Crime

Roblox Cancelled Awards Presentation Due To Security Incident (marketwatch.com) 77

Slashdot reader quonset writes: Roblox Corporation was to have its award ceremony for developers on Saturday when it cancelled the event at the last moment. According to reports, a game developer was reportedly arrested on gun charges outside the event.
More from MarketWatch: Citing jail records, the San Francisco Chronicle reported Sunday that a man identified as game developer Mikhail Olson, known by the nickname Simbuilder, was arrested by U.S. Park Police on suspicion of having a concealed firearm in his vehicle, along with armor-piercing ammunition and a large-capacity magazine.

The awards ceremony was held at Fort Mason Center, which is on federal property. According to the Chronicle, the suspect was arrested Saturday afternoon after allegedly assaulting U.S. Park Police officers who had been called over a report of a disturbance outside the Roblox conference.

Crime

Cheating in Tennis: How Cellphone Records Revealed a Massive Match-Fixing Ring (msn.com) 37

"On the morning of his arrest, Grigor Sargsyan was still fixing matches. Four cellphones buzzed on his nightstand with calls and messages from around the world.... The information on his devices would provide a remarkable window into what has become the world's most manipulated sport, according to betting regulators. Thousands of texts, gambling receipts and bank transfers laid out Sargsyan's ascent in remarkable detail..."

That's part one of a two-part story in which more than 181 tennis players are involved, and from more than 30 countries, fixing more than 375 professional tennis matches. The Washington Post reveals the years-long investigation that began when Belgium's gambling commission tipped off their federal prosecutor's office to "irregular wagers on obscure tennis matches played around the world."

The breakthrough came with geolocation data on a cellphone, cross-referenced against the the names of people who'd recently flown to that country... The bets were made in small towns in the Flemish countryside. The gamblers appeared to be acting on inside information; they consistently won even when they bet against steep odds... [Nicolas Borremans, a 45-year-old police investigator based in the Flanders region of Belgium] knew little about sports. He had never watched an entire tennis match. But even a cursory description of the case was enough for him to see how a gambling operation might be used to launder money...

Within a few months, he had traced the accounts of four men who had placed suspicious bets in Belgium, all Armenian immigrants. Their wagers were mostly small — a few hundred euros each — ostensibly to avoid scrutiny. Almost all of the bets were on low-level professional tennis tournaments, where players earned barely enough to pay for their travel. Borremans secured wiretaps on the gamblers' phones, and a team of Armenian interpreters listened in. It became clear that the gamblers were working for someone. They received detailed instructions about which matches to bet on. They weren't gambling just on the outcomes, but on specific scores for sets and games... Borremans added more gamblers to his diagram. "Money mules," he called them. Eventually, he would uncover 1,671 accounts at gambling establishments across Europe. Many were registered by working-class Armenians: mechanics, a pizza deliveryman, a taxi driver.

While the tennis tour "has in recent months issued a raft of bans and suspensions," the article points out that the scale of the gambler/tennis player network "has remained a secret until now, in part because the tour is still working on active investigations related to the operation." (The professional tennis tour has its own investigation unit "formed in part because of pervasive allegations of match-fixing in the sport," which assisted the Belgian police.)

The operation's "maestro" had tried to evade investigators. (One French player received his payment in 21 separate transfers from Armenia.) The maestro also gave the tennis players anonymously-registered SIM cards for communication. But unfortunately, the article points out, every professional tennis player "signs a contract agreeing to hand their phones over to tennis investigators at any time if required." Soon investigators were reading the mastermind's text messages — and even wiretapping his phone calls to his mother.

His phone's search history would later offer a glimpse into his life and concerns. Sargsyan scoured the internet for references to himself and his players ("maestro tennis," "match fixing tennis hossam"); he did some broader research into his world ("tennis corruption," "armenian mafia"); he searched for ways to spend his new fortune ("escort geneve," "villa rent close port mallorca") But, mostly, he searched for new bookmakers ("croatia betting shop," "usa betting," "mybet Australia").
Caught in the investigation were Sebastian Rivera, the Chilean coach based in the United States, and Slovakian tennis player Dagmara Baskova (who says she was paid 10,000 euros for each thrown match). Another French player told investigators "Since 2015, I estimate that I have accepted to deliberately lose or manipulate the outcome of 20 to 30 matches for Maestro, both in singles and doubles." Some tennis players infuriated the maestro by tipping off other gamblers about their plans to throw matches.

