crime
Latest
Court says data swept up by the NSA is protected by the Fourth Amendment
An appeals court may have just shaped how the US treats the NSA's bulk data collection. The Second Circuit Court of Appeals has ruled that American communications scooped up under the Foreign Intelligence Surveillance Act's Section 702 and PRISM is protected by Fourth Amendment rights baring unreasonable searches and seizures. Judges found that the "vast majority" of the evidence collected in a terrorism case against Agron Hasbajrami was permissible under the Fourth Amendment, but that the querying that data "could violate" the amendment -- and thus that it was fair to challenge the data use on constitutional grounds. It also believed that the accidental collection of Americans' data raised "novel constitutional questions" that could be answered later.
SEC charges IT administrator over $7 million insider trading ring
Insider trading among tech companies is nothing new, but some of these unscrupulous workers are more 'successful' than others. The SEC has charged former Palo Alto Networks IT administrator Janardhan Nellore and four friends with conducting insider trading that earned the group over $7 million between 2015 and 2018. Allegedly, Nellore exploited his "IT credentials and work contacts" to access his company's financial data and make illegal share trades. The group was also aware it might be tracked -- Nellore reportedly had the group use variants of the codeword "baby" in emails and texts to refer to the company stock, and the friends made small transactions to avoid tipping off the bank.
Two men plead guilty to running large illegal streaming sites
It didn't take long for federal officials to convict people operating two of the largest pirate streaming sites in the US. Darryl Polo and Luis Villarino have pleaded guilty to copyright infringement charges (and money laundering for Polo) for operating iStreamItAll and Jetflicks, streaming sites that each offered tens of thousands of bootlegged TV episodes and movies. Both Polo and Villarino admitted to using automated software and scripts to harvest pirated videos and make them available as streams and downloads across a variety of platforms -- effectively, they helped run Netflix-like services for ill-gotten goods.
Crypto expert arrested for allegedly helping North Korea evade sanctions
North Korea has long been accused of using cryptocurrency to avoid sanctions, but the US is now accusing a man of giving the country some help American law enforcement has arrested crypto expert and Ethereum project member Virgil Griffith for allegedly providing North Korea with information on how cryptocurrency and blockchain tech could help the isolated nation evade US sanctions. He presented at a crypto conference in Pyongyang despite being denied permission to travel to North Korea, and reportedly discussed how the country could "launder money" and otherwise skirt trade barriers. There were several North Korean officials in the audience who asked him questions, according to the Justice Department.
Thieves took $49 million in Ethereum from a crypto exchange
The string of recent cryptocurrency thefts isn't stopping any time soon. South Korean crypto exchange Upbit has confirmed that 342,000 Etherium coins, worth about $49 million, were transferred from its wallet to an "anonymous wallet" (read: a thief) on November 27th. The exchange quickly suspended all crypto deposits and withdrawals and moved all assets to offline wallets that couldn't be attacked. Upbit said it would "immediately" replace the missing Ethereum with its own assets, but that it would take two weeks before deposits and withdrawals would resume -- if you were depending on that virtual money, you might be in trouble.
Pennsylvania court rules suspect can't be forced to provide his password
Law enforcment might soon have a harder time forcing suspects to unlock their devices. Pennsylvania's Supreme Court has ruled that authorities were asking Joseph J. Davis, the accused in a child pornography case, to violate his Fifth Amendment right against self-incrimination when they asked him to provide the password for his computer. A lower court had determined that the request fell under an exemption to the Fifth Amendment when Davis seemingly acknowledged the presence of child porn on his PC, but the state Supreme Court rejected that argument on the grounds that a password is testimony and thus protected under the Constitution.
Police arrest member of group that hijacked Jack Dorsey's Twitter account
Law enforcement has struck a blow against the group that compromised Twitter chief Jack Dorsey's account, albeit relatively late. Motherboard has learned that police arrested a former leader of Chuckling Squad (unnamed as the person is a child) roughly two weeks ago. The suspect allegedly used SIM swapping to obtain Dorsey's phone number, while others in the group helped with defacing the CEO's account with random messages and slurs.
DoJ charges 14 people in $6 million counterfeit iPhone and iPad scheme
Scammers are continuing to cause problems for Apple, submitting counterfeit iPhones under warranty and getting them replaced with genuine devices. The US Department of Justice recently unsealed a federal grand jury indictment against a China-based group which has allegedly committed fraud and money laundering in a scheme using counterfeit Apple products.
Florida police obtain Alexa recordings in murder investigation
Police have once again obtained Alexa voice recordings as part of an investigation, although they're not necessarily expecting a treasure trove of information this time around. Law enforcement in Hallandale Beach, Florida has used a search warrant to collect Alexa recordings from two Echo Dots as part of a murder case. Investigators want to know if the smart speakers inadvertently picked up audio of a July altercation between Adam Crespo and his wife Silvia Crespo. She died of a spear wound to the chest; Adam maintained that it was the result of an accident that snapped the spear, but detectives want to know if Alexa preserved any evidence of possible foul play.
