Security experts are warning Web-surfing consumers about a rise in cybercrime and scams related to Osama bin Laden's death.
Major news events are often accompanied by an uptick in cybercrime, as perpetrators seek to take advantage of Web searches for content such as pictures and videos.
"I suppose this was just inevitable," Dave Marcus, director of security research for McAfee Labs, wrote in a blog post. "The reported death of Osama Bin Laden is just too good a lure for cybercriminals and scammers to pass up."
Marcus said e-mails are circulating with links purporting to lead to photos of bin Laden's corpse. One message teases to a video showing bin Laden disproving his death by holding a newspaper with Monday's date. Clicking on the links generally opens files that install malware on the user's computer. In other cases, cybercriminals have poisoned Google Images results.
Facebook is also a fertile breeding ground for these scams, with malicious links being circulated on posts and messages within the social networking site. Researchers at Kaspersky Labs said they noticed scam ads on Facebook promising free merchandise in celebration of bin Laden's death. Users that click on the ads will be redirected multiple times, with each layer asking for more detailed personal information, Kaspersky Labs said.
Experts at Websense said cybercriminals compromised the website of Sohaib Athar, the Pakistani information technology consultant living in Abbottabad who provided a real-time account of the U.S. operation via his Twitter feed. In a blog post, Websense said a malicious code was embedded into the site that installs malware on a computer. The malware installs fake software that looks like a security tool, and prompts users to enter their credit card information to purchase a premium version of this software.
Security experts said consumers should be careful searching for information on the Web, visiting only websites of credible news sources, and be wary of links in e-mails. Making sure anti-virus and firewall software is updated is also helpful, as these kinds of attacks are increasingly common.
"We believe the hackers laid the criminal groundwork in advance, waiting for the right news trigger," said Rony Moshkovich, malware researcher at PC Tools.
Source: http://www.chicagobreakingnews.com/news/local/chibrkbus-bin-ladens-death-leads-to-surge-in-cybercrimes-internet-scams-20110503,0,101828.story
Showing posts with label scam. Show all posts
Showing posts with label scam. Show all posts
Tuesday, May 3, 2011
Tuesday, March 9, 2010
Sacramento accountant pleads guilty to Ponzi scheme
William Murray, a Sacramento accountant who stole more than $13 million from 52 clients between 2001 and 2009, pleaded guilty today in federal court to mail fraud and interference with tax administration.
U. S. District Judge Edward J. Garcia ordered Murray to immediately be taken into custody by deputy U. S. marshals. The judge set sentencing for May 28.
Murray, 55, told clients to write checks to accounts under his control so he could pay taxes or make investments on their behalf. Much of the money went to support his extravagant lifestyle, including the purchase of real property, a classic car, a fleet of limousines, expensive jewelry and rugs, and fine wines.
He changed his clients' addresses to his own so they would not receive the IRS' delinquent tax notices.
As demands for payment arrived from clients and the IRS, Murray's fraud became a Ponzi scheme that he perpetuated by using more than $3.5 million in recent client receipts to pay off demands stemming from earlier theft.
Before the house of cards collapsed, Murray was a man of some prominence. He was a certified public accountant with a solid client base.
He regularly offered tax advice on a local television channel. He was used as an expert witness in courts in five counties.
He served as a federal tax agent between 1976 and 1980, when he moved to Sacramento to join a former IRS colleague in private practice.
Murray's plea agreement calls for the forfeiture of all his remaining assets to the government, victim restitution, and full disclosure of his finances to the victims.
Source: http://www.sacbee.com/static/weblogs/crime/archives/2010/03/sacramento-acco.html
U. S. District Judge Edward J. Garcia ordered Murray to immediately be taken into custody by deputy U. S. marshals. The judge set sentencing for May 28.
Murray, 55, told clients to write checks to accounts under his control so he could pay taxes or make investments on their behalf. Much of the money went to support his extravagant lifestyle, including the purchase of real property, a classic car, a fleet of limousines, expensive jewelry and rugs, and fine wines.