Leaving the courtroom for his own trial, the maestro gave this response to the Post reporter asking how he felt about the courtroom proceedings. "If the prosecutor knew what I know, there would be many more people on trial." Later the maestro was sentenced to five years in prison for fraud, money laundering, and leading a criminal organization.
Businesses

11,196 Years Jail Sentence for Faruk Ozer, CEO of Collapsed Turkish Crypto Exchange Thodex (coindesk.com) 55

Faruk Fatih Ozer, the founder of the collapsed Turkish crypto exchange Thodex, his sister Serap Ozer and his brother Guven Ozer have been sentenced to 11,196 years, 10 months and 15 days in prison, according to local media. A judicial fine of 135 million liras ($5 million approx.) was also imposed. From a report: Thodex was one of Turkey's largest crypto exchanges before it suddenly went offline in April 2021 and Ozer went missing. Over 400,000 members were left in the dark without access to deposits of $2 billion in cryptocurrencies. Ozer had fled to Albania but was arrested in August 2022 after an Interpol red notice against him.

By April 2023, Ozer was extradited to Turkey, and detained by police upon arrival on seven charges, including establishing and managing an organization with the purpose of committing a crime, being a member of an organization, fraud by using information systems as a tool of banks or credit institutions, fraud of merchants or company executives and cooperative managers, and laundering the value of assets resulting from crime.

Crime

The International Criminal Court Will Now Prosecute Cyberwar Crimes (wired.com) 32

An anonymous reader quotes a report from Wired: For years, some cybersecurity defenders and advocates have called for a kind of Geneva Convention for cyberwar, new international laws that would create clear consequences for anyone hacking civilian critical infrastructure, like power grids, banks, and hospitals. Now the lead prosecutor of the International Criminal Court at the Hague has made it clear that he intends to enforce those consequences -- no new Geneva Convention required. Instead, he has explicitly stated for the first time that the Hague will investigate and prosecute any hacking crimes that violate existing international law, just as it does for war crimes committed in the physical world.

In a little-noticed article released last month in the quarterly publication Foreign Policy Analytics, the International Criminal Court's lead prosecutor, Karim Khan, spelled out that new commitment: His office will investigate cybercrimes that potentially violate the Rome Statute, the treaty that defines the court's authority to prosecute illegal acts, including war crimes, crimes against humanity, and genocide. "Cyber warfare does not play out in the abstract. Rather, it can have a profound impact on people's lives," Khan writes. "Attempts to impact critical infrastructure such as medical facilities or control systems for power generation may result in immediate consequences for many, particularly the most vulnerable. Consequently, as part of its investigations, my Office will collect and review evidence of such conduct."

When WIRED reached out to the International Criminal Court, a spokesperson for the office of the prosecutor confirmed that this is now the office's official stance. "The Office considers that, in appropriate circumstances, conduct in cyberspace may potentially amount to war crimes, crimes against humanity, genocide, and/or the crime of aggression," the spokesperson writes, "and that such conduct may potentially be prosecuted before the Court where the case is sufficiently grave." Neither Khan's article nor his office's statement to WIRED mention Russia or Ukraine. But the new statement of the ICC prosecutor's intent to investigate and prosecute hacking crimes comes in the midst of growing international focus on Russia's cyberattacks targeting Ukraine both before and after its full-blown invasion of its neighbor in early 2022.

Bitcoin

Ex-FTX Executive Ryan Salame To Forfeit $1.5 Billion As Part of Guilty Plea (coindesk.com) 21

Ryan Salame, a top FTX executive who played a key role in the exchange's political fundraising operations, will forfeit $1.5 billion after pleading guilty on Thursday to federal criminal charges tied to the exchange. CoinDesk reports: Salame, who was co-CEO of FTX's Bahamas entity FTX Digital Markets, pleaded guilty to conspiracy to make unlawful contributions and defraud the Federal Election Commission and conspiracy to operate an unlicensed money transferring business. "I made political contributions in my name that were funded by transfers from an Alameda subsidiary," Salame told Judge Lewis Kaplan, who is also overseeing Bankman-Fried's trial, as he entered his guilty plea. The transfers were "categorized as loans," Salame said, but "it was understood that the would not be repaid." The donations, according to Salame, "were for the benefit of initiatives introduced by others but supported by Sam Bankman-Fried."

