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Canton, Georgia identity fraud scheme exposes fragile security of credit cards

Oct 19, 2011 Matt Roesly

Canton, Georgia identity fraud scheme exposes fragile security of credit cards
In Canton, Georgia, local and federal authorities arrested two men on charges of an identity theft ring, CherokeeTribune.com reports.
 Robert Smith, 46, and Robert Hill, 49, were allegedly involved in an identity theft scheme that lasted more than 15 years and cost victims across the United States approximately $9 million. Authorities began investigating the two in February of 2010 when a resident reported that credit cards were being made in their name without consent. The investigation revealed that over 8,000 identities were stolen, and with fake driver's licenses, the two defendants were opening credit card accounts from stores such as Best Buy, Target, Wal-Mart, Home Depot and Lowes, the news source states. The penetration of smart cards and eWallets has significantly lowered the occurrence of identity theft and credit card fraud in Europe. In fact, the first year that France implemented the use of smart cards during 1992, fraud losses dropped by 50 percent and card counterfeiting fell 76 percent, according to Consumer reports. However, in the United States, this technology is only set to hit the Visa market by 2015, according to the credit card company.