Computerized Betting System Proves Vulnerable
count3r writes "A front page article in today's New York Times reports that an employee of Autotote has been fired for (allegedly) hacking the system responsible for 65% of all horseracing bets in North America. The caper, if it is indeed a caper, resulted in a series of six bets that paid a total of $3,000,000 in last Saturday's Breeders' Cup."
WHy not just hit them up for several thou a week? Like theyre not gonna notice a 3,000,000 blip.
All Troll + "offtopic" mods are meta moderated as "Unfair", because you abused the system.
DRM will be our savior.....
Oh wait, he required that kind of access to do his job? So DRM wouldn't have helped. What do you mean that most hacks are inside jobs?
when people used to give horses steroids so that they would win their bets. All this new technology is confusing!
Or why don't we look at one of the many articles that don't require registration. Darn NYTimes.
I will never understand how people come up with good, well thought out crime plans, and then totally screw up the execution by rushing things or bring too much attention to the project. Just dumb.
Buttloads of $ vs. determined individual: vulnerability.
Someone will always find a way to steal and no matter how good your security, when you have the human element on the inside, you are vulnerable. That's why auditing to detect theft is as important as securing against it.
"When it rains, it pours." --Morton's Salt
see what happens when you legalize it??? all these crooks get in and screw it over.
Nah, it can't be vulnerable. Online betting is trustworthy. Why, as soon as I get my bonus back from the Nigerian Petroleum Company, I'm going online to bet on the ponies!
Until a little over a year ago, I was employed at a company that wrote gambling software for sports betting houses. It is big business, let me tell you. :) If anyone has any questions, fire away and I'll answer them.
I never put any backdoor code into anything I submitted but it would have been very easy to do so. We had well over 300,000 lines of code and very little of it was audited. The only problem would have been getting the backdoor in without other programmers noticing as everyone was responsible for different areas. Still, I know it could have been done, I can picture exactly what it would have taken to do so.
Would it have been noticed? Possibly eventually, though I have my doubts. Apparently, there was a bug in our code for one of the complex bet types. It ended up _always_ overpaying a specific complex winning bet type by $1. That is, it always rounded up to the next dollar instead of down and this bug went undetected for YEARS.
All the code was written in VB and we worked crazy amounts of overtime ALL the time. Additionally, the 'business experts' could never get their act in gear and agree to how things should work. I ended up resigning my position.
Oceania has always been at war with Eastasia.
If it turns out to be cheating, it just goes to show what happens when you want too much too soon. You know, just winning $1,000 or $10,000 probably wouldn't have raised an eyebrow.
And, I wonder how often this bet hits? Technically, the bet was really picking the winner or 4 straight races, plus betting on every horse in next 2. I won a trifecta once that paid a cool grand. To think, if I'd only tried for one more......
If they're guilty, they're idiots.
A lot of people make a lot of money on internet gambling sites without breaking a single law. The people who play online poker suck so bad compared to professional poker players that it is like printing money for anyone who plays the game seriously. I suck which is why I don't play, but a lot of people are willing to give up there hard earned money to a redneck who has played poker since before he could write.
It may not get you $3M, but they won't have to work anymore, and they don't get put in FPMA prison.
Slashdotter are stupid and biased.
This is, just as the article said, a misuse of power, rather than a skillful hack. If I remember, isn't hacking usually prosecuted over the fact that the person obtained illegal access by knowingly circumventing security measures? He was given clearance as part of his job; he misused his security clearance, he didn't gain unauthorized access.
In any case, I'm surprised that ANYONE has the access to modify bets. Shouldn't that info be encrypted or protected or something, kind of like how your Bank's customer service rep can't look up your pin, but can only reset it to a new pin?
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Here in Alberta, Canada we have VLTs (Video Lottery Terminals) that let you play a number of different card games and other assorted forms of gambling on a touch-screen terminal. They're a HUGE profit center for the pubs and bars that host them, and for the provincial government. If I were a VLT programmer of questionable moral character, it would be awfully tempting to code a backdoor triggered by some easter egg-type series of screen touches that would let me score a couple hundred dollars at each terminal.
Anybody ever heard of anything like this happening in real life? As an earlier poster said, if you kept your take down to a couple thousand a week, I think it would be pretty unlikely you'd get caught.
Fortunately, all of those systems are closed, so I'm sure that security was motto number 1.
Of course, motto number 2 was "Ignore motto number 1".
Tug on Superman's cape.
Spit into the wind.
Rip off the NY mafia to the tune of $3,000,000.
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The same thing happenes when the mob runs things. Its just instead of it making it into the paper as a "hacker" story, it would wind up in the paper as "Headless Body Found in East River".
The fact is that implementing a gaming system is a nightmare, be it on the ground or in the air. IMHO, quite a bit more difficult than point of sale or banking systems. In addition to being secure, it's gotta be completely fail safe (so if a passenger's terminal goes down seconds after a jackpot he won't loose his winnings and take it out on the cabin crew). Also, it's going to be transaction heavy - hundreds of smaller, individual bets over a gambling session as opposed to, say, a higher end credit card transaction every minute at a department store cash register. If you add in the fact that gambling is a potentially addictive activity that piques the interest of organized crime, you have a recipe for any disaffected insider to slip in hacks and back doors.
On the whole, I'm not surprised that someone corrupted a gambling system. I'm just surprised that this doesn't make the newspaper more often.
"Prepare for the worst - hope for the best."
Also, the ocean is wet, and there is porn on the internet.
Just so you know.
I'm trying to figure out why people think computerized betting is any more vulnerable to fraud than the non-computerized variety.
The Breeder's Cup incident was an inside job! There have been numerous Casino incidents where employees have tried to scam their employers. A security system is only as good as the people with whom the system is entrusted. This is true for physical security as well as computer security.
Lastly, criminals are not, inherently, stupid. It only seems like that as the stupid ones are the ones that usually get caught. Borrowing from Kaiser Sousay (Kevin Spacey) in Usual Suspects : the greatest trick a master criminal has ever pulled is convincing the world that a crime has not been committed.
In other news, shortly after being dismissed the former employee had an unfortunate accident resulting in the breaking of both his kneecaps.
Two relavent bits of info:
1) They fired the QA department due to cutbacks over a year ago.
2) There is no "Production Control" group. The same people who develop the apps support them (with little to no oversight). They have never had a way of preventing this type of fix.
It's organized crime that's going to get him. Revenge.
I see evidence that this guy is pretty lame - he's dumb enough to screw up a good scam his first time out by shooting for the moon. We can't assume that a novice is the first person to find this scam, but AutoTote indicates he's the first to be caught.
I'll wager dollars to doughnuts that he's just closed the loop on a lucrative betting system being utilized by any number of "organized" gamblers, and will be hearing from a guy named Vito in the near future.
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It's still confusing no matter how many times I read it, but it sounds like he made six identical bets, when the point of the pick-six ticket is to place several different bets on one ticket. Anyone who can clarify this a bit more, please do.
Scientific Games also does lotteries. Here is how they are rigged. Only the gangsters running the rackets make money from gambling.
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