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MCI Accused of Long-Distance Call Accounting Fraud

drcobb writes "According to the New York Times, MCI is under investigation again. This time for spoofing SS7 point codes to avoid paying access tariffs. Federal prosecutors have opened an investigation in the United States and Canada into accusations that MCI, the nation's second-largest long-distance carrier, defrauded other telephone companies of at least hundreds of millions of dollars over nearly a decade, people involved in the inquiry said."

196 comments

  1. and at the drop of a pin... by mjdth · · Score: 0, Troll

    i can't think of a joke thats starts with this... but i'm sure someone can successfully turn their advertisements back onto them with a witty one liner

    1. Re:and at the drop of a pin... by digitalunity · · Score: 5, Funny

      This is off their web site:
      Value. Simplicity. Innovation.

      Better:
      Slamming. Theives. Liars.

      --
      You can't legislate goodness. Let each to his own destiny, by will of his freely made choices.
    2. Re:and at the drop of a pin... by Anonymous Coward · · Score: 0

      while playing the tunes..
      Whats the frequency Kenneth?

      If someone start opening Pandoras box for fraud in the telco industry, from the first whistle to partylines, hijacked centrals in Las Vegas, billing worms and on to smart accounting.. ohh dear.. I wonder what the commoners will do.. But no riot this time either.. Abuse continues, Its America.

    3. Re:and at the drop of a pin... by ethx1 · · Score: 1

      The "pin drop" thing is from Sprint and not MCI.

    4. Re:and at the drop of a pin... by AndroidCat · · Score: 1

      And the whole pin-drop thing only proved that they had crappy filtering.

      --
      One line blog. I hear that they're called Twitters now.
    5. Re:and at the drop of a pin... by netsharc · · Score: 1

      Hey, they were being innovative..

      --
      What time is it/will be over there? Check with my iPhone app!
    6. Re:and at the drop of a pin... by saden1 · · Score: 1

      Phreaking doesn't pay.

      One pissed of employee can set your whole company on fire, so why do anything criminal when you are gigantic corporation?

      FYI: MCI is a Worldcom company so fraud does run in the family.

      --

      -----
      One is born into aristocracy, but mediocrity can only be achieved through hard work.
    7. Re:and at the drop of a pin... by vsprintf · · Score: 1

      One pissed of employee can set your whole company on fire, so why do anything criminal when you are gigantic corporation?
      FYI: MCI is a Worldcom company so fraud does run in the family.

      FYI: WorldCom is doing business as MCI. MCI was fraudulent even before WorldCom bought them out. You didn't get hired by MCI unless you agreed with their weird, company-is-everything-and-knows-all mindset. Otherwise, you weren't a "team player".

  2. So... by rf0 · · Score: 4, Interesting

    We are going to have a long inquiery followed by a long drawn out process to get the money out of them if found guilty?

    Rus

    1. Re:So... by Mister+Transistor · · Score: 2, Informative

      You as a customer wouldn't see any money out of em, anyway. They were cheating other phone companies out of their cut for originating or terminating the call. They were charging their customers the full tarriffed (sp?) rate, but not overcharging them. They were just lowering their overhead by fraudulent methods. Any fines or remuneration would be to the telcos they cheated. Sigh.

      --
      -- You are in a maze of little, twisty passages, all different... --
    2. Re:So... by Danse · · Score: 1

      What if I'm a customer of one of the telcos that got cheated and my rates went up because they weren't making the profits they should have been, due at least in part to MCI's fraudulent activities?

      --
      It's not enough to bash in heads, you've got to bash in minds. - Captain Hammer
    3. Re:So... by Mister+Transistor · · Score: 1

      Your rates can't go up for that reason. There are legal regulations called tarriffs that keep them from randomly gouging you if they feel they didn't make enough money. The bastards are already bleeding you for all they can. Also, they didn't know (or weren't sure) they were losing money to this fraud until now.

      It's like the gaspumps in Illinois used to have stickers on them stating: "We have calculated the maximum legal price and our fuel is at or below that price". At least they're not lying about it - they're gouging you to the fullest extent of the law.

      --
      -- You are in a maze of little, twisty passages, all different... --
  3. Re:Too much michael by Anonymous Coward · · Score: 0

    No!!! It's because Michael has KILLED the rest of them and he's currently wearing their skin as his sick human suit !!!!

