In 2015, police departments worldwide started finding ATMs compromised with advanced new “shimming” devices made to clone data from chip card transactions. Authorities in the United States and abroad had seized many of these shimmers, but for years couldn’t decrypt the data on the devices. This is a story of ingenuity and happenstance, and how one former Secret Service agent helped crack a code that revealed the contours of a global organized crime ring.
Skimming attacks on ATMs increased at an alarming rate last year for both American and European banks and their customers, according to recent stats collected by fraud trackers. The trend appears to be continuing into 2016, with outbreaks of skimming activity visiting a much broader swath of the United States than in years past.
Organized cyber criminals stole almost $11 million in two highly coordinated ATM heists in the final days of 2012, KrebsOnSecurity has learned. The events prompted Visa to warn U.S. payment card issuers to be on high-alert for additional ATM cash-out fraud schemes in the New Year.