Cyber Criminals: Meet The World Most Wanted.

Cyber Crime is here and it is happening. If you really want to know the magnitude of the problem that every internet user is faced with, it is wise to take a look at Cyber’s Most Wanted criminals. In this article we take a look at Cyber’s most wanted” criminals according to the Federal Bureau Investigation (FBI).

In a bid to curb the ever increasing threat of cybercrime the FBI hosts a resource page on FBI.gov concentrated on cyber-crime. With full awareness to the threats the site contains a link to report an occurrence, and also includes the “Cyber’s Most Wanted” list. When I was reading through the site about the top wanted criminals, I realised how serious the cyber threat issue is growing by the day. The scope of the criminal’s crimes varies astonishingly.

Evgeniy Mikhailovich Bogachev

Evgeniy Mikhailovich Bogachev

Evgeniy Mikhailovich Bogachev, using the online monikers “lucky12345” and “slavik”, is wanted for his alleged involvement in a wide-ranging racketeering enterprise and scheme that installed, without authorization, malicious software known as “Zeus” on victims’ computers. The software was used to capture bank account numbers, passwords, personal identification numbers, and other information necessary to log into online banking accounts. While Bogachev knowingly acted in a role as an administrator, others involved in the scheme conspired to distribute spam and phishing emails, which contained links to compromised web sites. Victims who visited these web sites were infected with the malware, which Bogachev and others utilized to steal money from the victims’ bank accounts. This online account takeover fraud has been investigated by the FBI since the summer of 2009.

Starting in September of 2011, the FBI began investigating a modified version of the Zeus Trojan, known as GameOver Zeus (GOZ). It is believed GOZ is responsible for more than one million computer infections, resulting in financial losses of more than $100 million.

On August 22, 2012, Bogachev was indicted under the nickname “lucky12345” by a federal grand jury in the District of Nebraska on charges of Conspiracy to Participate in Racketeering Activity; Bank Fraud; Conspiracy to Violate the Computer Fraud and Abuse Act; Conspiracy to Violate the Identity Theft and Assumption Deterrence Act; and Aggravated Identity Theft. On May 19, 2014, Bogachev was indicted in his true name by a federal grand jury in the Western District of Pennsylvania on charges of Conspiracy; Computer Fraud; Wire Fraud; Bank Fraud; and Money Laundering. On May 30, 2014, a criminal complaint was issued in the District of Nebraska that ties the previously indicted nickname of "lucky12345" to Bogachev and charges him with Conspiracy to Commit Bank Fraud.

Bogachev was last known to reside in Anapa, Russia. He is known to enjoy boating and may travel to locations along the Black Sea in his boat. He also owns property in Krasnodar, Russia.

WANG DONG

WANG DONG

On May 1, 2014, a grand jury in the Western District of Pennsylvania indicted five members of the People’s Liberation Army (PLA) of the People’s Republic of China (PRC) for 31 criminal counts, including: conspiring to commit computer fraud; accessing a computer without authorization for the purpose of commercial advantage and private financial gain; damaging computers through the transmission of code and commands; aggravated identity theft; economic espionage; and theft of trade secrets.

The subjects, including Wang Dong, were officers of the PRC’s Third Department of the General Staff Department of the People’s Liberation Army (3PLA), Second Bureau, Third Office, Military Unit Cover Designator (MUCD) 61398, at some point during the investigation. The activities executed by each of these individuals allegedly involved in the conspiracy varied according to his specialties. Each provided his individual expertise to an alleged conspiracy to penetrate the computer networks of six American companies while those companies were engaged in negotiations or joint ventures or were pursuing legal action with, or against, state-owned enterprises in China. They then used their illegal access to allegedly steal proprietary information including, for instance, e-mail exchanges among company employees and trade secrets related to technical specifications for nuclear plant designs. Wang controlled victim computers.

Alexsey Belan

Alexsey Belan

Between January 2012 and April 2013, Belan allegedly intruded the computer networks of three major U.S.-based e-commerce companies in Nevada and California. He is alleged to have stolen their user databases which he then exported and made readily accessible on his server. Belan allegedly stole the user data and the encrypted passwords of millions of accounts and then negotiated the sales of the databases.

Peteris Sahurovs

Peteris Sahurovs

Wanted for his alleged involvement in an international cyber crime scheme that took place from February 2010 to September 2010. The scheme used a computer virus that involved the online sale of fraudulent computer security programs that defrauded Internet users of more than $2 million.

