Authorities in India today arrested the alleged co-founder of Garantex, a cryptocurrency exchange sanctioned by the U.S. government in 2022 for facilitating tens of billions of dollars in money laundering by transnational criminal and cybercriminal organizations. Sources close to the investigation told KrebsOnSecurity the Lithuanian national Aleksej Besciokov, 46, was apprehended while vacationing on the coast of India with his family.
In September 2023, KrebsOnSecurity published findings from security researchers who concluded that a series of six-figure cyberheists across dozens of victims resulted from thieves cracking master passwords stolen from the password manager service LastPass in 2022. In a court filing this week, U.S. federal agents investigating a spectacular $150 million cryptocurrency heist said they had reached the same conclusion.
Nikita Kislitsin, formerly the head of network security for one of Russia’s top cybersecurity firms, was arrested last week in Kazakhstan in response to 10-year-old hacking charges from the U.S. Department of Justice. Experts say Kislitsin’s prosecution could soon put the Kazakhstan government in a sticky diplomatic position, as the Kremlin is already signaling that it intends to block his extradition to the United States.
The U.S. government this week put a $10 million bounty on the head of a Russian man who for the past 18 years operated Try2Check, one of the cybercrime underground’s most trusted services for checking the validity of stolen credit card data. U.S. authorities say 43-year-old Denis Kulkov’s card-checking service made him at least $18 million, which he used to buy a Ferrari, Land Rover, and other luxury items.
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.
Yesterday’s piece told the tale of Hieu Minh Ngo, a hacker the U.S. Secret Service described as someone who caused more material financial harm to more Americans than any other convicted cybercriminal. Ngo was recently deported back to his home country after serving more than seven years in prison for running multiple identity theft services. He now says he wants to use his experience to convince other cybercriminals to use their skills for good. Here’s a look at what happened after he got busted.
At the height of his cybercriminal career, the hacker known as “Hieupc” was earning $125,000 a month running a bustling identity theft service that siphoned consumer dossiers from some of the world’s top data brokers. That is, until his greed and ambition played straight into an elaborate snare set by the U.S. Secret Service. Now, after more than seven years in prison Hieupc is back in his home country and hoping to convince other would-be cybercrooks to use their computer skills for good.
A well-organized Nigerian crime ring is exploiting the COVID-19 crisis by committing large-scale fraud against multiple state unemployment insurance programs, with potential losses in the hundreds of millions of dollars, according to a new alert issued by the U.S. Secret Service.
A memo seen by KrebsOnSecurity that the Secret Service sent to field offices around the United States this week says the ring has been filing unemployment claims in different states using Social Security numbers and other personally identifiable information (PII) belonging to identity theft victims, and that “a substantial amount of the fraudulent benefits submitted have used PII from first responders, government personnel and school employees.”
Crooks are constantly dreaming up new ways to use and conceal stolen credit card data. According to the U.S. Secret Service, the latest scheme involves stolen card information embedded in barcodes affixed to phony money network rewards cards. The scammers then pay for merchandise by instructing a cashier to scan the barcode and enter the expiration date and card security code.
The U.S. Secret Service is investigating a breach at a Virginia-based government technology contractor that saw access to several of its systems put up for sale in the cybercrime underground, KrebsOnSecurity has learned. The contractor claims the access being auctioned off was to old test systems that do not have direct connections to its government partner networks.
In mid-August, a member of a popular Russian-language cybercrime forum offered to sell access to the internal network of a U.S. government IT contractor that does business with more than 20 federal agencies, including several branches of the military. The seller bragged that he had access to email correspondence and credentials needed to view databases of the client agencies, and set the opening price at six bitcoins (~USD $60,000).