As part of his plea agreement with the government, Salame has been ordered to forfeit more than $1.5 billion dollars. He agreed to forfeit $6 million before his sentencing, expected in March of next year. To help cover this amount, Salame has already agreed to give the government a "2021 Porsche automobile" and multiple properties, including two Massachusetts homes and ownership of the East Rood Farm Corporation, an entity Salame owns. Additionally, Salame was ordered to pay more than $5.5 million in restitution to FTX debtors. According to a DOJ document (PDF), the $1.5 billion Salame will forfeit represents "property involved in" the unlicensed money transmitter charge.

It's funny.  Laugh.

Florida Man Charged Over Failed Attempt To Cross Atlantic In Giant 'Hamster Wheel' (thedailybeast.com) 189

An anonymous reader quotes a report from The Daily Beast: A Florida marathoner is facing federal charges after the U.S. Coast Guard spotted him 70 nautical miles off Tybee Island, Georgia on Aug. 26, in a homemade Hydro Pod, as Hurricane Franklin bore down on the Eastern Seaboard. Reza Baluchi claimed he was headed to London in the human-powered vessel, a hamster wheel-like contraption which a newly filed criminal complaint describes as being "afloat as a result of wiring and buoys." When Coast Guard officers told Baluchi they were cutting short his "manifestly unsafe" voyage, Baluchi threatened to kill himself with a 12-inch knife if anyone tried to apprehend him, and claimed to have a bomb aboard, which turned out to be fake, according to the complaint. Three days later, Baluchi -- who authorities have intercepted in his Hydro Pod at least three times previously -- finally surrendered, the complaint states. Baluchi made national news for a 2021 attempt to get from Florida to New York in the Hydro Pod, but washed ashore 25 miles later.
United States

Wanted: Skilled Workers To Combat the Rise in Cyber Crime (ft.com) 82

As a growing number of hackers target companies, organisations and industries with debilitating attacks, more skilled cyber security workers are urgently needed to combat the threat.ÂFrom a report: ISC2, the world's largest association of cyber professionals, estimates that the cyber security workforce in 2022 stood at about 4.7mn people globally. But a further 3.4mn roles remain unfilled. "The gap is massive," says Clar Rosso, ISC2's chief executive. "This shortfall is felt more acutely in countries such as India where digitisation is rapid. But even in the US, only 69 per cent of cyber roles are filled, according to Cyberseek, a website that provides data about the cyber security job market."

Beyond a talent shortfall, existing workers are underskilled. A UK government report this year found that 50 per cent of UK businesses -- some 739,000 in total -- have a basic cyber skills gap, meaning that those in charge of cyber security lack the confidence to carry out the technical measures that protect against the most common digital attacks. Previously, it was thought that a company's IT team could take care of all cyber security concerns. But "over time, it became clear that this needed specialised attention," Rosso says, adding that, after some high-profile ransomware attacks over the past couple of years, "business executives are now paying attention."

Crime

Ignored by Police, Two Women Took Down Their Cyber-Harasser Themselves (msn.com) 104

Here's how the Washington Post tells the story of 34-year-old marketer (and former model) Madison Conradis, who discovered nude behind-the-scenes photos from 10 years earlier had leaked after a series of photographer web sites were breached: Now the photos along with her name and contact information were on 4chan, a lawless website that allows users to post anonymously about topics as varied as music and white supremacy... Facebook users registered under fake names such as "Joe Bummer" sent her direct messages demanding that she send new, explicit photos, or else they would further spread the already leaked photos. Some pictures landed in her father's Instagram messages, while marketing clients told her about the nude images that came their way. Madison was at a friend's party when she got a panicked call from the manager of a hotel restaurant where she had worked: The photos had made their way to his inbox. After two years, hoping a new Florida law against cyberharassment would finally end the torture, Madison walked into her local Melbourne police station and shared everything. But she was told that what she was experiencing was not criminal.

