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Russian Hacker Indicted On Wire Fraud, Extortion Charges
From: InfoSec News <isn () c4i org>
Date: Fri, 22 Jun 2001 01:11:00 -0500 (CDT)


By Michael Bartlett, Newsbytes
21 Jun 2001, 3:01 PM CST
A Russian computer hacker already awaiting trial in two states on
allegations of computer intrusion and fraud was indicted by a federal
grand jury on 15 additional counts relating to computer crimes
allegedly committed in California.

Alexey V. Ivanov, of Chelyabinsk, Russia, was named in an indictment
charging him with eight counts of wire fraud, two counts of extortion,
four counts of unauthorized computer intrusions and one count of
possessing usernames and passwords for an online bank.

According to the U.S. Department of Justice, Ivanov is in federal
custody in Rhode Island awaiting trial on charges of computer
intrusion and fraud in Seattle and Connecticut. Ivanov and his
partner, Vasili Gorchkov, were arrested in Seattle after the FBI set
up an undercover company.

Authorities said Ivanov and others hacked into CTS Network Services, a
San Diego, Calif.-based Internet service provider. Ivanov allegedly
used a stolen credit card to open an account with CTS, and then hacked
the company's computers to attack e-commerce companies.

Ivanov's targets included NaraBank in Los Angeles and two credit card
processing companies, Sterling Microsystems of Anaheim, Calif., and
Transmark of Rancho Cucamonga, Calif., the indictment alleged. Ivanov
stole credit card and bank account numbers and then used them in fraud
schemes, the indictment said.

In addition, Ivanov allegedly attempted to extort money from Sterling
Microsystems by asking the company to pay for "security services."

If convicted on all 15 counts in the indictment, Ivanov faces a
maximum possible penalty of 90 years in federal prison.

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