Nov 20, 2013 Dave King
More stories continue to hit the presses regarding major instances of cyber crime that lead to financial fraud and stolen money, especially through ACH card and wire breaches. Decision-makers should work to identify the areas where organizations went wrong in their security processes, and ensure that they are not making the same mistakes internally.
Krebs on Security recently reported that federal law enforcement officials have arrested two brothers who are believed to be the masterminds of one of the more widespread cyber heist rings this year. Although law enforcement and regulatory agencies have stepped up efforts to catch cyber criminals quickly and bring them to justice, reactionary measures on behalf of the victimized business will rarely be effective in ensuring financial stability.
According to the news provider, the two brothers are 25 and 26 years old, while they carried out several heists that stole funds from commercial and personal bank accounts in the United States. The brothers targeted several banks and brokerages, and leveraged vulnerable ACH cards and systems to keep the activity undetected.
The source explained that the masterminds are believed to have taken the money through ACH systems, then use their debit cards to acquire money orders that were then deposited into real bank accounts. Wire transfer systems, especially those that are automated, continue to be a favorite target of cyber criminals and identity thieves today.
As such, businesses should ensure that they are leveraging the most advanced and effective security solutions and strategies to keep sensitive information and bank account transactions safely out of the reaches of cyber criminals. Additionally, even when an ACH account has been set up, companies should still enforce stringent oversight policies for all accounts payable and receivable activity.