Category Archives: Crime

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Terrorist Attacks: The Countries Most at Risk

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terrorism

When we think of countries most at risk of terrorist attacks, we usually think of Iraq, Pakistan or Afghanistan. But according to a report from Maplecroft, Somalia is now more at risk than any other country in the world. The firm’s global ranking assessed the frequency and intensity of terrorist incidents in 196 countries and found the following countries qualify as “extreme risk” territories:

  1. Somalia
  2. Pakistan
  3. Iraq
  4. Afghanistan
  5. Palestinian Occupied Territory
  6. Columbia
  7. Thailand
  8. Philippines
  9. Yemen
  10. Russia

The report found that between June 2009 and June 2010, Somalia experienced 556 terrorist attacks, killing a total of 1,437 people and wounding 3,408.

The principal threat in Somalia comes from the Islamist al Shabaab, which has claimed responsibility for several deadly suicide bombings, including one in February 2009, which killed eleven Burundian soldiers on an AU peacekeeping mission.

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In a recent and worrying change of tactics, the group carried out its first major international attack in July 2010, when it bombed the Ugandan capital, Kampala, killing at least 74 people.

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Yemen makes its first appearance in the “extreme risk” category, with 109 attacks in the one-year period ending June 2010. The country’s primary source of terrorism is al-Qaeda, “which is causing growing alarm among Western intelligence services as the group plots more attacks abroad.

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Greece overtook Spain to become the European country most at risk from terrorist attacks. Though most Greek attacks tend to be non-fatal, they are highly disruptive, as we saw in the November 2010 letter bombs that targeted embassies in Athens and foreign leaders both in Greece and abroad.

Greece

The Next Financial Collapse?

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Well, maybe that’s a bit of an exaggeration. But to some, it’s not far off.

I’m talking about ID theft and how it poses an enormous risk to the nation’s credit system.

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Apparently, ID thieves are now targeting children’s Social Security numbers. According to a recent article from the Associated Press:

Hundreds of online businesses are using computers to find dormant Social Security numbers — usually those assigned to children who don’t use them — then selling those numbers under another name to help people establish phony credit and run up huge debts they will never pay off.

What’s worse is that authorities have not quite figured out a way to prosecute these people since they never actually use the stolen Social Security numbers. Instead, thy refer to CPNs — or credit privacy numbers, which are set up using a Social Security number.

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And presently, federal law allows the ability for someone to legally use a private ID (CPN) for financial reporting purposes instead of a Social Security number.

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Apparently, online companies are using the internet to find random Social Security numbers. The numbers are then “run through public databases to determine whether anyone is using them to obtain credit. If not, they are offered for sale for a few hundred to several thousand dollars.”

The businesses that sell these numbers have been compared to drug dealers.

“There’s good stuff and bad stuff,” said Julia Jensen, an FBI agent in Kansas City. “Bad stuff is a dead person’s Social Security number. High-quality is buying a number the service has checked to make sure no one else is using it.”

This is an enormous problem that, because of its difficulty to detect, is growing at an alarming rate. In fact, some are worried about another financial collapse because of this fraud.

“If people are obtaining enough credit by fraud, we’re back to another financial collapse,” said Linda Marshall, an assistant U.S. attorney in Kansas City. “We tend to talk about it as the next wave.”

It’s an invisible crime, as some are calling it. And as we all know — it’s not so easy to stop something you can’t see. Check your credit report often, and that of your children — your 4 year-old could have a dreadfully low score.

Credit Fraud

Coverage for Theft of Third Party Property and Data

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These days most policyholders are entrusted with a wide-range of third-party data from health and personal information of their employees to financial and customer records. But often, when this data is stolen insurers are reluctant to pay for thee kind of losses. In the latest online-only column from Anderson Kill & Olick, Joshua Gold points out that according to many authorities, these losses should actually be covered.

In one recent case, for example, a policyholder was the victim of a computer hacker. The insurance company refused to pay the claim, but the court rejected the insurers attempts to evade payment and ruled that the policyholder was entitled to crime coverage for the theft of customer data.

Such a ruling is not only supported by the language of many crime policies (which often contain a provision indicating that they provide coverage for the theft of property not owned but in the possession of the policyholder), but also by numerous crime insurance coverage cases over the decades.

For more on this important coverage issue, check out the rest of the article, only on RMmagazine.com.

E-payment Co. Makes Millions Selling Customer Data

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Call me cynical, but your personal information is no longer safe . . . with any company.

Especially e-payment firm Octopus Holdings.
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The company has admitted to selling its customers’ personal information since January 2006 and making a pretty penny off it — a whopping HK$44 million ($5.7 million USD). The personal data of 1.97 million customers was sold to six different companies, including Cigna Worldwide Life Insurance.

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Octopus CEO Prudence Chan, who was speaking at a private hearing with the Hong Kong Privacy Commission, was quoted as saying the company has pledged not to provide personal data to other companies in future.

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Octopus had earlier denied it sold customer data, until it was called up by the Commission to testify at an official investigation of the company’s practices, noted a report by Apple Daily. Chan then retracted the denial.
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As one would expect, Chan is now facing pressure to resign for her mismanagement and deceiving statements.

Something good can actually come from this, however. Hong Kong’s Privacy Commissioner, Roderick Woo, proposed introducing a law to make it a criminal offense for companies to sell customers’ data. Let’s hope that proposal is taken seriously and that similar laws are proposed here in the U.

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S.

For your enjoyment (or to merely raise the level of mistrust you may feel towards businesses and/or individuals), here is a short list of instances when the shameful act of selling customer data has occurred:

Of course, these are just a few examples of stolen customer data. If there were a master list, it would be too large for this blog. Though the U.S. has enacted the Children’s Online Privacy Protection Act, the Health Insurance Portability Act and the Fair and Accurate Credit Transactions Act, there is no all-encompassing law regulating the acquisition, storage or use of personal data. Let’s hope that changes soon.