Wednesday, June 4, 2014




Complete DHS Report for June 4, 2014

Daily Report

Top Stories

 • The former CEO and CFO of ArthroCare Corp. were found guilty June 2 for running a scheme that inflated the company’s revenue and cost investors $400 million. – Austin American-Statesman See item 6 below in the Financial Services Sector

 • The I-495 bridge over the Christina River in Delaware was closed indefinitely June 2 when State officials found four supporting columns were tilting. – Associated Press

11. June 3, Associated Press – (Delaware) I-495 bridge closure in Del. to cause traffic woes. The I-495 bridge over the Christina River in Delaware was closed indefinitely June 2 when State officials found four supporting columns were tilting, prompting officials to find new routes for the approximately 90,000 vehicles that travel the bridge daily. Source: http://news.msn.com/us/i-495-bridge-closure-in-del-to-cause-traffic-woes

 • Heavy rainfall May 31-June 1 forced about 20 Minnesota cities and industries to bypass their sewage treatment operations and release untreated waste into lakes and streams. – Minneapolis Star Tribune

19. June 2, Minneapolis Star Tribune – (Minnesota) Sewage discharges lead to swimming, boating restrictions in Mound. Heavy rainfall forced about 20 Minnesota cities and industries to bypass their sewage treatment operations and release untreated waste into lakes and streams, prompting officials to close three public beaches in Lake Minnetonka in Mound when an overwhelmed sanitary sewer system forced the discharge of contaminated wastewater into the lake June 1. Source: http://www.startribune.com/local/261566281.html

 • A former student at Bristol Community College in Boston was charged June 2 with hacking into the school’s computer system, hacking into law enforcement systems, and obtaining payment card data for more than 14,000 account holders. – Attleboro Sun Chronicle

20. June 3, Attleboro Sun Chronicle – (Massachusetts) BCC student accused of hacking computer system; using network to tap other accounts. A former student at Bristol Community College in Boston was charged June 2 with hacking into the school’s computer system to change grades several times between September 2012 and November 2013 by allegedly using log-in credentials from three instructors. The suspect was also charged with hacking into a police department computer server and gaining access to an email account and law enforcement information, as well as obtaining payment card data for more than 14,000 account holders between May 2011 and May 2013. Source: http://www.thesunchronicle.com/news/local_news/bcc-student-accused-of-hacking-computer-system-using-network-to/article_4b039b02-ea8f-11e3-b8f4-0019bb2963f4.html

Financial Services Sector

5. June 3, Associated Press – (International) US disrupts hacking schemes that stole millions. A Russian man was indicted June 2 in federal courts in Pittsburgh and Nebraska for allegedly working with five co-conspirators to run the GameOver Zeus botnet and the Cryptolocker malware, which combined infected millions of computers and were used to steal over $100 million from businesses and individuals. Source: http://www.commercialappeal.com/news/2014/jun/03/us-disrupts-hacking-schemes-stole-millions/

6. June 2, Austin American-Statesman – (Texas) Ex-ArthroCare execs guilty in fraud case. The former chief executive officer and former chief financial officer of ArthroCare Corp. were found guilty June 2 in Austin for running a scheme that used inflated revenue reports and fake transactions to manipulate the information reported to investors, causing them to lose $400 million when the correct data was later reported. Source: http://www.statesman.com/news/business/arthrocare-former-executives-found-guilty-of-fraud/ngCNM/

7. June 2, Houston Chronicle – (Texas) 4 women charged in scheme to defraud Garden Ridge. A former Katy, Texas Garden Ridge Pottery claims manager, a former Hammerman & Gainer Inc., claims adjuster, and two others were charged June 2 for allegedly operating an injury claims fraud scheme that used fraudulent claims and money laundering to defraud Garden Ridge Pottery of over $2 million in injury payments. Source: http://www.chron.com/news/houston-texas/houston/article/4-women-charged-in-scheme-to-defraud-Garden-Ridge-5522763.php

8. June 2, BankInfoSecurity – (New York) 5 charged in credit card fraud scheme. Five New York City residents were charged May 30 with allegedly obtaining stolen payment card information from underweb forums, encoding the information onto blank cards, and using the cards to make more than $500,000 in purchases between April 2013 and April 2014. Source: http://www.bankinfosecurity.com/5-charged-in-credit-card-fraud-scheme-a-6897

For another story, see item 20 above in Top Stories

Information Technology Sector

See item 5 above in the Financial Services Sector, item 20 above in Top Stories and item 26 below in the Communications Sector

Communications Sector

26. June 3, The Register – (International) Global mobile roaming network a HOTBED of vulnerabilities. Researchers from KPN reported in a presentation at the Haxpo convention that 15 of 25 mobile roaming network operators had systems visible to the Internet due to misconfigurations or unnecessary services, potentially exposing users on their networks to security compromises. Source: http://www.theregister.co.uk/2014/06/03/global_mobile_roaming_network_a_hotbed_of_vulnerabilities/