By Jaikumar Vijayan
February 8, 2010
The theft of $378,000 from the town of Poughkeepsie, N.Y., is prompting
questions about the responsibility of banks to protect customer accounts
from online criminals.
In a statement last week, a Poughkeepsie town official revealed that
thieves had broken into the town's TD Bank NA account and transferred
$378,000 to accounts in the Ukraine.
The thefts took place over a two-day period in mid-January during which
a total of nine attempts were made to steal money. In the end, four of
the attempts were successful, resulting in the lost money.
The thefts were discovered by town officials one day after they
occurred. So far, TD Bank has managed to recover $95,000, with efforts
still under way to try and recover the rest. The theft is being
investigated by local police, the FBI and the U.S. Secret Service.
It was not clear how the thieves gained access to the town's bank
account, and there was no immediate response from Town Supervisor
Patricia Meyers to a Computerworld request for comment. But in other
such cases, crooks typically break into commercial and retail bank
accounts using stolen log-in credentials belonging to authorized users
to transfer large sums of money to banks outside the U.S.
Did a friend send you this? From now on, be the
first to find out! Subscribe to InfoSec News