subsidiaries Global One Mobile Entertainment and 6G. A Federal Court has forced the company to pay fines totaling AUS$225,000 for the offences …

How con men snatched £100,000+ in iPads and other kit from IT disties

A network of fraudsters has swiped iPads and other consumer tech worth at least £100,000 from IT distributors and resellers, according to credit reference agency Graydon UK. The swindles stretch back 18 months and typically involved members of the network either hijacking a dormant company or setting up a bogus firm and filing …
Paul Kunert, 10 Jul 2013
troll

Smut-spreading copyright trolls told to return cash extracted from victims

The team behind Prenda Law's copyright-trolling business took another hit when a judge ordered it to pay back money to the people it accused of downloading hardcore pornography – AND pay their legal costs. The ruling, from the district court of Minnesota, was made against AF Holdings, a shell company set up to manage the …
Iain Thomson, 08 Nov 2013
Neiman Marcus Massachusetts HQ: pearlescent gold and silver building surrounded by lush plants against a blue sky.

Hackers slurp credit card details from US luxury retailer Neiman Marcus

Upmarket US department store Neiman Marcus has been hit by hackers who broke into systems before lifting an as-yet-unspecified number of credit and debit card details. Neiman Marcus confirmed a security breach in a series of updates to its official Twitter account and apologised, without detailing the extent of the problem or …
John Leyden, 13 Jan 2014
channel

Porridge for Ofcom IT boss in £500k software fraud

Jurgen Whitehouse, IT services boss at Ofcom, was sentenced to two-and-a-half years in prison yesterday for defrauding the telecoms regulator out of more than half-a-million quid. Royal Navy veteran Whitehouse, 37, of Welling, Kent, was sentenced at Southwark Crown Court following an investigation by the Metropolitan Police's …
John Oates, 08 Jun 2011
Bitcoin bloodbath

Bitcoin bust litigants fling sueballs at Japanese bank

A major Japanese bank has now been swept up in the collapse of Bitcoin trader Mt Gox, with Mizuho Bank named as a defendant in one of the many lawsuits cropping up over the collapse. The bank has been added to a lawsuit against Mt Gox, since by providing services to the former Magic-the-Gathering card trading operation, the …
management regulation2

US prosecutors drop hyperlink charges against Barrett Brown

US federal prosecutors have moved to withdraw all but six of the seventeen charges levelled against Barrett Brown. Brown has been fighting charges that he trafficked in data that was stolen in the Stratfor hack. The most controversial of the charges were that he had committed a crime by sharing a hyperlink to a file containing …