What Madison still did not know was that other women were in the clutches of the same man on the internet — and all faced similar reactions from their local authorities. Without help from the police, they would have to pursue justice on their own.

Some cybersleuthing revealed the four women all had one follower in common on Facebook: Christopher Buonocore. (They were his ex-girlfriend, his ex-fiance, his relative, and a childhood friend.) Eventually Madison's sister Christine — who had recently passed the bar exam — "prepared a 59-page document mapping the entire case with evidence and relevant statutes in each of the victims' jurisdictions. She sent the document to all the women involved, and each showed up at her respective law enforcement offices, dropped the packet in front of investigators and demanded a criminal investigation." The sheriff in Florida's Manatee County, Christine's locality, passed the case up to federal investigators. And in July 2019, the FBI took over on behalf of all six women on the basis of the evidence of interstate cyberstalking that Christine had compiled...

The U.S. attorney for the Middle District of Florida took action at the end of December 2020, but without a federal law criminalizing the nonconsensual distribution of intimate images, she charged Buonocore with six counts of cyberstalking instead, which can apply to some cases involving interstate communication done with the intent to kill, injure, intimidate, harass or surveil someone. He pleaded guilty to all counts the following January...

U.S. District Judge Thomas Barber sentenced Buonocore to 15 years in federal prison — almost four years more than the prosecutor had requested.

Crime

'Starfield' Fan Banned From Subreddit For Narcing On Leaker To Cops (kotaku.com) 127

Kotaku reports that last week 29-year old Darin Harris "allegedly stole dozens of copies of the game from a warehouse and started selling them online," prompting lots of pre-release leaks for the game.

"One Reddit user immediately reported the leaks to Bethesda and Memphis police," adds Kotaku. "And he's now been banned from the r/GamingLeaksAndRumours subreddit after posting about it." I know this because the commenter in question, Jasper Adkins, emailed Kotaku to inform us it had happened. "It seems to me that the subreddit is running on 'bread and circuses' mode mixed with bystander syndrome," he wrote in his initial email. "They're perfectly willing to ignore a crime that hurts a developer they claim to support, in exchange for a few minutes of shaky gameplay filmed from a phone...."

Despite the criminal charges against him, Harris has become something of a folk hero within the community of fans hungry for Starfield leaks. As the Commercial Appeal reported, memes hail him as "Lord Tyrone" (his middle name) and one player even vowed to name their Starfield ship "Memphian" in his honor...

[Adkins] was banned from r/GamingLeaksAndRumours on August 24 shortly after posting about how he tried to help get Harris arrested. "An officer at the station told me so himself when I called him about it," he wrote in the middle of a long comment thread. Adkins soon received a notification that he had violated the subreddit's rules. He protested, but the r/GamingLeaksAndRumours admins weren't having it. "Just not interested in having someone here who takes action against the community like that," they wrote back.

I reached out to one of the subreddit's admins to confirm what had happened and the thinking behind the ban. "If he just did it I wouldn't think badly of him but to come on the sub and brag about calling the cops on the dude just rubbed me the wrong way," one of them told Kotaku in a DM. "Might unban him at some point but for now he's behind the bars of the internet."

Crime

NYPD To Deploy Drones To Monitor Backyard Parties This Holiday Weekend (techspot.com) 120

"The NYC police department intends to use drones to monitor Labor Day backyard parties, raising privacy concerns," writes Slashdot reader jjslash. "Drone usage by U.S. police departments is increasing, with some operating them beyond visual line of sight. TechSpot reports: "If a caller states there's a large crowd, a large party in a backyard, we're going to be utilizing our assets to go up and go check on the party," said assistant NYPD Commissioner Kaz Daughtry at a recent press conference. Naturally, the admission attracted the attention of privacy and civil liberties advocates who questioned if the department's plans violate existing laws governing surveillance in the area.