  4. Wow. by afidel · · Score: 4, Interesting

    I can't believe that a conspiracy that large and which touched on interactions with that many other rival carriers could have possibly gone on for a decade unnoticed. Is the biling and routing that automatic or is it just so screwed up that the fraud was lost in the noise?

    --
    There are 4 boxes to use in the defense of liberty: soap, ballot, jury, ammo. Use in that order. Starting now.
    1. Re:Wow. by mangu · · Score: 5, Funny
      Is the biling and routing that automatic or is it just so screwed up that the fraud was lost in the noise?


      Yes and yes. Companies today are being managed by MBAs who don't know a fucking shit about the way business actually works, all they know about is "administration". MBAs never get into the detais, they only think in the big picture. If it isn't shown in power-point slides, then it doesn't exist. If fraud wasn't in the business plan, or if it wasn't mentioned by the marketing consultants, it doesn't exist.

    2. Re:Wow. by intermodal · · Score: 4, Insightful

      At first glance, it seems that way. But upon examining the scheme a bit closer, I noticed the caller-ID flaw in the scheme. By exploiting contracts with other local companies to avoid paying their competitors, it looked like local traffic in many cases. The modified ones that made competitors pay, though, were likely slowly increased as time went on. It's definitely a case of severe forgery or fraud of some sort, but it's hard to detect that on a packet. How is one to tell whether a packet was really sent from 214.123.44.53 and not from 23.45.54.138 when on the internet if the packet header was modified? the records of this alone would take up incredible amounts of space per day, not to mention the resources matching up each call daily would take. That'd be like checking the route of every IP packet sent through a point on the backbone each day. Sheer volume gave them enough obfuscation for a long time.

      --
      In SOVIET RUSSIA... erm...NSA AMERICA, the Internet logs onto YOU!
    3. Re:Wow. by Tsu+Dho+Nimh · · Score: 3, Informative
      The billing is very automated, and relies on coding inserted by the equipment to settle the bandwidth charges on the backbone carrier networks. The investigation is looking into allegations WorldCom/MCI would sneak their calls into rival LD networks via small local-only networks, and even did what appears to be the equivalent of "relay rape" where possible so ATT Canada got hit with the LD charges.

      Justice Department officials have evidence that MCI may, in effect, have "laundered" calls through small telephone companies, and even redirected domestic calls through Canada, to avoid paying access fees or shift them to rival long-distance carriers, according to people involved in the investigation.

    4. Re:Wow. by Mister+Transistor · · Score: 4, Informative

      Acutally it wouldn't be quite that bad; all they need to check is the beginning and end of the call, and verify that the source and destination were correctly specified for the confirmed call from here to there... If the source and "here" don't match - fraud alert!

      The calls that were switched onto another LD carrier would be much more difficult to backtrace, because they would all show origination from whatever local office they were transferred through. They most likely had forged source information that showed the origination as the local office that they were first illegally transferred to. That's a double whammy, not only are they getting out of termination tarrifs, but they are actually using their competitor's infrastructure for free and charging the termination fee to them to boot! Wow.

      --
      -- You are in a maze of little, twisty passages, all different... --
    5. Re:Wow. by ethaz · · Score: 1

      Well, obviously some MBA's (at MCI) knew enough about how things worked in order to set this scam up.

    6. Re:Wow. by Anonymous Coward · · Score: 0

      I've got some experience with the billing and routing of calls, and I can tell you right now it's not that simple. A call is likely to go through any number of switches between the origination and the termination, and each switch only records which trunk the call came in on and which trunk it left on. Stitching together the call records produced by each switch is a mammoth undertaking. And the terminating company has no way to find out the call's history because the call records are proprietary to the long distance company. All the terminating company knows is what trunk the call came in on and the properties of the call. If the properties are spoofed at the border between the LD company and the terminating company so that the calls look like they're local, the fraud can't be proved without a subpoena.

    7. Re:Wow. by scoove · · Score: 3, Informative

      all they know about is "administration"

      Even that is a stretch. Having dealt with various Worldcom entities for more than a decade as a carrier customer, I'd argue that it's hard to claim that there was any organized administration.

      Ebbers was a rabid M&A man, and he did an exceptional job in keeping the acquirees off balance; e.g. MFS Datanet acquisition (Crowe and other MFS executives got to play "co-CEO for a day" and experienced all the usual Ebbers tricks).

