CUs Cautioned About New Internet Threat
ATLANTA-Internet security providers say they have discovered a stealthier version of the Russian Trojan called Gozi that has already stolen personal financial data from more than 2,000 home PCs, including credit union and bank account numbers, as well as credit card, Social Security and online payment account numbers and passwords. The new strain of Gozi, discovered by SecureWorks, the same firm that detected the original version, is programmed to steal information from encrypted Secure Sockets Layer (SSL) streams and send the stolen information to a server in Russia.
The new version, however, includes an unseen "packer" that encrypts, mangles, compresses and even deletes portions of the Trojan code to evade detection by standard, signature-based anti-virus programs.
The new version of Gozi also has a new keystroke-logging capability for stealing data, in addition to its ability to steal data from SSL streams. The keystroke logger appears to be activated when the user of an infected computer visits a banking web site or initiates an SSL session.
The original Gozi Trojan stole more than 10,000 records from more than 30 financial institutions, including two dozen credit unions, containing information belonging to more than 5,200 PCs, companies, government agencies and law enforcement organizations before being detected.
PSCU Wins $2.4M Judgment
ST. PETERSBURG, Fla.-PSCU Financial Services announced yesterday that it won a judgment of more than $2.4 million form insurance giant AIG in a civil suit surrounding a data breach at some its credit union customers. PSCU, which was insured by AIG, sought the payout after it discovered a fraud ring had taken over 125 credit union accounts and stolen $1.6 million from them. The losses were initially covered by PSCU, which sought reimbursement from the insurer. The total award represents the losses, attorney fees and related costs.
Quick Thinking By El Paso Cop
EL PASO, Texas-A city police officer spotted a robber casing El Paso Employees FCU last week, then arrested him after he discovered the would-be thief was wanted for bank robbery in Tucson, Ariz. Officer Gabriel Peralta saw the wanted man, identified as 53-year-old Nathan Brownstein, outside the credit union apparently casing the building for a potential hold-up, police said. Officer Peralta detained Brownstein for questioning and learned there was a warrant out for his arrest in Arizona.
MacDill FCU To Join CO-OP
TAMPA, Fla.-MacDill FCU has become the latest credit union giant to join the credit union-owned CO-OP Network, the two entities said yesterday. Members of the $1.9 billion credit union will gain access to CO-OP's 2,100 ATMs in Florida and 25,000 ATMs across the country. The MacDill deal is a direct result of CO-OP's new Sarasota sales office, opened in 2005. MacDill joins other Tampa credit union giants as members of the CO-OP, including GTE FCU and Suncoast Schools FCU.
Duke CU To Build New HQ
DURHAM, N.C.-Duke University FCU said it plans to combine two of its offices into a new headquarters, at the Wachovia Building. The new office will provide 18,000 square-feet of space for the $75 million credit union, which conducts 95% of its transactions electronically. The credit union has 16,500 members, who are Duke University staff, alumni, retirees and families.
BISYS To Pay $25 Million Fine
NEW YORK-BISYS Group Inc., which is in the process of being acquired by Citigroup, has agreed to pay $25 million to settle charges that the company violated financial reporting and internal controls provisions of the securities laws, the Securities and Exchange Commission said.
The SEC charged that, from July 2000 through December 2003, former BISYS officers and employees engaged in a variety of improper accounting practices that resulted in overstatement of the company's reported financial results for the fiscal years that ended June 30, 2001, 2002, and 2003 by roughly $180 million.
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