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15 years maximum for IT saboteurs
Computer Fraud & Security [3ulletin
January 1994
The virus programs encountered were either boot sector or parasitic. Eight different boot sector and 14 parasitic viruses were named in the survey, however, 63 of the respondents were unsure of the names of the viruses they had encountered.
jail sentences. In the UK, there is little likelihood of the maximum five-year sentence being Increased under the Computer Misuse Act. Nearly 160 separate virus incidents were reported to the police last year, but prosecution cases have been notoriously difficult to prove .
FRAUD NEWS
Police arrest bank-machine gang
The Met and IBM fight computer thieves In the UK, IBM and Scotland Yard have joined forces to fight against PC-related crime. As reported in Computer Weekly, their main concern is criminals gaining unauthorized access to data , although there is also an increase in the theft of hardware. Operation Twilight resulted in the seizure of over £50 000 worth of high-tech computers stolen to order from advertising and design companies in London . The Met and IBM have published a booklet which advises users on how to combat virus infection, protect their data, stop unauthorized access to computers and prevent theft. The booklet gives routine advice including a reminder to back up data, keep sensitive data under lock and key, use password protection and even put a warning notice to remind unauthorized users that they are breaking the law.
The police have been aware of a well organized ring that has been defrauding financial institutions in southern Ontario since soon after the criminal activities began . As reported in the Globe and Mail, the group generally recruited Bulgarians in Canada on visitors' permits to open bank accounts using stolen or forged cheques in amounts between $1000 and $4000. Bank-machine cards were obtained and used to withdraw as much money as possible from the accounts before the cheques cleared. Over the past months the police have identified a number of individuals by analysing handwriting and fingerprints on the cheques that were used to open the accounts. Descriptions were circulated and two people were recognized and arrested by local police. A third escaped, but was later arrested in Toronto, Canada. They were charged with conspiracy to commit fraud over $1000, attempting fraud over $1000, issuing forged documents and obstructing police. The ring is blamed for about 400 frauds costing an estimated $1 million in losses in the Toronto area alone.
15 years maximum for IT saboteurs According to Computer Weekly, in New York tough new laws on computer tampering could result in jail sentences of up to 15 years , triple the maximum sentence in the UK. Behind this is growing alarm over the damage to businesses whose systems are sabotaged. In the latest case, Michael Lafaro - head of a Nassau software company - is facing criminal charges for allegedly infecting a client firm's computer with a virus. Police claim that he, and one of his technicians, deliberately tried to crash the company's system after an argument over unpaid bills. Both men deny the charges which, if proved, could incur fines of up to $10 000 as well as heavy
2
Increase in fraudulent tax returns The General Accounting Office (GAO) has revealed that the Internal Revenue Service (IRS) is finding a sharp increase in the number of fraudulent tax returns filed electronically. As reported in the Wall Street Journal, throughout the first eight months of 1993, the IRS has identified more than 23 000 fraudulent electronic returns - 100% more than for the same period of last year. The promptness of refunds for the perpetrators - about two weeks under normal circumstances - makes electronic filing an appealing target for fraud. Electronically filed tax
© 1994 Elsevier Science Ltd
January 1994
The virus programs encountered were either boot sector or parasitic. Eight different boot sector and 14 parasitic viruses were named in the survey, however, 63 of the respondents were unsure of the names of the viruses they had encountered.
jail sentences. In the UK, there is little likelihood of the maximum five-year sentence being Increased under the Computer Misuse Act. Nearly 160 separate virus incidents were reported to the police last year, but prosecution cases have been notoriously difficult to prove .
FRAUD NEWS
Police arrest bank-machine gang
The Met and IBM fight computer thieves In the UK, IBM and Scotland Yard have joined forces to fight against PC-related crime. As reported in Computer Weekly, their main concern is criminals gaining unauthorized access to data , although there is also an increase in the theft of hardware. Operation Twilight resulted in the seizure of over £50 000 worth of high-tech computers stolen to order from advertising and design companies in London . The Met and IBM have published a booklet which advises users on how to combat virus infection, protect their data, stop unauthorized access to computers and prevent theft. The booklet gives routine advice including a reminder to back up data, keep sensitive data under lock and key, use password protection and even put a warning notice to remind unauthorized users that they are breaking the law.
The police have been aware of a well organized ring that has been defrauding financial institutions in southern Ontario since soon after the criminal activities began . As reported in the Globe and Mail, the group generally recruited Bulgarians in Canada on visitors' permits to open bank accounts using stolen or forged cheques in amounts between $1000 and $4000. Bank-machine cards were obtained and used to withdraw as much money as possible from the accounts before the cheques cleared. Over the past months the police have identified a number of individuals by analysing handwriting and fingerprints on the cheques that were used to open the accounts. Descriptions were circulated and two people were recognized and arrested by local police. A third escaped, but was later arrested in Toronto, Canada. They were charged with conspiracy to commit fraud over $1000, attempting fraud over $1000, issuing forged documents and obstructing police. The ring is blamed for about 400 frauds costing an estimated $1 million in losses in the Toronto area alone.
15 years maximum for IT saboteurs According to Computer Weekly, in New York tough new laws on computer tampering could result in jail sentences of up to 15 years , triple the maximum sentence in the UK. Behind this is growing alarm over the damage to businesses whose systems are sabotaged. In the latest case, Michael Lafaro - head of a Nassau software company - is facing criminal charges for allegedly infecting a client firm's computer with a virus. Police claim that he, and one of his technicians, deliberately tried to crash the company's system after an argument over unpaid bills. Both men deny the charges which, if proved, could incur fines of up to $10 000 as well as heavy
2
Increase in fraudulent tax returns The General Accounting Office (GAO) has revealed that the Internal Revenue Service (IRS) is finding a sharp increase in the number of fraudulent tax returns filed electronically. As reported in the Wall Street Journal, throughout the first eight months of 1993, the IRS has identified more than 23 000 fraudulent electronic returns - 100% more than for the same period of last year. The promptness of refunds for the perpetrators - about two weeks under normal circumstances - makes electronic filing an appealing target for fraud. Electronically filed tax
© 1994 Elsevier Science Ltd