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Government departments hit by IT crime wave
FRAUD/HACKING
NEWS
Disconnect PCs, it’s the only way to be safe S security expert, Ed Pankau, has Uurged users to adopt a radical safeguard and disconnect their PCs and modems when the office is empty. Computer Weekly reports that this suggestion from Pankau follows renewed fears over inadequate security after details of a case involving two US companies emerged. Load-testing software specialist Performix has claimed in court documents that its rival, Mercury Interactive, had made an attempt to copy or reverse engineer the
source code of its Empower/CS product. Performix has alleged copyright infringement, fraud and unfair competition. Mercury Interactive strenuously denied it was involved in espionage”. The two any “industrial sides hope to settle the case out of court. Performix was tipped off by an electronic mail message sent by the program using secret code embedded in the package. Any improper use or tampering with the software would
Government crime wave
Fingerprints could prevent credit card fraud has requested a controversial fingerprint technology to help stamp out credit card fraud. Computing reports that William Wilson believes the technology has a huge potential in areas such as banking and motor industry crime prevention. He claimed that a similar technique in New York had led to a 15% decrease in welfare fraud. Wilson said, “Credit card fraud is a major area of crime in the UK. If fingerprints were included on cards, fraud would become a worthless crime, it would be pointless because thieves can’t copy fingerprints.” n
Opponents argue fingerprint-bearing credit cards would create an identity card and this is a cause for concern for some politicians. Wilson claims that the introduction of cheap fingerprint readers, which would check plastic cards in shops, garages and banks etc., would instantly eradicate card fraud. However, these fingerprint readers could also be mounted in police cars, and this leads to fears that police could demand to see credit cards as proof identity. Wilson explained, “I want people to start thinking about the use of fingerprints, not as a crime-detection device, but as one for crime prevention and the technology now exists to do this.”
American Editor: CHARLES CRESSON WOOD Information lnte#ty investments, Sausrlito, CslWomia, USA Australasian Editor: BILL J. CAELLI Queensland Unlverslty oi Technology. Australia European Editor: KEN WO?4G Insight Consulting, London, UK
departments
hit by IT
Government by spates
the UK, a senior police officer Iextension of the use of computerized
Editor: HELEN COLLINSON
trigger the message. Code embedded in apparently bona fide packages could be used to interrogate users’ documents for key words and send them back in secret E-mail messages. Pankau advised users to disconnect their machines at the end of the day to thwart hackers who usually work at night when systems are operative but not monitored. Verification testing of packages should also take place on a single, unconnected PC.
departments in the UK have been hit of IT crime, reports Computer Weekly. A report by a Treasury official which outlines 36 fraud cases says the theft of equipment is “a continuing problem”. There were also several cases of the misuse or improper disclosure of official information to outside parties by members of staff. The Treasury uncovered almost 1000 cases of fraud costing f5.3 million over the last three years. There were 287 cases in 1991192,302 cases in 1992193 and 352 cases in 1993/94. In the latter period, 16 cases of computer fraud led to a loss of 2171 400 an increase of nearly 050 000. In one case of fraud costing more than &19 000, the perpetrator raised four false computer-generated claims and then took advantage of poor security to log into terminals using the personal key cards of other staff, making identification of the culprit difficult. Only one of the 16 computer frauds in 1993/94 resulted in a criminal conviction. A f40 000 theft brought a 21-month jail sentence. Most cases ended in dismissal of the offender.
Editorisl AUvisors: Chris Awry, UK: Hans Gliu, Germany: David Hsrson, CEC, DGXill; Les Lawrenoe, New South Wales, Australia; P.Kraalbeek, Germany: Wayne blades& Virginia, WA; Beldsn Msnkus, Termassee, USA; Bill Murray.Connecticut, USA; Btivsno Dngstts, k&y; Dorm B. Parkr, California, USA; Peter Sammer, UK; Msrklsntam, UK; Petar Tttingsted, Denmark; Hank Wotfe, New Zealand.
Correspondents: Frank Bee+, Melbourne, Australia; John SterlkoM, California, USA; Paul Gannon, Brussels, Belgium.
19% Elssvler Science Ltd., E+?gland/SS/$~.tM per &em No part of this publication may be reproduced, Stored in a retrieval system, or transmitted by any form Or by an means, electrontc, mechanical,,photoco ying, recordingor other&& withautthe priorparmissionof the publishers. {Readers in Yhe USA - p@VWSW Special
regulationskstedon !Jack cover.)