In its unmanned aircraft systems (UAS): Impact and use policy from 2021, the NYC police department said drones would not be used in areas where there is a reasonable expectation of privacy without a search warrant, except in exigent circumstances (PDF). Are backyard parties really all that pressing?
"Deploying drones in this way is a sci-fi inspired scenario," said Daniel Schwarz, a technology and privacy strategist with the New York Civil Liberties Union. Schwarz added that it is at variance with the Public Oversight of Surveillance Technology (POST) Act, which "requires the reporting and evaluation of surveillance technologies used by the NYPD."
Security

Cybercrime To Cost Germany 206 Billion Euros in 2023, Survey Finds (reuters.com) 9

The theft of IT equipment and data, as well as digital and industrial espionage and sabotage, will cost Germany 206 billion euros ($224 billion) in 2023, German digital association Bitkom said on Friday. From a report: The damage will surpass the 200 billion euro mark for the third consecutive year, according to a Bitkom survey of more than 1,000 companies. "The German economy is a highly attractive target for criminals and hostile states. The boundaries between organised crime and state-controlled actors are blurred," Bitkom President Ralf Wintergerst said. Around three quarters of the companies surveyed suffered digital attacks in the past 12 months, falling from 84% of the companies in the previous year.
Crime

Saudi Man Receives Death Penalty For Posts Online (apnews.com) 159

An anonymous reader quotes a report from the Associated Press: A Saudi court has sentenced a man to death over his posts on X, formerly known as Twitter, and his activity on YouTube, the latest in a widening crackdown on dissent in the kingdom that has drawn international criticism. The judgement against Mohammed bin Nasser al-Ghamdi, seen Wednesday by The Associated Press, comes against the backdrop of doctoral student Salma al-Shehab and others facing decades-long prison sentences over their comments online. The sentences appear part of Crown Prince Mohammed bin Salman's wider effort to stamp out any defiance in the kingdom as he pursues massive building projects and other diplomatic deals to raise his profile globally.

According to court documents, the charges levied against al-Ghamdi include "betraying his religion," "disturbing the security of society," "conspiring against the government" and "impugning the kingdom and the crown prince" -- all for his activity online that involved re-sharing critics' posts. Saudi officials offered no reason for why they specifically targeted al-Ghamdi, a retired school teacher living in the city of Mecca. However, his brother, Saeed bin Nasser al-Ghamdi, is a well-known critic of the Saudi government living in the United Kingdom. "This false ruling aims to spite me personally after failed attempts by the investigators to have me return to the country," the brother tweeted last Thursday. Saudi Arabia has used arrests of family members in the past as a means to pressure those abroad into returning home, activists and those targeted in the past say. [...]

Saudi Arabia is one of the world's top executioners, behind only China and Iran in 2022, according to Amnesty International. The number of people Saudi Arabia executed last year -- 196 inmates -- was the highest recorded by Amnesty in 30 years. In one day alone last March, the kingdom executed 81 people, the largest known mass execution carried out in the kingdom in its modern history. However, al-Ghamdi's case appears to be the first in the current crackdown to level the death penalty against someone for their online behavior.

Transportation

Kias and Hyundais Keep Getting Stolen By the Thousands and Cities Are Suing (vice.com) 264

An anonymous reader quotes a report from Motherboard: Cities across the country are suing Kia and Hyundai for failing to install basic anti-theft technology, with a subsequent massive surge of stolen cars burdening police departments, according to lawsuits filed in recent months. Since the beginning of the year, Seattle, Baltimore, Cleveland, New York, Chicago, St. Louis, and Columbus have all sued Kia and Hyundai, which are owned by the same parent company, for selling cars without engine immobilizers, a technology that has served as a major contributor to the plummeting rate of stolen vehicles in the U.S. As the rest of the industry adopted immobilizers, Kia and Hyundai didn't, with only 26 percent of their cars including them in 2015, compared to 96 percent for other manufacturers.

Without the immobilizers, the cars are trivially easy to steal, requiring just a USB cable. A viral Youtube and Tiktok trend instructed people how to steal the cars. Kia and Hyundai cars manufactured without the immobilizers between 2015 and 2020, especially lower-end models like the Accent, Rio, and Sportage, are especially vulnerable. A lawsuit filed by dozens of insurance companies against Kia and Hyundai allege the lack of immobilizers violated federal regulations. The surge in Kia and Hyundai thefts in cities around the country has been staggering and it shows no sign of abating. In a lawsuit filed last week, the City of Chicago said that in 2022, more than 8,800 Kia and Hyundai vehicles were stolen in the city, which accounts for 41 percent of all of Chicago's car thefts, despite Kia and Hyundai making up just seven percent of the city's vehicles. In a press release announcing the lawsuit, the city said it is getting even worse in 2023, with Kias and Hyundais making up more than half of all stolen cars in the city this year. Chicago is hardly alone. [...]

