132 lines
7.2 KiB
Plaintext
132 lines
7.2 KiB
Plaintext
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S.H.A. AND I.H.A. PRESENTS
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1990 NEWSLETTER PART TWO
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JANUARY - FEBRUARY
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BROUGHT TO YOU BY THE CHIEF
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\x\x\x\x\x\x\x\x\x\x\x\x\x\x\x\x
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THIS NEWSLETTER CONTAINS PUBLIC DOCUMENTS ONLY AND SERVES
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AS INFORMATION TO THE PUBLIC ABOUT THE HACKER SOCIETY.
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ALL MATERIAL COMES FROM CONTRIBUTORS TO THE NEWSLETTER BY
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THE PUBLIC. S.H.A. AND I.H.A. TAKES NO RESPONSIBILITY FOR
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ARTICLES AND MATERIAL IN THIS FILE. THIS IS NOT MENT TO
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BE ENCOURAGING ANY ILLEGAL ACTIVITIES.
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-ED
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ABOUT THE BUST OF THE VISA-FRAUD GUYS PART II
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---------------------------------------------
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Some young Swedish "Computer-pirates" use of creditcard-numbers have
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pushed the creditcard-companies to change all their cards.
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The nine youngsters, who have ordered stereos and computer for at least
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100000 Swedish Crowns ($ 15000), are going to trial later this month
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(Feb.). The program which counts the creditcard-numbers exists all over
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the underground "hacker-market" today.
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Within Two years, all of the VISA-cards will have a new and improved
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security number-system. "It takes time to change all of our 300 million
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cards", says Lars Piehl at the Swedish Visa office.
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Thousends of VISA-card owners have been affected by the young hackers.
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With a credit check-list and some mathematics the computer-freaks managed
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to count the way the creditcard-companies do when they make the numbers.
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Then they made the program to do the job for them. With the numbers they
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ordered computers, stereor and made "free" calls to the US of A. The
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Police thinks that this is just the beginning in this case. There must
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be several other hackers who uses creditcard-numbers and such things in
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this country. These nine youngsters are just a drop in the ocean.
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"Over 1000 have been affected by the VISA-fraud, but then there is
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MasterCard, Eurocard, American Express and Diners Club", says the manager
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at VISA-Sweden. The creditcard-companies have a VERY simple way of
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making account-numbers to creditcard-numbers. The formula is so simple
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that the newspaper-journalists who wrote this understood it easily.
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(Tomas Dill<6C>n and Per Lapins). An Expert at the Swedish FBI (S<>PO),
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admits that the program really work, and that that part is classified
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information.
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The program is spread today, and the journalists says "We have easily
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found the program for The Commodore 64 , IBM and Macintosh". In the
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net of computers around the world today for hackers, the program will
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spread very quickly." Although the companies have said that they are
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going to make a new, more secure number-system, thay haven't made any
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attempts to do so yet.
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The cards have generally a lifetime for 2 years, but within two years
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the cards will have a new number-system. Those who have recieved phone-
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bills for calls they have never made and bills for computers they have
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never ordered haven't got much attention from the creditcard-companies.
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They have kept a lid on it, and haven't said much about the hackers to
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their customers.
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"-No, I thought that there had been some mistake and someone else had
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the same creditcard-number as me", a customer said. "MasterCard haven't
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said anything about it", said another. This customer had closed his
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account with MasterCard, but the hackers "hacked" it out.
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Cretitcard-frauds are still reported so there is nothing to indicate a
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fall due to the busts.
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"Did you wonder about why that unemployed bloke down your street have
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got the money to buy a 64Mb Harddisk and a own Board?". That is the be-
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ginning text of a file describing creditcard-fraud found at the board
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"Interpol" in Stockholm. It is written in English and even contain war-
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nings of named American companies and how you use false adresses where
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the stuff will be sent for collection.
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"-We know that the buissness is still going on", says the chief of the
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Swedish Police, Roland St<53>hl, one of the policemen who has been working
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with computer-crimes. Those who are affected and haven't seen the errors
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on their bills, have paid for the hackers without knowledge. An example
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on this is one card-owner who have paid 9000 Swedish crowns for three
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stereos a hacker had ordered. VISA knew about this but haven't tracked
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down the one who paid, although this was requested by the police.
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"If we should go through all transactions, it would take several weeks
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and isn't worth it right now, and in this case, said the security-chief
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at VISA-London to the Swedish Police.
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The creditcard-affairs have changed from beeing something that you
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paid with AT the shop to a telecommunication-shopping counterpart.
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The buyer gives the company his/her adress and cardnumber + expiration
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date and then the stuff comes right to the adress the company got from
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the customer. There is no checking that it IS the one who calls and
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orders the stuff, who lives at the adress given by the caller. It doesn't
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exist in the company computers. Outside Sweden, buying with creditcards
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on the phone is very common and it leaves the field open for fraud.
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It is with foreign companies the Swedish hackers have made their orders.
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Another attraction is to make "free" telephone-calls on creditcards.
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The American Telecom have stated their loss to be as high as 500 Million
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Swedish crowns each year on fraud.
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The Swedish hackers haven't been such criminals. They have used their
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own ID's when they picked the stuff up at the post offices. In one case
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one of the hackers put his birthnumber on customs-papers. Those times
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when they didn't collect the stuff, they couldn't pay the import-fee
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and the Swedish moms (vat). They hadn't got the money even for that.
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"It began as a game", says the attorney Hans G:son Wikmark, one of the
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defenders in the case against the nine youngsters. "They were just trying
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to see if their tricks worked." "If you hit someone on the street, you
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can see the pain in the face on the person you've hit. Now you sit in-
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front of your computer-screen and perhaps doesn't realise what it means."
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Chief of VISA, Lars Piehl, is eager to state how small the card-fraud
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really is today. "Losses because of criminal elements takes about 0.1%
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of the total transactions made." Worldwide transactions made by the large
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creditcard-companies comes up to 3800 Billion Swedish Crowns.
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$ 1.00 = 6.33 Swedish Crowns. In $:s it would be 3800 000 000 000 x 6.33.
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That leave the criminal fraud 3.8 Billion Swedish Crowns.... YEARLY!
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(c) By Swedish Hackers Association 1990
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(c) By International Hackers Association 1990
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