      Unfortunately, the consequence of this structural imbalance was a balkenized company. I've been on conference calls where MFS people accused MCI folks who were accusing LDDS folks who were blaming Worldcom folks, and so on (all in front of the customer). One unified company? Not.

      In fact, things were so bad in 1998-2000 that circuits would routinely be lost or even killed by incompatible systems. We had DS3s from Washington to NYC which were originating and terminating feature group D circuits (for local phone calls from Bell Atlantic to the carrier I worked for) that one Worldcom system would label incorrectly (putting a code on the circuits that indicated it was temporary), and another started killing off when so many months passed without a change in the code to a permanent status.

      Amazingly, Worldcom couldn't restore the circuits. They claimed that once a circuit was killed, the only solution was to create a new circuit. This took weeks (with disrupted traffic), only to go through the same problems three months later when the new circuits would get knocked down. Suffer a half-year of this abuse and you'll see all of your local long distance customers disappear as this carrier did.

      I always suspected anticompetitive practices behind the activities, and surprisingly it's not difficult to construct. Looking at the practices as a business "denial-of-service attack", minor decisions (like not funding and fixing compatibility problems between systems that only affects carrier customers) end up having strategic value. Combine that with a "we're too large to respond, investigate or care" attitude, e.g. Worldcom billing's inability to figure out how to properly credit, and you've got a pretty effective strategy (Qwest is another notorious "goof and refuse credit" player - if you've got the attorneys and the size, I guess they feel the need to use them to stall customer refunds). This was one literally hundreds of experiences of this nature with Worldcom.

      It'll be interesting to see of the Feds look into Worldcom's "leaky PBX" operations, where they routinely dumped international calls into foreign telephone networks without paying settlement. By obtaining local phone lines to a office PBX, and back-ending the PBX with international circuits (often satellite links on the office building), Worldcom would sneak traffic in and dump it without paying any per-minute rate - much similar to some of the local termination abuse claims being investigated now.

      In Worldcom's defense, many carriers also employed leaky PBX.

      *scoove*

    8. Re:Wow. by aastanna · · Score: 1

      I worked for a telephone company for a while, and I find this to be quite plausible. They had no idea who was connected to their networks, and often they would go though the connections and unplug the ones that weren't accounted for just to see if anyone complained, that way they could find out if the connection was supposed to be there.

    9. Re:Wow. by isdnip · · Score: 2, Informative

      I'll explain *specifically* what I witnessed myself, as a recipient of these calls.

      My home phone rang, and I read the caller ID. It was an unfamiliar local number, showing no name, just the city. The caller, however, was in another city. He was making an ordinary LD call using his local phone company (no VoIP hacks) and MCI as the LD company. I specifically noted this on two different occasions, with the caller's real locations on opposite sides of the country (NY and CA).

      The local number at my end belonged to Focal, a CLEC. So my local carrier, AT&T, saw the call as a local one from a Focal subscriber. I presume it had a Focal point code (Signaling System 7 network address; these are three-octet numbers, like 005.103.204). Thus AT&T did not see the call as MCIs, and did not see the call as long distance. Focal may have owed them a little fee for local termination, if anything, but not the fee that applies to long distance termination.

      Under the current FCC rules, the rate that a carrier pays for a half-call depends on whether the call was toll or local or ISP-bound. And don't ask about VoIP's status, which is fuzzy. Having different rates for the same thing invites fraud. But in MCI's case, it was blatant -- the incorrect CallerID gave the whole thing away.

    10. Re:Wow. by pipingguy · · Score: 1


      Yes and yes. Companies today are being managed by MBAs who don't know a fucking shit about the way business actually works, all they know about is "administration". MBAs never get into the detais, they only think in the big picture. If it isn't shown in power-point slides, then it doesn't exist. If fraud wasn't in the business plan, or if it wasn't mentioned by the marketing consultants, it doesn't exist.

      Why was the above modded as "funny"? Aside from the "fraud" slight, it seems to be pretty accurate.

    11. Re:Wow. by DarkElven1 · · Score: 1

      Their next project is to take all of those fractions of a penny that are rounded off and deposit them into a swiss bank account.........