Artem Semenov

Artem Semenov

Wanted for his alleged participation in an Eastern European cyber crime ring, operating out of New York, which is known for recruiting money mules to open bank accounts, cashing out money received through unauthorized money transfers, and then transferring the money overseas. An arrest warrant was issued for Semenov in the Southern District of New York on Sept. 29, 2010, after he was charged with conspiracy to commit bank fraud; conspiracy to possess false identification documents; and false use of passport.

Shaileshkumar P. Jain

Shaileshkumar P. Jain

Along with his co-conspirator, Bjorn Daniel Sundin, is wanted for his alleged involvement in an international cyber crime scheme that caused internet users in more than 60 countries to purchase more than one million bogus software products, resulting in consumer loss of more than $100 million. It is alleged that from December 2006 to October 2008, through fake advertisements placed on legitimate companies’ websites, Jain and his accomplices deceived Internet users into believing that their computers were infected with “malware” or had other critical errors in order to encourage them to purchase “scareware” software products that had limited or no ability to remedy the purported defects.

Carlos Enrique Perez-Melara

Carlos Enrique Perez-Melara

Perez-Melara is wanted for his alleged involvement in manufacturing spyware which was used to intercept the private communications of hundreds, if not thousands, of victims. As part of the scheme, Perez-Melara ran a website offering customers a way to “catch a cheating lover” by sending spyware masqueraded as an electronic greeting card. Victims who opened the greeting card would unwittingly install a program onto their computers. The program collected keystrokes and other incoming and outgoing electronic communications on the victims’ computers. The program would periodically send email messages back to the purchasers of the service containing the acquired communications, including the victims’ passwords, lists of visited websites, intercepted email messages and keystroke logs.

These characters are quite interesting indeed. After reading and understanding the capacity that these characters have, then we all know the magnitude of the problem we have. It becomes very critical for us to understand that any one of us can be a victim anytime anywhere.

Be vigilant every time you log onto your Internet for you never know what is going to happen to you and when it will happen.

CYBER-FRAUD: How To Stay Safe On Social Networks.

With the availability of Smartphone's and other sophisticated gadgets more and more people are using social networking sites for their day to day interaction. Social networking sites, every so often referred to as "friend-of-a-friend" sites, build upon the idea of established social networks where you are linked to new people through people you already know. The purpose of some networking sites may be just social, allowing users to establish friendships or passionate associations, while others may spotlight on establishing business associations.

Most people do not exercise caution when they reveal their personal details over the Internet.

Although the kind of social networking sites vary, they all allow you to give details about yourself and offer some type of communication instrument (email, forums, instant messenger, chat rooms,) that enable you to hook up with other users. On some sites, you can surf for people based on certain criterion, while other sites require that you be "introduced" to new people through a link you share. Many of the sites have communities or subgroups that may be based on a particular importance.

What Are The Security Risks Presented on These Sites?
Social networking sites depend on connections and communication, so they persuade you to provide a certain amount of personal details. You should make a decision on how much information you are going to reveal. For most people the decision is often ill conceived. Most people do not exercise caution when they reveal their personal details over the Internet.

The internet is unlike meeting a person in real life. It is known that many people are reluctant to give away information in person than on the internet. People feel much more comfortable with the internet as it seemingly provides a sense of anonymity

Over the internet, people style the information for their friends to read, forgetting that some the same information is accessible to other people as well.

People are people, they always desire to offer insights to astonish prospective friends or acquaintances.

Most users of social sites do not pose a threat. While the bulk of people using these sites do not pose a threat, malicious people may be drawn to them because of the ease of access and quantity of personal data that is easily accessible. The more information malicious people have about you, the easier it is for them to take advantage of you. Predators may form interaction online and then convince unsuspecting individuals to meet them in person. That could lead to a dangerous situation. The personal information can also be used to conduct a social engineering attack. Using information that you provide about your location, hobbies, interests, and friends, a malicious person could imitate a trusted friend or talk into you that they have the authority to access other personal or financial data.

In addition, because of the popularity of these sites, attackers may use them to distribute malicious code. Sites that offer applications developed by third parties are particularly susceptible. Attackers may be able to create customized applications that appear to be innocent while infecting your computer or sharing your information without your knowledge.

Protecting Yourself On Social Sites?

· Use strong passwords - Shield your account with passwords that cannot easily be guessed. If your password is compromised, someone else may be able to access your account and act as if it is you.

