http://news.cnet.com/news/0-1007-200-5699762.html?tag=tp_pr
By Robert Lemos
Special to CNET News.com
April 23, 2001, 1:45 p.m. PT
Two Russians were indicted on computer-crime charges stemming from a
rash of intrusions into the networks of banks, Internet service
providers and other companies, a U.S. federal prosecutor said Monday.
The two alleged network intruders, identified as 20-year-old Alexey
Ivanov and 25-year-old Vasiliy Gorshkov, were indicted earlier this
month on counts of conspiracy, wire fraud and violations of the
Computer Crime and Abuse Act, said Assistant U.S. Attorney Stephen
Schroeder.
The duo allegedly broke into the computer systems of several
e-commerce companies, stole credit-card information and then returned
to the companies as "consultants" to charge for fixing the flaw.
"After they hacked into the system, they would communicate with the
system administrator and ask to be paid for information regarding the
vulnerability," said Schroeder, the prosecutor assigned to the case
for the Western District of Washington.
Among the victims in the case are Internet service providers
Speakeasy.net of Seattle and San Diego-based CTF as well as the Los
Angeles-based U.S. subsidiary of South Korea's Nara Bank. Schroeder
said that evidence also linked the two to the theft of 15,700
credit-card numbers from Western Union last September.
Federal authorities say they also found evidence that the two intended
to create a Web page made to resemble the site of online cash-transfer
service PayPal to nab credit card numbers from more victims. However,
it's unknown whether the scam was ever attempted.
International crime spree
The duo's alleged exploits largely match the details of a warning
issued by the FBI in March regarding the activities of organized
hacker groups in Russia and the Ukraine. The advisory blames the
international groups for online break-ins at 40 companies in 20
states.
Schroeder said much of the information in the advisory came from
details revealed by the FBI and the Department of Justice during their
investigation of Ivanov and Gorshkov. He added that the arrests, at
most, scratched the surface of computer-crime circles in Russia.
"There is not just one group in Russia," he said. "And I'm sure that
we didn't get this entire group."
Internet sting operation
Federal authorities say they arrested the two Russians after an FBI
sting operation lured them to the United States with promises of a job
with a fictitious company.
The FBI started the sting operation in July after it had identified
Ivanov as a suspect, said Schroeder.
"We communicated with them and set up a system and invited them to
probe the system," he said, adding that when the two cracked into the
computer, law enforcement officials noted what vulnerabilities they
exploited.
Over several months, law enforcement managed to convince the Russians
to come to the United States to join the company. When they arrived in
November, they were arrested.
Currently, Gorshkov is being held without bail in Seattle until his
May 29 trial. Ivanov has been remanded to Connecticut authorities to
face charges there.
ISN is hosted by SecurityFocus.com
---
To unsubscribe email LISTSERV@SecurityFocus.com with a message body of
"SIGNOFF ISN".
Received on Tue Apr 24 01:58 CDT 2001