He changed his clients' addresses to his own so they would not receive the IRS' delinquent tax notices.
As demands for payment arrived from clients and the IRS, Murray's fraud became a Ponzi scheme that he perpetuated by using more than $3.5 million in recent client receipts to pay off demands stemming from earlier theft.
Before the house of cards collapsed, Murray was a man of some prominence. He was a certified public accountant with a solid client base.
He regularly offered tax advice on a local television channel. He was used as an expert witness in courts in five counties.
He served as a federal tax agent between 1976 and 1980, when he moved to Sacramento to join a former IRS colleague in private practice.
Murray's plea agreement calls for the forfeiture of all his remaining assets to the government, victim restitution, and full disclosure of his finances to the victims.
Source: http://www.sacbee.com/static/weblogs/crime/archives/2010/03/sacramento-acco.html
Thursday, December 11, 2008
Bernard Madoff arrested over alleged $50 billion fraud
Bernard Madoff, a quiet force on Wall Street for decades, was arrested and charged on Thursday with allegedly running a $50 billion Ponzi scheme in what may rank among the biggest frauds ever.
The former chairman of the Nasdaq Stock Market is best known as the founder of Bernard L. Madoff Investment Securities LLC, the closely-held market-making firm he launched in 1960. But he also ran a hedge fund that U.S. prosecutors said racked up $50 billion of fraudulent losses.
Madoff told senior employees of his firm on Wednesday that "it's all just one big lie" and that it was "basically, a giant Ponzi scheme," with estimated investor losses of about $50 billion, according to the U.S. Attorney's criminal complaint against him. A Ponzi scheme is a swindle where early investors are paid off with money from later investors.
The $50 billion allegedly lost to investors would make Madoff's fund one of the biggest frauds in history. When Enron filed for bankruptcy in 2001, one of the largest at the time, it had $63.4 billion in assets.
U.S. prosecutors charged Madoff, 70, with a single count of securities fraud. They said he faces up to 20 years in prison and a fine of up to $5 million.
"Madoff stated that the business was insolvent, and that it had been for years," Lev Dassin, acting United States Attorney for the Southern District of New York, said in a statement.
The Securities and Exchange Commission filed separate civil charges against Madoff.
Authorities said that, according to a document filed by Madoff with the U.S. Securities and Exchange Commission on January 7, 2008, Madoff's investment advisory business served between 11 and 25 clients and had a total of about $17.1 billion in assets under management. Those clients may have included other funds that in turn had many investors.
The SEC said it appeared that virtually all of the assets of his hedge fund business were missing.
CONSISTENT RETURNS
An investor in the hedge fund said it generated consistent returns, which was part of the attraction. Since 2004, annual returns averaged around 8 percent and ranged from 7.3 percent to 9 percent, but last decade returns were typically in the low-double digits, the investor said.
The fund told investors it followed a "split strike conversion" strategy, which entailed owning stock and buying and selling options to limit downside risk, said the investor, who requested anonymity.
Jon Najarian, an acquaintance of Madoff who has traded options for decades, said ... "Many of us questioned how that strategy could generate those kinds of returns so consistently."
Najarian, co-founder of optionmonster.com, once tried to buy what was then the Cincinnati Stock Exchange when Madoff was a major seatholder on the exchange. Najarian met with Madoff, who rejected his bid.
"He always seemed to be a straight shooter. I was shocked by this news," Najarian said.
'UNFORTUNATE SET OF EVENTS'
"Bernard Madoff is a longstanding leader in the financial services industry," his lawyer Dan Horwitz told reporters outside a downtown Manhattan courtroom where he was charged. "We will fight to get through this unfortunate set of events."
A shaken Madoff stared at the ground as reporters peppered him with questions. He was released after posting a $10 million bond secured by his Manhattan apartment.
"Our complaint alleges a stunning fraud -- both in terms of scope and duration," said Scott Friestad, the SEC's deputy enforcer. "We are moving quickly and decisively to stop the scheme and protect the remaining assets for investors."