· Limit the amount of personal information you post - Do not post information that would make you defenceless, such as your address or information about your timetable or habit. If your connections post information about you, make sure the joint information is not more than you would be comfortable with strangers knowing. Also be considerate when posting information, including photos, about your connections.

· Be skeptical - Don't believe everything you read online. People may post false or misleading information about various topics, including their own identities. This is not necessarily done with malicious intent; it could be unintentional, an exaggeration, or a joke. Take appropriate precautions, though, and try to verify the authenticity of any information before taking any action.

· Be wary of strangers - The Internet makes it easy for people to misrepresent their identities and motives. Consider limiting the people who are allowed to contact you on these sites. If you interact with people you do not know, be cautious about the amount of information you reveal or agreeing to meet them in person.

· Evaluate your settings - Take advantage of a site's privacy settings. The default settings for some sites may allow anyone to see your profile, but you can customize your settings to restrict access to only certain people. There is still a risk that private information could be exposed despite these restrictions, so don't post anything that you wouldn't want the public to see. Sites may change their options periodically, so review your security and privacy settings regularly to make sure that your choices are still appropriate.

· Remember that the Internet is a public resource - Only post information you are comfortable with anyone seeing. This includes information and photos in your profile and in blogs and other forums. Also, once you post information online, you can't retract it. Even if you remove the information from a site, saved or cached versions may still exist on other people's machines.

· Be wary of third-party applications - Third-party applications may provide entertainment or functionality, but use caution when deciding which applications to enable. Avoid applications that seem suspicious, and modify your settings to limit the amount of information the applications can access.

· Check privacy policies - Some sites may share information such as email addresses or user preferences with other companies. This may lead to an increase in spam. Also, try to locate the policy for handling referrals to make sure that you do not unintentionally sign your friends up for spam. Some sites will continue to send email messages to anyone you refer until they join.

· Keep software, particularly your web browser, up to date - Install software updates so that attackers cannot take advantage of known problems or vulnerabilities. Many operating systems offer automatic updates. If this option is available, you should enable it.

· Use and maintain anti-virus software - Anti-virus software helps protect your computer against known viruses, so you may be able to detect and remove the virus before it can do any damage. Because attackers are continually writing new viruses, it is important to keep your definitions up to date.

Children are especially at risk to the terrorization that social networking sites present. Even though many of these sites have age limits, children may misrepresent their ages so that they can join. By teaching children about Internet safety, being aware of their online habits, and guiding them to suitable sites, parents can make sure that the children become safe and accountable users

CYBER-FRAUD Are You Safe? PART 2

E-banking fraud is an issue being experienced globally and is continuing to prove costly to both banks and customers. E-commerce, on-line banking and related technologies have resulted in millions of dollars of financial transactions taking place across network connections and as banks expand their array of online services to clients, the risk of internet computer fraud (ICF) increases and the risk landscape changes.

CYBER-FRAUD Are You Safe?

Financially motivated high-profile attacks have been observed across the globe with the growing patronage of e- banking services and its anticipated dominance in the near future. Some of the known factors that contribute to the acute problem of security must be addressed.

Our first article on Cyber Fraud served as the first in a series of articles that seek to enlighten you on what it is and how it can be mitigated. This second article will take a more detailed look at some of the issues that might help you understand Cyber-Fraud. In modern times banks are not so often robbed because money is not only kept in bank vaults. In up-to-the-minute computer technologies and data networks a lot of money exists in cyber space. Banks have to adapt to modern trends of doing business electronically and at the same time protect themselves against cyber-crimes.

The first recorded “cyber- crime” took place in the year 1820! That is not surprising considering the fact that the abacus, which is thought to be the earliest form of a computer, has been around since 3500 BC in India, Japan and China. The eon of modern computers, however, began with the analytical engine of Charles Babbage. Of late all banks have implemented cyber banking in one way or the other.
Electronic banking has grown significantly in recent years. Banking institutions have already introduced mobile banking products in partnership with mobile operators and the number of banking institutions venturing into mobile banking are on the increase.

The, volume of mobile payment transactions and the volumes of internet transactions also increased substantially. However, as more businesses and customers launch their money into cyberspace, opportunities for 21st century tech-savvy thieves also increase.

While on the one hand, are coping with global developments in technology, on the other hand cyber fraud perpetrators are on the look-out.

