---------- Forwarded message ----------
Date: Wed, 12 Nov 2003 10:12:04 -0800 (PST)
From: Lee Barken
Subject: [SDWUG] Article: Waterford men hacked store files, FBI alleges

Source: http://www.freep.com/news/locoak/nhack11_20031111.htm

Waterford men hacked store files, FBI alleges 
BY DAVID ASHENFELTER 
FREE PRESS STAFF WRITER 

November 11, 2003

Two young men sitting in a car in the parking lot of a Lowe's home
improvement store in Southfield repeatedly hacked into the company's
national computer network over the past two weeks, gaining access to
credit card numbers and other information, federal prosecutors said
Monday.

It's unclear what the two men planned to do with the information.

They may have been engaged in the recent hacker craze known as
"wardriving" -- cruising around with a specially equipped laptop and an
antenna searching for unsecured wireless networks hooked to the Internet.
Assistant U.S. Attorney Karen Reynolds said the investigation is under
way.

Paul Timmins, 22, and Adam Botbyl, 20, both of Waterford, didn't explain
what they were up to when they appeared Monday in U.S. District Court.
Magistrate Virginia Morgan told them anything they said could be used
against them in court.

Timmins said he is a $38,000-a-year computer network and security
specialist for a Southfield software company. Botbyl said he's a student
at ITT Technical Institute in Troy. Morgan released both men on $10,000
unsecured bonds.

FBI agent Denise Stemen said in an affidavit that Lowe's alerted the FBI
recently that intruders had broken into its computer at company
headquarters in North Carolina, altered its computer programs and
illegally intercepted credit card transactions.

Stemen said the company's computer system had been hacked repeatedly from
Oct. 25 through Nov. 7. She said that the intruders gained access through
the national network by logging onto a user account over the wireless
network of the Lowe's store in Southfield.

Once in the system, the intruders gained access to Lowe's stores in six
states plus the headquarters system, Stemen said.

She said hackers altered the software Lowe's uses to process credit card
purchases nationwide. On Nov. 5, the hackers installed a malicious program
that disabled several computers at the Long Beach, Calif., store, she
said.

Lowe's spokeswoman Chris Ahearn said the company has taken steps to beef
up security, but wouldn't elaborate.

In alerting the FBI, Lowe's security said the intruders probably were
operating within 1,000 feet of the Southfield store.

FBI agents set up surveillance Friday night and said they spotted the two
men sitting with laptops in a Pontiac Grand Prix equipped with antennae.
Agents followed the men and apparently arrested them Saturday. Agents also
searched their apartments in Waterford.

During their court appearance Monday, Morgan ordered both men not to use
computer equipment or access the Internet except at work or school.

The men are charged with causing damage to a protected computer system,
which carries a maximum penalty of 10 years in prison and a $250,000 fine,
upon conviction. Reynolds told Morgan that the men, who were arrested on a
criminal complaint, are likely to be indicted within a few weeks in
Michigan or Charlotte, N.C.

"Wardriving" is named after the old hacker practice called wardialing, the
stunt that actor Matthew Broderick made famous in the 1983 film
"WarGames." Broderick's character hacked into a military computer and
nearly triggered a nuclear war with Russia.

Contact DAVID ASHENFELTER at 313-223-4490. 






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SDWUG - San Diego Wireless Users Group
http://www.sdwug.org


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