How Organized Crime Uses Technology to Make Money

Stock scams, identity theft, you name it, this character has seen it. A fictional "CIO to the mob" explains how organized crime profits from IT.

Mon, June 11, 2007CIO People call me a lot of things. Nobody would ever call me a CIO, but after reading CIO magazine a little bit, I guess that’s basically what I am. Maybe I’m a little younger than you. A little more techy. I know my routers and code.

Most of the guys I work with, they don’t like computers. They get frustrated. Lots of times they want to shoot their computers, like that guy in Colorado did. I printed out that story and gave it to one of my guys. He loved it, especially the part where the guy hung the dead computer on the wall of his bar. “I love this Colorado guy,” he said. And he passed it around to all the guys. “You have to read this story MIT gave me.” Yeah, they call me MIT, like, “Let’s ask MIT if we can set up an online account” or “Maybe MIT can make a website for that.” A website for what? For making money, what else? Isn’t that why anyone sets up a website?

Yeah, I deal with the same stuff you do. Same headaches. I’m constantly fixing stuff and trying to do whatever helps the bosses grow the business, as you call it.

Bosses. I mean, bosses are the worst, right?

The Penny Stock Scam
We’re in a real boom right now. Credit cards. Gambling. You heard about that stock deal? The one that uses that new kind of spam? Image spam? This is an old-fashioned pump-and-dump scam but with a cool techno twist.

This wasn’t mine, but I know a guy who knows the guy who set it up. Here’s how he worked it.

First, he rented a botnet. That was for e-mail distribution. He pays, I don’t know, say $50Gs for a month, turns around and promises the bot-herder a taste in exchange for that month’s usage and some guaranteed uptime. You know, he says, deliver me 10 million e-mail messages and I’ll guarantee you some back-end cash.

So the bot-herder knows a kid who wrote this absolutely killer image spam application that creates the e-mail messages. Pays him a flat fee. I mean, the kid could’ve asked for a lot more, but a lot of these programmers are pretty young and dumb. You wave some cash and they think, “Flat-screen TV!” Anyway, he tells the kid to make the program create advertisements for pink-slip stocks, those unlisted ones that trade for pennies. It all gets done in like 15 minutes after they get some of the basic wording down.

Loading...
Security MarketSpace
White Papers
Cost Effective Data Loss Prevention
Learn how Data Loss Prevention technologies can in fact be deployed in a cost effective manner. Learn more »
Data Loss Prevention and Enterprise Rights Management
Enterprise Management Associates highlights the complementary values of Data Loss Prevention and Enterprise Rights Management as a strategic approach to information risk control. Learn more »
Eliminate the Impact of Distance
Learn how to be prepared to adapt your environment in a way that supports distributed employees, anytime anywhere collaboration and the need for business continuity during a disaster. Learn more »
Webcasts
Maximizing the Business Value of the PC Infrastructure
Reduced IT budgets have CIOs hunting for ways to maximize their PC infrastructure, while saving money and IT staff time. Diane Bryant, CIO of Intel Corp., talks with CIO magazine's Gary Beach about how her organization is addressing these challenges. Learn more »
Accelerate Your Virtual Environment
Rapid Replication for Virtual Servers Learn more »
 
SPONSORED LINKS
 

Data Loss Prevention: A Better Way to Approach Security

Stop Application Fraud at the Source with Device Reputation

Ready to Act: 3 Recommendations for Agile Processes

Automating the Generation and Secure Distribution of Excel Reports

Seven Ways ITIL Can Help You in an Economic Downturn

Maximizing the Business Value of the PC Infrastructure

Learn how to managing client systems in the enterprise.

Cloud Computing: Read about VMware's compelling vision & set of products

Enterprise PBX Buyer's Guide

Secondary Market Primer: Your Network at Half Price

Top-line Performance that's Bottom-line Efficient

Accenture: Outsourcing for uncertain times. Click to learn more.

Learn about the VMware vSphere (TM) & Intel (R) Xeon (R) Processor 5500 Series

Learn how a virtualized enterprise can help your company reduce costs

Why Isn't Server Virtualization Saving Us More?

8 Key Ingredients to Building an Internal Cloud

Data Center Optimization: Three Key Strategies

A CIO Executive Guide: Cloud Computing Looms Big on the Horizon

Oracle WebLogic Server Technical Demo

Data Grids and Service-Oriented Architecture

Achieving the Impossible: Unlimited Application Scalability

A Middleware Foundation for Application Grid

Tips for successful virtualization management.

Smart Decisions: The Role of Key Performance Indicators

Introducing the new HP ProLiant G6 server family

Losing Ground: 2009 TMT Global Security Survey

Software Executives: Take Control of Your Organization's Code Quality

Delivering Secure and Reliable Data through Spreadsheet Automation

Taking the Service Desk to the Next Level

Why Data Loss is Increasing--and What You Can Do About It

Communications and Collaboration Needs at Business Organizations

Using Open Source to Deploy Web Applications

Mid-Sized Company CIO Community: infoBOOM!

Enterprise PBX Comparison Guide

Getting Value from Outdated Networking Equipment

Accenture IT Consulting: Logical meets technological. More . . .

White Paper: 8 Key Ingredients to Building an Internal Cloud

Read about virtualization and consolidation effort best practices

Building the Virtualized Enterprise with VMware Infrastructure

Top 10 Business and IT Drivers for the Wealth Management Sector

Bottom-Line Benefits of Virtualization

White Paper: The Building Blocks for Cloud Computing

Oracle's Application Grid Technical Demo

Next-Generation Application Servers and Infrastructure

Application Infrastructure at Enterprise Organizations

Achieving Business Agility with Application Grid

Learn about The Information Technology Infrastructure Library.

Achieving Pervasive Performance Management

Gartner Shares Predictions for 2009

Accenture IT Consulting: Enabling high performance. More...

 
 
RESOURCE CENTER