Madoff had long kept the financial statements for his hedge fund business under "lock and key," according to prosecutors, and was "cryptic" about the firm. The hedge fund business was located on a separate floor from the market making business.
Bernard L. Madoff Investment Securities has more than $700 million in capital, according to its website. It is a market maker for about 350 Nasdaq stocks, including Apple, EBay and Dell, according to the website.
The website also states that Madoff himself has "a personal interest in maintaining the unblemished record of value, fair-dealing, and high ethical standards that has always been the firm's hallmark."
The company's web site may be found here: http://www.madoff.com/
Source: http://news.yahoo.com/s/nm/20081212/bs_nm/us_madoff_arrest
The former chairman of the Nasdaq Stock Market is best known as the founder of Bernard L. Madoff Investment Securities LLC, the closely-held market-making firm he launched in 1960. But he also ran a hedge fund that U.S. prosecutors said racked up $50 billion of fraudulent losses.
Madoff told senior employees of his firm on Wednesday that "it's all just one big lie" and that it was "basically, a giant Ponzi scheme," with estimated investor losses of about $50 billion, according to the U.S. Attorney's criminal complaint against him. A Ponzi scheme is a swindle where early investors are paid off with money from later investors.
The $50 billion allegedly lost to investors would make Madoff's fund one of the biggest frauds in history. When Enron filed for bankruptcy in 2001, one of the largest at the time, it had $63.4 billion in assets.
U.S. prosecutors charged Madoff, 70, with a single count of securities fraud. They said he faces up to 20 years in prison and a fine of up to $5 million.
"Madoff stated that the business was insolvent, and that it had been for years," Lev Dassin, acting United States Attorney for the Southern District of New York, said in a statement.
The Securities and Exchange Commission filed separate civil charges against Madoff.
Authorities said that, according to a document filed by Madoff with the U.S. Securities and Exchange Commission on January 7, 2008, Madoff's investment advisory business served between 11 and 25 clients and had a total of about $17.1 billion in assets under management. Those clients may have included other funds that in turn had many investors.
The SEC said it appeared that virtually all of the assets of his hedge fund business were missing.
CONSISTENT RETURNS
An investor in the hedge fund said it generated consistent returns, which was part of the attraction. Since 2004, annual returns averaged around 8 percent and ranged from 7.3 percent to 9 percent, but last decade returns were typically in the low-double digits, the investor said.
The fund told investors it followed a "split strike conversion" strategy, which entailed owning stock and buying and selling options to limit downside risk, said the investor, who requested anonymity.
Jon Najarian, an acquaintance of Madoff who has traded options for decades, said ... "Many of us questioned how that strategy could generate those kinds of returns so consistently."
Najarian, co-founder of optionmonster.com, once tried to buy what was then the Cincinnati Stock Exchange when Madoff was a major seatholder on the exchange. Najarian met with Madoff, who rejected his bid.
"He always seemed to be a straight shooter. I was shocked by this news," Najarian said.
'UNFORTUNATE SET OF EVENTS'
"Bernard Madoff is a longstanding leader in the financial services industry," his lawyer Dan Horwitz told reporters outside a downtown Manhattan courtroom where he was charged. "We will fight to get through this unfortunate set of events."
A shaken Madoff stared at the ground as reporters peppered him with questions. He was released after posting a $10 million bond secured by his Manhattan apartment.
"Our complaint alleges a stunning fraud -- both in terms of scope and duration," said Scott Friestad, the SEC's deputy enforcer. "We are moving quickly and decisively to stop the scheme and protect the remaining assets for investors."
Madoff had long kept the financial statements for his hedge fund business under "lock and key," according to prosecutors, and was "cryptic" about the firm. The hedge fund business was located on a separate floor from the market making business.
Bernard L. Madoff Investment Securities has more than $700 million in capital, according to its website. It is a market maker for about 350 Nasdaq stocks, including Apple, EBay and Dell, according to the website.