Airbnb bans 'party houses' following Halloween shooting
Airbnb is tightening its rental policies following a Halloween shooting that left five dead in Orinda, California. CEO Brian Chesky has announced that the service is banning rentals for "party houses" like the mansion at the heart of the shooting, where over 100 people had gathered before the shooting started that night. Chesky also promised "immediate action" against people found violating the policy, including removing them from the service.
Law enforcement shuts down largest known child porn site on the dark web
The US just scored a significant coup against crime on the dark web. Federal agents and international partners have taken down Welcome To Video, believed to be the largest child pornography darknet site to date based on its sheer volume of content. Law enforcement has seized a South Korea server for WTV that held over 8TB of disturbing content, including more than 250,000 videos. It appeared to be a source for exploitative media rather than just a distributor, as 45 percent of the videos studied so far included images that were new to investigators.
Florida man arrested for cutting the brake lines of over 100 e-scooters
E-scooters are convenient for tourists and commuters who want to get around a city. They're equally inconvenient for drivers and pedestrians who have to keep out of the way of scooter traffic. (And that's not to mention the risks they pose during a hurricane.) Florida man Randall Thomas Williams certainly isn't a fan of the on-demand vehicles. According to NBC Miami, police apprehended the man on September 29th for resisting arrest, prowling and a 3rd degree felony count of criminal mischief.
UK police auction TalkTalk hacker's cryptocurrency
A UK police force auctioned off more than £240,000 of cryptocurrency that they confiscated from the teenage hacker behind the 2015 TalkTalk breach. In April 2018, police discovered that Elliott Gunton was stealing personal data in exchange for hundreds of thousands of pounds in cryptocurrency. According to BBC, he admitted to five charges, including computer misuse and money laundering. He was sentenced to 20 months jail time and ordered to pay back £407,359. Apparently he was also sitting on a pretty large stash of cryptocurrency.
Treaty would force Facebook to share encrypted chats with UK police
A cross-Atlantic political agreement could put social networks in an awkward position. Sources for The Times and Bloomberg understand that the US and UK will sign a treaty in October that would force Facebook and other social networks to hand encrypted messages to UK law enforcement. The measure would be limited to 'serious' cases like pedophilia and terrorism, but it could still leave social sites either handing over effectively unusable data (if they can't decrypt chats themselves) or weakening security through backdoors.
Uber reportedly tells its staff not to disclose potential crimes
Uber has faced numerous sexual assault charges against its drivers in its time, but has repeatedly assured its users that it's taking steps to strengthen security for riders. Now, The Washington Post has revealed that despite these measures, Uber's customer service department is reportedly skewed in favor of the company, no matter how serious the complaints -- the majority of which involve sexual assault.
Justice Department sets rules for using genealogy sites to solve crimes
Investigators have used genealogy sites to solve a string of cold cases in recent years, but the US hasn't really had a firm stance on how and when to use those sites. There's now a basic framework in place, however. The Justice Department has established interim rules that determine how this forensic genetic genealogy can be used to tackle unsolved violent crimes. Officials portray it as striking a balance between the desire to solve crimes with the protection of privacy and civil freedoms.
Internet metrics giant settles charges it faked its own numbers
The online ad world (among others) thrives on metrics to gauge how well its campaigns are working, but what happens when the company providing that data is cooking its own books? The industry is grappling with that issue today. Comscore and its former CEO Serge Matta have settled SEC charges they committed fraud to artificially inflate revenue by $50 million and otherwise inflate their metrics between 2014 and 2016. Reportedly, Matta had Comscore join "non-monetary transactions" where it would exchange data without expecting money, but recognized revenue on that data based on an inflated sense of its value -- and lied to both accountants and auditors about it. That, in turn, made it look like Comscore was growing at an unrealistic pace.
Volkswagen's CEO and chairman face Dieselgate charges in Germany
VW's current leadership can't escape the fallout from the Dieselgate scandal. Prosecutors in the German city of Braunschweig have unveiled plans to file stock manipulation charges against existing CEO Herbert Diess, Chairman Hans Dieter Poetsch and former chief exec Martin Winterkorn. They allegedly delayed reporting the emissions cheating with knowledge that it would have a tangible effect on shares. The leaders were pursuing a settlement with US officials "without disclosing all relevant information," according to the prosecutors.
Alleged JPMorgan hacker set to plead guilty
Andrei Tyurin, one of the key suspects in the huge JPMorgan Chase hack in 2014, is set to plead guilty, according to a court filing obtained by Bloomberg. The Russian reportedly struck a deal with federal prosecutors and will appear at a plea hearing next week in New York.
US investigates escort and massage sites over human trafficking
Backpage is no more, but US authorities are still determined to crack down on sites that enable human trafficking and other crimes. Wall Street Journal sources say Homeland Security, the Justice Department and others are reportedly investigating escort and massage sites Eros.com, EroticMonkey.ch and Rubmaps.ch to see if they've either participated in or knowingly facilitated trafficking, prostitution and money laundering. All three are dominating in the US in the wake of Backpage's closure, and both Eros and Rubmaps have turned up as evidence in multiple sex trafficking cases.