In statements to Motherboard, Kia spokesperson James Bell said the lawsuits filed by cities against the company are "without merit" and that the National Highway Traffic Safety Administration determined it did not violate any regulations or safety standards. In June, NHTSA's acting associate director of enforcement Cem Hatipoglu responded to 18 state attorneys general that asked for a recall of the cars by saying, "At this time, NHTSA has not determined that this issue constitutes either a safety defect or noncompliance requiring a recall." A NHTSA spokesperson told Motherboard the agency has been meeting with Kia and Hyundai about the issue but wouldn't say if it agreed with Kia's interpretation. Hyundai spokesperson Ira Gabriel similarly said that all its vehicles are "fully compliant with federal anti-theft requirements." Hyundai and Kia owners can get steering wheel locks from their local police departments or through dedicated websites. Both companies also offer a free software patch that they say removes the threat of theft, which requires visiting a dealer. Bell of Kia says the company has distributed more than 190,000 wheel locks and that 650,000 vehicles have gotten the software update, out of three million total. Both companies now include immobilizers on all their new cars.

Crime

UK Police Force Loses 3 Years of Body Camera Footage (independent.co.uk) 61

Slashdot reader Bruce66423 shared this report from the Independent: South Yorkshire Police (SYP) has apologised after revealing more than three years' worth of officer body cam footage has been deleted from its computer systems. SYP said it had referred itself to the Information Commissioner's Office (ICO) after the footage, recorded between July 2020 and May 2023, was found to be missing. The force initially said the incident had been caused by a "significant and unexplained reduction" in stored data on its computer systems and later clarified that the data had been "deleted" and not hacked.

Around 69 cases have been identified as potentially affected by the loss of data and the force said it was working closely with the victims and Crown Prosecution Service. The cases range from cannabis possession through to domestic abuse and sexual offences, SYP told The Independent... Urgent work, led by digital forensic experts, is underway to recover the footage, it added...

It comes just weeks after a major data beach in Northern Ireland, where the force mistakenly published the personal details of officers in response to a freedom of information request. Norfolk and Suffolk police forces, in another freedom of information request incident, released the personal details of more than 1,000 people, including crime victims.

Crime

Tornado Cash Founders Charged With Laundering More Than $1 Billion (cnbc.com) 36

Two founders of Tornado Cash, the widely known Russian cryptocurrency mixer, have been charged with laundering more than $1 billion in criminal proceeds. From a report: In a newly unsealed indictment, Roman Storm and Roman Semenov have both been accused of sanctions violations and laundering money through Tornado Cash, including hundreds of millions of dollars for the Lazarus Group, a sanctioned North Korean state-backed hacking group. Charges in the indictment include conspiring to commit money laundering, conspiracy to commit sanctions violations and conspiracy to operate an unlicensed money transmitting business. Storm was arrested Wednesday in Washington state, according to a statement from the Justice Department, but Semenov, a Russian national, remains at large. The third co-founder, Alexey Pertsev, who is not mentioned in this action, faces trial in Amsterdam over his involvement with Tornado Cash. "Roman Storm and Roman Semenov allegedly operated Tornado Cash and knowingly facilitated this money laundering," said U.S. Attorney Damian Williams, adding, "While publicly claiming to offer a technically sophisticated privacy service, Storm and Semenov in fact knew that they were helping hackers and fraudsters conceal the fruits of their crimes." Further reading: Tornado Cash Co-founder Reports Being Kicked Off GitHub as Industry Reacts To Sanctions (2022);
Coinbase Employees and Ethereum Backers Sue US Treasury Over Tornado Cash Sanctions (2022).
United Kingdom

Teenagers Convicted of Grand Theft Auto, Nvidia Lapsus$ Hacks in the UK (bloomberg.com) 35

