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(Image source: Wired)
BY JEREMY TRUITT
In a heist befitting of another "Ocean's Eleven" sequel, eight New York residents
were arrested Thursday for allegedly participating in stealing $45 million from banks — without
ever walking inside one.
"This was a 21st-century bank heist that reached through the Internet to span the globe. But
instead of guns and masks, this cyber crime organization used laptops and malware." (Via CNN)
It didn't end in New York, either. The eight arrested are part of a New York cell that
belongs to a larger organization responsible for more than 40,000 fraudulent withdrawals
in more than 27 countries — all on two specific occasions. (Via Wired)
So how exactly did the cyberthieves make off with so much cash, especially since the entire
heist was pulled off on two occasions, Dec. 29, 2012, and Feb. 19, 2013?
First, hackers accessed computers that handled prepaid credit cards and stole the PINs. Next,
they erased the card's withdrawal limit. Then they would take any card with a magnetic strip
and load the stolen data onto that card. Finally, they coordinated a time to make thousands
of ATM withdrawals all over the world. (Via NPR)
"If you're a criminal, this is a gorgeous scheme. If you're a bank, this is your worst
nightmare ... The New York cell went up and down Broadway and in the course of two hours
took $2.8 million out of ATMs from 116th Street to 23rd Street." (Via CBS)
Fox Business says the arrests underscore the need for law enforcement to adapt to technological
change, reporting cyber crime amounts to over $100 billion annually. The U.S. Attorney prosecuting
the case said, "Law enforcement is committed to moving just as swiftly to solve these cyber
crimes and bring their perpetrators to justice."
The scheme is the largest bank theft in New York City since the infamous Lufthansa heist
in 1978 at Kennedy Airport, which netted $5.8 million. Officials also warn this arrest could
be the tip of the iceberg, with hundreds more accomplices still at large around the world.