Latest in Gear

Image credit:

Car2go: 'Fraud' caused Chicago shutdown, not hacking

There are claims of stolen cars and crime sprees.
Jon Fingas, @jonfingas
April 17, 2019
Share
Tweet
Share

Sponsored Links

Robin Marchant/Getty Images for car2go

Car2go's rental service just suffered what appears to be a major incident. The company has temporarily suspended operations in Chicago after a "fraud issue" in the city. While Car2go didn't provide details (it told Engadget there was an "ongoing investigation"), sources for CBS' Brad Edwards claimed that up to 100 luxury cars had gone missing or were reported stolen, some of which had been used for crimes. Over 12 people were in police custody, Edwards said.

The service didn't address those specific claims in its response to Edwards, but did say it was "working with law enforcement" to address the fraud. It stressed that its app "wasn't hacked" and that that the perpetrators hadn't obtained sensitive member data.

Whatever the cause, the incident is unusual for car services as a whole -- it's not often that a company has to shut down service entirely in a given area, even if temporarily. It also highlights the concerns about internet-driven services in particular, since the added convenience of booking a vehicle online potentially makes it easier for fraudsters to go for joyrides.

All products recommended by Engadget are selected by our editorial team, independent of our parent company. Some of our stories include affiliate links. If you buy something through one of these links, we may earn an affiliate commission.
Comment
Comments
Share
Tweet
Share

Popular on Engadget

Windows XP source code leak sheds light on Microsoft's OS history

Windows XP source code leak sheds light on Microsoft's OS history

View
SpaceX scales back plans for Starship's first high-altitude flight

SpaceX scales back plans for Starship's first high-altitude flight

View
NASA delays its Titan drone mission by another year

NASA delays its Titan drone mission by another year

View
NASA wants ideas for keeping Moon missions powered in the dark

NASA wants ideas for keeping Moon missions powered in the dark

View
Fitbit's OS for the Sense and Versa 3 won't come to earlier smartwatches

Fitbit's OS for the Sense and Versa 3 won't come to earlier smartwatches

View

From around the web

Page 1Page 1ear iconeye iconFill 23text filevr