Two UK teenagers accused of being key members of the notorious hacking group Lapsus$, behind attacks on companies including Nvidia, Rockstar Games, and Uber, were convicted of their crimes by a London jury Wednesday. From a report: Arion Kurtaj, 18, and a 17-year-old male, who can't be identified, were found to have carried out a number of offenses including serious computer misuse, blackmail and fraud against BT Group's EE network and Nvidia. Kurtaj was also separately accused of hacks into Uber, Rockstar's Grand Theft Auto game, and fintech firm Revolut. The Southwark Crown Court jury only needed to come to a decision on whether Kurtaj was liable for the crimes after he was found by the judge to be unfit to stand trial because of a complex medical condition. The jury found him liable for all 12 charges. The 17-year-old was found guilty of hacking, fraud and blackmail against Nvidia and cleared over two other counts against EE. He had previously plead guilty to two charges relating to the BT hacks. Lapsus$ are an international bunch of loosely connected online extortionists.
Privacy

Cellebrite Asks Cops To Keep Its Phone Hacking Tech 'Hush Hush' (techcrunch.com) 50

An anonymous reader shares a report: For years, cops and other government authorities all over the world have been using phone hacking technology provided by Cellebrite to unlock phones and obtain the data within. And the company has been keen on keeping the use of its technology "hush hush." As part of the deal with government agencies, Cellebrite asks users to keep its tech -- and the fact that they used it -- secret, TechCrunch has learned. This request concerns legal experts who argue that powerful technology like the one Cellebrite builds and sells, and how it gets used by law enforcement agencies, ought to be public and scrutinized.

In a leaked training video for law enforcement customers that was obtained by TechCrunch, a senior Cellebrite employee tells customers that "ultimately, you've extracted the data, it's the data that solves the crime, how you got in, let's try to keep that as hush hush as possible." "We don't really want any techniques to leak in court through disclosure practices, or you know, ultimately in testimony, when you are sitting in the stand, producing all this evidence and discussing how you got into the phone," the employee, who we are not naming, says in the video.

The Almighty Buck

Thousands of Crypto Scammers are Enslaved by Human-Trafficking Gangsters, Says Bloomberg Reporter (bloomberg.com) 100

A Bloomberg investigative reporter wrote a new book titled Number Go Up: Inside Crypto's Wild Rise and Staggering Fall. This week Bloomberg published an excerpt that begins when the reporter received a flirtatious text message from a woman named Vicky Ho for a scam that's called "pig butchering".

"Vicky's random text had found its way to pretty much exactly the wrong target. I'd been investigating the crypto bubble for more than a year..." After a day, Vicky revealed her true love language: Bitcoin price data. She started sending me charts. She told me she'd figured out how to predict market fluctuations and make quick gains of 20% or more. The screenshots she shared showed that during that week alone she'd made $18,600 on one trade, $4,320 on another and $3,600 on a third... For days, she went on chatting without asking for me to send any money. I was supposed to be the mark, but I had to work her to con me.... Vicky sent me a link to download an app called ZBXS. It looked pretty much like other crypto-exchange apps. "New safe and stable trading market," a banner read at the top. Then Vicky gave me some instructions. They involved buying one cryptocurrency using another crypto-exchange app, then transferring the crypto to ZBXS's deposit address on the blockchain, a 42-character string of letters and numbers...

People around the world really were losing huge sums of money to the con. A project finance lawyer in Boston with terminal cancer handed over $2.5 million. A divorced mother of three in St. Louis was defrauded of $5 million. And the victims I spoke to all told me they'd been told to use Tether, the same coin Vicky suggested to me. Rich Sanders, the lead investigator at CipherBlade, a crypto-tracing firm, said that at least $10 billion had been lost to crypto romance scams.

The huge sums involved weren't the most shocking part. I learned that whoever was posing as Vicky was likely a victim as well — of human trafficking. Most "pig-butchering" operations were orchestrated by Chinese gangsters based in Cambodia or Myanmar. They'd lure young people from across Southeast Asia to move abroad with the promise of well-paying jobs in customer service or online gambling. Then, when the workers arrived, they'd be held captive and forced into a criminal racket. Thousands have been tricked this way. Entire office towers are filled with floor after floor of people sending spam messages around the clock, under threat of torture or death.

