Monday, February 6, 2012

Indictments Unveiled In Major Data Breach

August 17, 2009

Two Russians and a Florida man were charged Monday in what the Justice Department said was the largest alleged credit card and debit card breach ever. The indictment names 28-year-old Albert Gonzalez of Miami, Fla., and two unnamed co-conspirators based in Russia with hacking New Jersey-based Heartland Payment Systems, Texas-based 7-Eleven, and the Maine-based Hannaford Brothers supermarket chain. They allegedly stole data pertaining to more than 130 million credit and debit cards, officials said.

In the two-count indictment alleging conspiracy and conspiracy to engage in wire fraud, Gonzalez, AKA "segvec," "soupnazi" and "j4guar17" and the two others are charged with using a sophisticated hacking technique called an "SQL injection attack," which seeks to exploit computer networks by finding a way around the network's firewall to steal sensitive information. Gonzalez had previously been charged with swiping data related to 40 million credit cards from retailers including TJ Maxx.

The indictment alleges that beginning in October 2006, Gonzalez and his co-conspirators researched the credit and debit card systems used by their victims; devised a sophisticated attack to penetrate their networks and steal credit and debit card data; and sent that data to computer servers they operated in California, Illinois, Latvia, the Netherlands and Ukraine. If convicted, Gonzalez could face up to 20 years in prison for wire fraud conspiracy and an additional five years on the conspiracy charge, as well as a hefty fine. Gonzalez is currently in federal custody, DOJ said.

Join the Discussion

The National Journal Group has the right (but not the obligation) to monitor the comments and to remove any materials it deems inappropriate.

Comments powered by Disqus

 

Archives

Monthly Archives

Categories

Recent Posts

Recent Comments


Contributors

Juliana Gruenwald

Tech Writer

E-Mail: jgruenwald@nationaljournal.com.


Juliana Gruenwald has been covering tech and telecom issues for more than a decade for National Journal, Interactive Week, BNA and Congressional Quarterly. This is her second stint with National Journal. She was recruited by NJ in 1998 to help launch its first tech policy publication, Technology Daily. She left in 2000 to cover international tech and telecom issues for Ziff Davis Media's Interactive Week magazine. She started her career at United Press International as the wire service's first Helen Thomas Intern. She has a Bachelor of Arts degree from the University of Minnesota. A Minneapolis native, she misses the lakes but not the cold.


Josh Smith

Tech Reporter

E-Mail: joshsmith@nationaljournal.com.


Josh Smith covers technology policy as a staff reporter for National Journal. He previously interned at National Journal Daily, a Senate press office, and the Deseret News in Salt Lake City where he covered the state legislature, courts, and crime. In 2009 he graduated with honors from Southern Utah University after managing an award-winning student newspaper as editor-in-chief. Josh has received state, regional and national awards for his political and policy reporting, including first place in CapitolBeat’s 2009 Best of Statehouse Reporting college competition. A native of drop-dead-gorgeous Utah, Josh lives in Virginia with his wife, Amber.