Hackers hit online brokerages

Iria · Oct 24, 2006, 04:22 AM

Source: IHT
_______
NEW YORK Computer hackers in Eastern Europe and Asia have stepped up fraudulent attacks against customer accounts at U.S. online brokerage firms including E*Trade Financial and TD Ameritrade, according to executives from the companies.

The Federal Bureau of Investigation, the Securities and Exchange Commission and regulators at the NASD are trying to unravel the fraud, which has cost E*Trade of New York at least $18 million and caused losses at Ameritrade of Omaha, Nebraska, the companies said.

In one "pump-and-dump" scheme the SEC uncovered, thieves used customers' money to drive up the prices of little-traded stocks and then sold shares they bought earlier at a profit.

Oct 24, 2006, 04:22 AM	#1
Iria DriverHeaven Extreme Member Join Date: Apr 2004 Posts: 7,275 Rep Power: 89	Hackers hit online brokerages Source: IHT _______ NEW YORK Computer hackers in Eastern Europe and Asia have stepped up fraudulent attacks against customer accounts at U.S. online brokerage firms including ETrade Financial and TD Ameritrade, according to executives from the companies. The Federal Bureau of Investigation, the Securities and Exchange Commission and regulators at the NASD are trying to unravel the fraud, which has cost ETrade of New York at least $18 million and caused losses at Ameritrade of Omaha, Nebraska, the companies said. In one "pump-and-dump" scheme the SEC uncovered, thieves used customers' money to drive up the prices of little-traded stocks and then sold shares they bought earlier at a profit.