Identity thieves who specialize in running up unauthorized lines of credit in the names of small businesses are having a field day with all of the closures and economic uncertainty wrought by the COVID-19 pandemic, KrebsOnSecurity has learned. This story is about the victims of a particularly aggressive business ID theft ring that’s spent years targeting small businesses across the country and is now pivoting toward using that access for pandemic assistance loans and unemployment benefits.
The U.S. Justice Department this month offered a $5 million bounty for information leading to the arrest and conviction of a Russian man indicted for allegedly orchestrating a vast, international cybercrime network that called itself “Evil Corp” and stole roughly $100 million from businesses and consumers. As it happens, for several years KrebsOnSecurity closely monitored the day-to-day communications and activities of the accused and his accomplices. What follows is an insider’s look at the back-end operations of this gang.
Some of the most convincing email phishing and malware attacks come disguised as nastygrams from a law firm. Such scams typically notify the recipient that he/she is being sued, and instruct them to review the attached file and respond within a few days — or else. Here’s a look at a recent spam campaign that peppered more than 100,000 business email addresses with fake legal threats harboring malware.
Earlier this month, KrebsOnSecurity featured the exclusive story of a Russian organized cybercrime gang that stole more than $100 million from small to mid-sized businesses with the help of phantom corporations on the border with China. Today, we’ll look at the stranger-than-fiction true tale of an American firm that lost $197,000 in a remarkably similar 2013 cyberheist, only to later recover most of the money after allegedly plying Chinese authorities with a carton of cigarettes and a hefty bounty for their trouble.
A Texas bank that’s suing a customer to recover $1.66 million spirited out of the country in a 2012 cyberheist says it now believes the missing funds are still here in the United States — in a bank account that’s been frozen by the federal government as part of an international cybercrime investigation by the FBI.
An industrial maintenance and construction firm in Tennessee that was hit by a $327,000 cyberheist is suing its financial institution to recover the stolen funds, charging the bank with negligence and breach of contract. Court-watchers say the lawsuit — if it proceeds to trial — could make it easier and cheaper for cyberheist victims to recover losses.
A California oil company that sued its bank after being robbed of $350,000 in a 2011 cyberheist has won a settlement that effectively reimbursed the firm for the stolen funds.
A Missouri firm that unsuccessfully sued its bank to recover $440,000 stolen in a 2010 cyberheist may now be on the hook to cover the financial institution’s legal fees, an appeals court has ruled. Legal experts say the decision is likely to discourage future victims from pursuing such cases.
A California escrow firm that was forced out of business last year after a $1.5 million cyberheist is now suing its former bank to recoup the lost funds.
A state-appointed receiver for the now defunct Huntington Beach, Calif. based Efficient Services Escrow has filed suit against First Foundation Bank, alleging that the bank’s security procedures were not up to snuff, and that it failed to act in good faith when it processed three fraudulent international wire transfers totaling $1,558,439 between December 2012 and February 2013.
Federal authorities have arrested two young brothers in Fresno, Calif. and charged the pair with masterminding a series of cyberheists that siphoned millions of dollars from personal and commercial bank accounts at U.S. banks and brokerages.