With the assistance of translators, I started video chatting with people who'd escaped...

I'd heard that [southwestern Cambodia's giant building complex] Chinatown alone held as many as 6,000 captive workers like "Vicky Ho."

Two of the workers interviewed "said they'd seen workers murdered." And another worker said Tether was used specifically because "It's more safe. We are afraid people will track us... It's untraceable."

The reporter's conclusion? "It was hard to see how this slave complex could exist without cryptocurrency."
The Almighty Buck

SBF Used $100 Million In Stolen FTX Funds For Political Donations (reuters.com) 107

Sam Bankman-Fried used money he stole from customers of his FTX cryptocurrency exchange to make more than $100 million in political campaign contributions before the 2022 U.S. midterm elections, federal prosecutors said on Monday. Reuters reports: An amended indictment accused the 31-year-old former billionaire of directing two FTX executives to evade contribution limits by donating to Democrats and Republicans, and to conceal where the money came from. "He leveraged this influence, in turn, to lobby Congress and regulatory agencies to support legislation and regulation he believed would make it easier for FTX to continue to accept customer deposits and grow," the indictment said.

Bankman-Fried faces seven counts of conspiracy and fraud over FTX's collapse, though the indictment no longer includes conspiracy to violate campaign finance laws as a separate count. [...] Bankman-Fried's indictment does not name the two people prosecutors say he used for "straw donors" to donate money at his direction. But other court papers and Federal Elections Commission data show they are Nishad Singh and Ryan Salame. Singh, FTX's former engineering chief, pleaded guilty to fraud and campaign finance violations in February. He donated $9.7 million to Democratic candidates and causes, and said in court he knew the money came from FTX customers.

Salame, the former co-CEO of FTX's Bahamian unit, gave more than $24 million to Republican candidates and causes in the 2022 election cycle, according to Federal Election Commision data. He has not been charged with a crime. In a separate court filing on Monday, prosecutors said Salame's lawyer had told them he would invoke his Fifth Amendment right against self-incrimination if called to testify. Prosecutors said Salame told a family member in a November 2021 message that Bankman-Fried wanted to use political donations to "weed-out" anti-crypto Democratic and Republican lawmakers, and would likely "route money through me to weed out that republican [sic] side."
On Friday, a U.S. judge revoked Sam Bankman-Fried's bail due to probable cause that he tampered with witnesses at least twice. He is being sent to jail.
Crime

Bomb Threat Causes Mass Evacuation at DEF CON Hacking Convention (theregister.com) 45

A bomb threat against Caesars Forum, the main venue for this week's DEF CON hacking convention, led to the halls being cleared on Saturday evening and the building searched by fire crews and police officers. The Register reports: The timing was very bad, coming in the evening of the main party night for the event. The conference Goons, the red-shirted volunteers who serve as guides and organizers, were praised by attendees for managing the evacuation with aplomb, but when it became clear that the search for the suspect device was going to be hard to find, the DEC CON team cancelled the evening's festivities at Caesars, to the disappointment of thousands.

"Last night we were asked to evacuate the building due to a report of a suspicious package. Local police and fire departments conducted a thorough investigation and ultimately determined that the package was safe," the organizers said. "They also conducted additional sweeps of the building as a precaution before allowing our team to return and prepare for today's con. We are working quickly to keep the original schedule on track, but please check here for additional updates before arriving at DEF CON." The event kicked off on August 10 and wrapped up by August 13.

Presumably the hoax caller thought of themselves as a merry prankster, rather than the selfish idiot who ruined everyone's night - particularly the timing for those in the Track Four hall who were enjoying 2001: A Space Odyssey and who were forced to miss the crucial last 10 minutes of the movie. While tricks and pranks are something of a tradition, they only get respect if they are clever and intricate, not some fool showing they could use a telephone. It's not like security at the show wasn't heavy enough. The event was patrolled regularly by security guards in body armor with handguns, tasers, the occasional police dog, and a host of other equipment that was a bit of an overkill for a bunch of peaceable hackers. Dubbed by some as "Gravy SEALs," by the end of the show they were visibly warming up, and this hack saw several of them accepting stickers from attendees.

Slashdot Top Deals