• Forecast
  • News Tip
  • Categories
Temperature Precipitation
Estimated read time
1m 50s

European bank hackers stole $100 million, U.S. says

By Associated Press 4:45 PM June 2, 2014

Last Updated Jun 2, 2014 7:45 PM EDT

WASHINGTON – A Russian computer hacker was accused Monday of leading a worldwide conspiracy that targeted hundreds of thousands of computers with malware, enabling his group to steal more than $100 million from business and other bank accounts.

The group led by the man, Evgeniy Bogachev, infected computers with software that captured passwords and account numbers and stole millions of dollars from victims, U.S. authorities said. The members of the gang come from Russia, Ukraine and the United Kingdom.

Bogachev is not in custody, according to the U.S. attorney’s office in Pittsburgh, where charges of conspiracy, wire, bank and computer fraud, and money laundering were filed against him.

The charges, to be discussed at Justice Department news conference Monday, come weeks after officials revealed cyberespionage charges against five Chinese army hackers accused of stealing trade secrets from American firms.

The indictment against Bogachev concerns only one victim, Haysite Reinforced Plastics of Erie, in northwestern Pennsylvania. According to the indictment, the conspirators were able to steal roughly $824,000 from the company’s bank accounts on one day alone, Oct. 20, 2011.

Officials with the business did not immediately return phone calls for comment Monday. The accounts were with Pittsburgh-based PNC Bank, which declined to comment.

A related civil complaint gave other brief descriptions of victim entities including an unspecified American Indian tribe in Washington state; an insurance company and a firm that runs assisted living centers in Pennsylvania; a local police department in Massachusetts; a pest control company in North Carolina; and two Florida businesses, a restaurant and a regional bank.

The Florida bank lost nearly $7 million through an unauthorized wire transfer. The Massachusetts police department, on the other hand, lost $750 when it paid a ransom demanded by the malicious software that infected its computers.

Last week, a federal judge in Pittsburgh granted a temporary restraining order against Bogachev and the others, demanding that they cease such activities. That order was unsealed along with the charges Monday.

© 2014 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.

Latest Stories

  • Lifestyle

    Moose gives birth in Lowe’s parking lot

    by KTVA CBS 11 News on May 31, 21:29

    A moose gave birth in the parking lot of the East Anchorage Lowe’s Tuesday, drawing a crowd to watch as her baby took its first steps. Katherine Warren said she alerted security to the newborn and its mother when she spotted them while shopping with her family. She said Lowe’s staff and security at Tikahtnu […]

  • Politics

    Alaska Legislature passes 11th hour state budget

    by Liz Raines on May 31, 20:41

    Tuesday evening, just hours before pink slips were scheduled to go out to thousands of state workers, Alaska lawmakers passed a budget. The House and Senate broke a long impasse by postponing action on controversial oil tax credit legislation and funding only the minimum required by law for that program. How to pay for the […]

  • Sports

    Alaska Raceway Park opens state’s newest oval track

    by Dave Leval on May 31, 20:22

    A new racetrack has opened up in the Mat-Su Valley, filling the void left when Wasilla’s North Star Race Track closed in 2012. “There was a lot of people with a lot of money and time invested in their racing operations, and they didn’t have anywhere to go,” explained Michelle Maynor, whose parents own the new […]

  • News

    Municipality of Anchorage looks to hire those with service backgrounds

    by Alexis Fernandez on May 31, 19:47

    The Municipality of Anchorage is looking to hire new employees with a service background. Tuesday, Mayor Ethan Berkowitz announced that the municipality has signed on to become an Employer of National Service. That means it will be giving hiring preference to applicants with a community service background, like AmeriCorps and Peace Corps alumni. It’s part of a […]

  • News

    From boards to buds: Pot dispensary plans to take over snowboard shop

    by Shannon Ballard on May 31, 19:10

    An Anchorage skate and snowboard shop may soon be transformed into one of the state’s first retail marijuana shops. AK Boardroom is located downtown on Fourth Avenue. Co-owner Will Ingram said the lack of snow the past two seasons is forcing them to close. “Without that drive to go ride the epic powder, it’s just kind […]

  • News

    Despite early spring, flightseeing companies still waiting to take off

    by Bonney Bowman on May 31, 18:53

    Many outdoor industries got a jump on business thanks to spring’s early arrival, but there’s one still waiting to get off the ground. Flightseeing companies get the majority of their business from tourists. Lake Hood has been open to float planes and their business for weeks, the sounds of the aircraft taking off and landing echoing […]

  • Lifestyle

    New push to stop feeding the birds at Cuddy Family Midtown Park

    by Lauren Maxwell on May 31, 18:40

    A polluted pond is sparking a new educational campaign and the message is pretty simple: Don’t feed the birds. Jeanne Swartz, an environmental program specialist with the Alaska Department of Environmental Conservation (DEC), said addressing the problem at Cuddy Family Midtown Park in midtown is an agency priority when it comes to water quality issues […]

  • News

    APD: Teen runaway missing for two weeks

    by KTVA CBS 11 News on May 31, 16:44

    A teenage girl ran away from the North Star Behavioral Hospital earlier this month, and after checking multiple leads, Anchorage police are asking for the public’s help in finding her. Lillian Otte, 15, left the facility on May 15, according to a statement from APD spokeswoman Jennifer Castro. Otte is considered a runaway, Castro said, […]