Seven arrested in $1.6 million StubHub fraud case

[JURIST] New York District Attorney Cyrus Vance [official profile] announced [press release] Wednesday that police have arrested seven individuals on charges connecting them to an international group that defrauded the online ticketing service StubHub [official website] of approximately $1.6 million. Six of the seven arrests were made Tuesday, including three in London, two in New York and one in Toronto. The seventh individual was arrested earlier this month in Spain. The remaining cybercriminals include an American that is expected to turn himself in this week and two others that are unattainable at the moment in Russia. The case dates back to March 2013 when StubHub discovered a security breach and the New York District Attorney's Office began an investigation into the matter. The investigation revealed that thieves had gained access to customers' accounts and used their saved payment information to purchase tickets to high profile events for resale. Vance commented further on the arrests on Wednesday, stating:

Cybercriminals know no boundaries - they do not respect international borders or laws... Today's arrests and indictment connect a global network of hackers, identity thieves, and money-launderers who victimized countless individuals in New York and elsewhere... Regardless of where the case originates, nearly every cybercrime case begins with similar breaches: a stolen password, unauthorized use of a credit card, or unaccountable charges on a personal statement, for example.

Due to cybercrime's international reach, many countries have recently began to implement specific laws pertaining to the Internet and cyberspace. In February of this year the Philippines ruled constitutional [JURIST report] its Cybercrime Prevention Act of 2012 which combats various online crimes such as hacking, identify theft, child pornography and libel. In April of last year the US House of Representatives passed [JURIST report] the controversial cybersecurity bill known as the Cyber Intelligence Sharing and Protection Act (CISPA) which was designed as a way to stop cyber attacks on US infrastructure as well as private companies. In 2012 a draft Iraqi cybercrime law was found [JURIST report] to violate the international standards protecting due process, freedom of speech and freedom of association, and was later revoked. In 2011 Australia introduced [JURIST report] the Cybercrime Legislation Amendment Bill of 2011, which was aimed at reinforcing current cybercrime laws and improving Australia's international cybercrime security.

 

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