2
Computer Fraud 81 Security November 15% 0 1995 Elsevier Science Ltd
NEWS
Disconnect PCs, it’s the only way to be safe S security expert, Ed Pankau, has Uurged users to adopt a radical safeguard and disconnect their PCs and modems when the office is empty. Computer Weekly reports that this suggestion from Pankau follows renewed fears over inadequate security after details of a case involving two US companies emerged. Load-testing software specialist Performix has claimed in court documents that its rival, Mercury Interactive, had made an attempt to copy or reverse engineer the
source code of its Empower/CS product. Performix has alleged copyright infringement, fraud and unfair competition. Mercury Interactive strenuously denied it was involved in espionage”. The two any “industrial sides hope to settle the case out of court. Performix was tipped off by an electronic mail message sent by the program using secret code embedded in the package. Any improper use or tampering with the software would
Government crime wave
Fingerprints could prevent credit card fraud has requested a controversial fingerprint technology to help stamp out credit card fraud. Computing reports that William Wilson believes the technology has a huge potential in areas such as banking and motor industry crime prevention. He claimed that a similar technique in New York had led to a 15% decrease in welfare fraud. Wilson said, “Credit card fraud is a major area of crime in the UK. If fingerprints were included on cards, fraud would become a worthless crime, it would be pointless because thieves can’t copy fingerprints.” n
Opponents argue fingerprint-bearing credit cards would create an identity card and this is a cause for concern for some politicians. Wilson claims that the introduction of cheap fingerprint readers, which would check plastic cards in shops, garages and banks etc., would instantly eradicate card fraud. However, these fingerprint readers could also be mounted in police cars, and this leads to fears that police could demand to see credit cards as proof identity. Wilson explained, “I want people to start thinking about the use of fingerprints, not as a crime-detection device, but as one for crime prevention and the technology now exists to do this.”
American Editor: CHARLES CRESSON WOOD Information lnte#ty investments, Sausrlito, CslWomia, USA Australasian Editor: BILL J. CAELLI Queensland Unlverslty oi Technology. Australia European Editor: KEN WO?4G Insight Consulting, London, UK
departments
hit by IT
Government by spates
the UK, a senior police officer Iextension of the use of computerized
Editor: HELEN COLLINSON
trigger the message. Code embedded in apparently bona fide packages could be used to interrogate users’ documents for key words and send them back in secret E-mail messages. Pankau advised users to disconnect their machines at the end of the day to thwart hackers who usually work at night when systems are operative but not monitored. Verification testing of packages should also take place on a single, unconnected PC.
departments in the UK have been hit of IT crime, reports Computer Weekly. A report by a Treasury official which outlines 36 fraud cases says the theft of equipment is “a continuing problem”. There were also several cases of the misuse or improper disclosure of official information to outside parties by members of staff. The Treasury uncovered almost 1000 cases of fraud costing f5.3 million over the last three years. There were 287 cases in 1991192,302 cases in 1992193 and 352 cases in 1993/94. In the latter period, 16 cases of computer fraud led to a loss of 2171 400 an increase of nearly 050 000. In one case of fraud costing more than &19 000, the perpetrator raised four false computer-generated claims and then took advantage of poor security to log into terminals using the personal key cards of other staff, making identification of the culprit difficult. Only one of the 16 computer frauds in 1993/94 resulted in a criminal conviction. A f40 000 theft brought a 21-month jail sentence. Most cases ended in dismissal of the offender.
Editorisl AUvisors: Chris Awry, UK: Hans Gliu, Germany: David Hsrson, CEC, DGXill; Les Lawrenoe, New South Wales, Australia; P.Kraalbeek, Germany: Wayne blades& Virginia, WA; Beldsn Msnkus, Termassee, USA; Bill Murray.Connecticut, USA; Btivsno Dngstts, k&y; Dorm B. Parkr, California, USA; Peter Sammer, UK; Msrklsntam, UK; Petar Tttingsted, Denmark; Hank Wotfe, New Zealand.
Correspondents: Frank Bee+, Melbourne, Australia; John SterlkoM, California, USA; Paul Gannon, Brussels, Belgium.
19% Elssvler Science Ltd., E+?gland/SS/$~.tM per &em No part of this publication may be reproduced, Stored in a retrieval system, or transmitted by any form Or by an means, electrontc, mechanical,,photoco ying, recordingor other&& withautthe priorparmissionof the publishers. {Readers in Yhe USA - p@VWSW Special
regulationskstedon !Jack cover.)
2
Computer Fraud 81 Security November 15% 0 1995 Elsevier Science Ltd