The website also states that Madoff himself has "a personal interest in maintaining the unblemished record of value, fair-dealing, and high ethical standards that has always been the firm's hallmark."
The company's web site may be found here: http://www.madoff.com/
Source: http://news.yahoo.com/s/nm/20081212/bs_nm/us_madoff_arrest
Thursday, June 26, 2008
Airlines pay $504M to settle price-fixing scam
Justice Department calls fine against Air France-KLM one of the largest in history
WASHINGTON (AP) -- Four international airlines have agreed to pay $504 million in fines to settle charges they conspired to fleece consumers by driving up cargo shipping prices.
The Justice Department called the case one of the largest antitrust settlements in U.S. history.
Associate Attorney General Kevin O'Connor called the scam an "international price-fixing cartel" that cost consumers hundreds of millions of dollars between 2001 and 2006. In some instances, for example, fuel surcharges rose by 1,000 percent.
One of the four airlines -- Air France-KLM -- has agreed to pay $350 million of the total settlement. The other carriers are Cathay Pacific Airways, Martinair Holland and SAS Cargo Group
"American consumers and taxpayers pour billions of dollars each year into the pockets of these lawbreakers," said FBI Assistant Director Joe Persichini. "Let there be no mistake that people in corporations that take consumers and taxpayers in this way are thieves."
Authorities said executives from each of the airlines met repeatedly in the United States, Europe and Asia to cook up a price-fixing scheme that raised cargo rates, fuel surcharges and security costs for businesses and, ultimately, consumers. The cartel focused on goods shipped to and from the United States, including electronics, clothing, produce and medicines, O'Connor said.
The settlement agreement, filed Thursday in U.S. District Court in Washington, still requires a judge's approval.
Thursday's announcement marked the latest in a series of cargo shipping settlements over the last two years. Earlier, British Airways, Korean Air, Qantas and Japan Airlines filed similar agreements as part of the investigation.
In all, airlines have agreed to pay $1.2 billion in fines -- what O'Connor called "the highest total amount of fines ever imposed in a criminal antitrust investigation."
The investigation is continuing.
Source: http://biz.yahoo.com/ap/080626/airline_price_fixing.html
WASHINGTON (AP) -- Four international airlines have agreed to pay $504 million in fines to settle charges they conspired to fleece consumers by driving up cargo shipping prices.
The Justice Department called the case one of the largest antitrust settlements in U.S. history.
Associate Attorney General Kevin O'Connor called the scam an "international price-fixing cartel" that cost consumers hundreds of millions of dollars between 2001 and 2006. In some instances, for example, fuel surcharges rose by 1,000 percent.
One of the four airlines -- Air France-KLM -- has agreed to pay $350 million of the total settlement. The other carriers are Cathay Pacific Airways, Martinair Holland and SAS Cargo Group
"American consumers and taxpayers pour billions of dollars each year into the pockets of these lawbreakers," said FBI Assistant Director Joe Persichini. "Let there be no mistake that people in corporations that take consumers and taxpayers in this way are thieves."
Authorities said executives from each of the airlines met repeatedly in the United States, Europe and Asia to cook up a price-fixing scheme that raised cargo rates, fuel surcharges and security costs for businesses and, ultimately, consumers. The cartel focused on goods shipped to and from the United States, including electronics, clothing, produce and medicines, O'Connor said.
The settlement agreement, filed Thursday in U.S. District Court in Washington, still requires a judge's approval.
Thursday's announcement marked the latest in a series of cargo shipping settlements over the last two years. Earlier, British Airways, Korean Air, Qantas and Japan Airlines filed similar agreements as part of the investigation.
In all, airlines have agreed to pay $1.2 billion in fines -- what O'Connor called "the highest total amount of fines ever imposed in a criminal antitrust investigation."
The investigation is continuing.
Source: http://biz.yahoo.com/ap/080626/airline_price_fixing.html
Subscribe to:
Posts (Atom)