At global level ICT advancement has immensely contributed to economic development including finance and banking. The internet is one of the fastest-growing areas of technical infrastructure development. Today information and communication technologies (ICTs) are omnipresent and the trend towards digitization is growing. Due to the pivotal roles of banks in the growth and economic development of any nation, it has become very necessary to protect these institutions from the antics of fraudsters. However, it is the same ICT systems used by the banks which are negatively utilized by perpetrators of fraud. The increased use of ICT such as computers, mobile phones, internet and other associated technologies are the routes which gave rise to lot of constructive work as well as destructive work. The destructive activities are considered as ‘electronic crime’ which includes spamming, credit card fraud, ATM frauds, money laundering, phishing, identity theft, denial of service and other host contributing crime.

While straight-through-transaction processing has afforded new levels of efficiency for financial institutions and greater convenience for consumers, it also creates new opportunities for fraud, as transactions are faster, do not require any human intervention, and are often “anonymous”. Cyberspace has proved resilient to attacks, but the underlying dynamic of the online world has always been that it is easier to attack than to defend. On that note, the contemporary approach at all levels on how to preserve, protect and govern the common good of a trusted cyberspace must be developed, since the growth of the information society is accompanied by new and serious threats. The rising of such threats at various stages is because of the explosion of online banking coupled with the acceptance by consumers to disclose sensitive information over internet.

Electronic fraud is committed in different ways.

In the next article we will be looking at Types of Cyber-Fraud.

Written By SHEWANGU DZOMIRA (PhD) For Arthur Mutambara

Dr. Shewangu Dzomira is a proven researcher and scholar having published book chaptes and more than 14 articles in accredited journals related to cyber banking, cyber fraud risk management, finance and banking, business ethics, taxation and corporate governance. He is an Accountant by profession cum academia. Shewangu has presented more than 8 papers both at national and international conferences in Zimbabwe, South Africa, Europe and USA.

CYBER-FRAUD -Are You Safe? Part 1

Do you own a smart phone, tablet, thumb drive or any sophisticated gadget that you use to communicate with the world? If so then read on as Doctor Shewangu Dzomira explains what all about cyber-fraud. Digital forensics is not just about computer any more.

The problem is that digital forensics is not just about computer any more – smart phones, tablets, thumb drives and more each present unique challenges in accessing data.

It is an endless game of “cat and mouse” between banks and cybercriminals. There is a virtual arms race taking place online between financial institutions and cybercriminals who as soon as the bank deploys a new process or technology to prevent online fraud, they find a weakness to exploit. Cyber banking has recently become a necessity rather than a “superfluity” service across the banking industry. As a result recent developments have shown that most of brick and mortar banks are evolving themselves by shifting their focus towards up gradation of their own e-banking capabilities.
Sherlock Holmes is considered to be the first forensic accountant, the term coined by Peloubet in 1946. Kautilya, from India was the first economist to openly recognise the need of a forensic accountant after mentioning the famous forty ways of embezzlement during the ancient times. In the Egyptian times, 3300-3500BC, commercial transactions were recorded on clay tablets, which would be scaled and if later found to be tempered with, investigations would take place. Any discovered employee crime attracted punishment of a fine, mutilation or death in some cases.

Today, the challenge of combating fraud directed against a business is increased by the diversity and deceptive nature of workplace fraud and a company may realize too late that it has been victimized. Fraudsters, hackers and cybercriminals are refining their methods for account takeover and compromised identities that target bank’s customers and employees. The growth of complexity and access to technology has made susceptibility to ‘hi-tech’ crime which is a threat to businesses in the financial domain where the risk is very high. Also, cybercrime is on the rise; large-scale fraud attacks, consumer data breaches and politically motivated Distributed Denial of Service (DDoS) attacks on financial institutions are costing them billions of dollars annually.

Information Communication Technology (ICT) has brought unintended consequences in form of different cybercrimes which have affected different industries and the banking sector is one of them which have witnessed debit/card fraud, phishing, funds transfer, account takeover, identity theft, DoS and many others.One other problem is that digital forensics is not just about computer any more – smart phones, tablets, thumb drives and more each present unique challenges in accessing data.

It high time we become vigilant. What information are you you releasing to the world. Always think before you log on.

Written By SHEWANGU DZOMIRA (PhD) For Arthur Mutambara

Dr. Shewangu Dzomira is a proven researcher and scholar having published book chaptes and more than 14 articles in accredited journals related to cyber banking, cyber fraud risk management, finance and banking, business ethics, taxation and corporate governance. He is an Accountant by profession cum academia. Shewangu has presented more than 8 papers both at national and international conferences in Zimbabwe, South Africa, Europe and USA.