Hospitality Industry Identity Theft: Las Vegas Hotel Industry Is Target Of Cybercriminals Who “Skim Wireless Transmissions” And Intercept Credit Card Data And PIN Numbers On Low-Cost/High Tech Devices

Law enforcement officers learned last week how easy it is to have one’s identity stolen when a cybercrimes expert powered a $30 machine and intercepted some of the wireless transmissions coming from their smart phones as they sat in a UNLV conference room.

“It’s absolutely an arms race,” said Feffer, who also investigates cybercrime for the Los Angeles County district attorney’s office. “You see vulnerabilities in software exploited by criminals. Then you see the software companies patch those vulnerabilities and then the criminals develop new ones. That’s why you have to make sure everything is up-to-date and currently patched. What was good last year is by no means safe this year.”

As cybercriminals seek new ways to outsmart police and the public, crime-fighting agencies are increasingly turning to cyber-experts to show them the latest high-tech equipment used in identity theft scams.

One of those experts is Justin Feffer, who conducts seminars for identity theft detectives nationwide on behalf of the FBI and LifeLock, an Arizona company that specializes in identity theft protection.

“It’s absolutely an arms race,” said Feffer, who also investigates cybercrime for the Los Angeles County district attorney’s office. “You see vulnerabilities in software exploited by criminals. Then you see the software companies patch those vulnerabilities and then the criminals develop new ones. That’s why you have to make sure everything is up-to-date and currently patched. What was good last year is by no means safe this year.”

That’s the reason nearly 100 officers from Metro Police, North Las Vegas, Henderson, the state Gaming Control Board and other agencies attended the conference.

It included a demonstration of skimming devices that criminals use to steal credit and debit card information, including PIN numbers, from card-swiping machines that have become increasingly present at Las Vegas restaurants and retail outlets.

Speaking outside the conference room, LifeLock spokesman Mike Prusinski emphasized the importance of training. “Most of the individuals in that room have absolutely no idea what a skimming device looks like or what the wiring looks like. We’re opening their eyes to these things.”

The interview took place outside the room because the FBI and LifeLock don’t want the public — including the media — to know what law enforcement is learning about the tricks of identity thieves.

Nevada has been a hotbed of identity theft for years. The state last year ranked fifth in the nation with 106 complaints per 100,000 residents — 2,802 complaints total — that were fielded by the Federal Trade Commission. That’s down from 130.2 complaints per 100,000 residents in 2005, when Nevada ranked second. The agency did not explain why the numbers for Nevada are down.

The FTC data paint only a partial picture of the problem because many victims file complaints only with police instead of also with the commission. But the number of identity theft crime reports filed with Metro from January through Nov. 13 — 2,063 — is down from the 2,440 filed during the same period in 2009.

For more:  http://www.lasvegassun.com/news/2010/dec/15/pickpockets-strike-through-ether/

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2 Comments

Filed under Guest Issues, Liability, Management And Ownership, Risk Management, Technology, Theft

2 Responses to Hospitality Industry Identity Theft: Las Vegas Hotel Industry Is Target Of Cybercriminals Who “Skim Wireless Transmissions” And Intercept Credit Card Data And PIN Numbers On Low-Cost/High Tech Devices

  1. pulekha

    Identity theft has become a major, major problem! And living without protection is like living in a crime infested neighborhood and not having protection on your home. You would probably at least have a really good guard dog and a fence right? Well, not protecting your identity today is the equivalent of living in that neighborhood and refusing to even lock your door. It’s so sad that it’s come to this, but there are always tradeoffs in life. Because we want better medical coverage and a nicer car we pay more to protect and insure them.
    Likewise, with something as amazing as the World Wide Web there come tradeoffs also. One tradeoff for us having access to almost everything is that others have access to almost everything about us, our information. And that includes our personal information like social security numbers, banking information and even your medical and criminal history.
    Luckily there is a lot of information out to help us understand and protect ourselves from these heartless criminals. Here is an informational website put together to help you and your family. We hope you find it helpful. ID theft

  2. pulekha

    Identity theft has become a major, major problem! And living without protection is like living in a crime infested neighborhood and not having protection on your home. You would probably at least have a really good guard dog and a fence right? Well, not protecting your identity today is the equivalent of living in that neighborhood and refusing to even lock your door. It’s so sad that it’s come to this, but there are always tradeoffs in life. Because we want better medical coverage and a nicer car we pay more to protect and insure them.
    Likewise, with something as amazing as the World Wide Web there come tradeoffs also. One tradeoff for us having access to almost everything is that others have access to almost everything about us, our information. And that includes our personal information like social security numbers, banking information and even your medical and criminal history.
    Luckily there is a lot of information out to help us understand and protect ourselves from these heartless criminals. Here is an informational website put together to help you and your family. We hope you find it helpful. ID theft