    12. Re:Wow. by ZPO · · Score: 1

      I started out with a little company out of Dallas, TX called Metro Access Networks (MAN). I loved the name and loved the company even more. Finally, I could saw I was "workin' for the MAN!"

      After about a year they got bought by Brooks Fiber Communications (Burger, Fries, and a Coke). About 6-9 months after that they got bought by the Borg (Worldcom). Shortly after that Worldcom bought MCI.

      I said it then and I'll say it now, If WorldCom would have gotten out of its own way they could have ruled telecom in the US and been the major foreign carrier in most of the developed world. They had local, LD, internet, etc. Unfortunately Bernie was a huge M&A guy. He didn't know or care about integrating those companies once he bought them. The big BMW (Brooks-MCI-WorldCom) project to move all possible services on-net that started before I left WorldCom (Jan99 - I volunteered for the first layoff) was still in its 3rd/4th round of "planning" in late 2000 when I left another CLEC to head overseas. They wouldn't even let the local markets do circuit and building inventories to see what could be done. It all had to come from Bernie's chosen.

    13. Re:Wow. by cdrudge · · Score: 1

      Yes. I work part time for a telco consulting company that finds money for the telcos. They look at the system and find places where billing is non-existent. A friend who works there has found multiple millions of dollars in billings basically lying there waiting to be found.

  5. MCI plagued with lack of ethical integrity by Anonymous Coward · · Score: 4, Insightful

    I think it goes without saying that MCI has a terrible history of high level executive decisions to commit fraud, undermine various regulatory agencies and now stealing service from various other carriers. What's of more concern, however, is how many corporations engage in this sort of activity and evade detection.

    On a lighter note, perhaps MCI will change their name again after this is all behind them? :-)

    1. Re:MCI plagued with lack of ethical integrity by Anonymous Coward · · Score: 0

      The US government keeps giving MCI contracts. Maybe MCI knows something we don't.

    2. Re:MCI plagued with lack of ethical integrity by NormalVisual · · Score: 1

      And let's not forget trespassing too - a couple of years ago, they started laying fiber in Carmel, Indiana without talking to the landowners, figuring they could get it into the ground before anyone could say anything. A lady happened to come out and actually see them laying fiber on her land, threatened the work crew with arrest for trespassing if they didn't leave right then and then got an injunction to permanently stop the work. Worldcom then had the gall to whine about losing millions per month because of the delay.

      Of course, this isn't just a Worldcom problem - all telecom companies do it, but dammit, we're trying to work up some righteous indignation here!!

      --
      Please stand clear of the doors, por favor mantenganse alejado de las puertas
    3. Re:MCI plagued with lack of ethical integrity by Anonymous Coward · · Score: 0

      What's even scarier is to look at who's in the driver's seat NOW - As a former DEC/CPQ/HPQ employee, I don't have ANY respect for Michael Capellas, who constantly lied to us and the stockholders and who very tidily left before the ink was dry on the HP/Compaq Merger/Acquisition.

      They merely chased the wolf (Ebbers) out of the henhouse, and replaced him with a snake (Curly).

      I don't perceive any improvement in MCI/Worldcom's ethical integrity at all.

    4. Re:MCI plagued with lack of ethical integrity by vsprintf · · Score: 1

      On a lighter note, perhaps MCI will change their name again after this is all behind them? :-)

      Of, course. Back to WorldCom again to avoid the taint of MCI's shady deals. :) It appears this company is just bad to the bone, no matter what you call it, and it's not just due to the buyout by WorldCom. A number of people that I went to college with were gung-ho when hired by MCI but were quickly relieved of their idealism. (There, but for the grace of God, go I.) After interviewing with them, I was less than impressed by the mandated corporate culture but really impressed by the ignorance and minor deceits of the line management. I'm guessing it was an STD contracted from upper management.

    5. Re:MCI plagued with lack of ethical integrity by Anonymous Coward · · Score: 0

      I gave up on MCI years ago when they started the "Friends and Family" deal where you give them the number of friends and family in return for a "discounted" pricing of the telephone call. Then they spammed the friends adn family for the same thing to build a bigger circle of spam victims. In a telephone call with a telemarketing critter, I told them "your company is unethical and tell your managers that I said it." When MCI was acquired by WorldCom, I felt sad that MCI's lack of ethics was never exposed. But...there is some justice in the world yet!

      Interesting to see WorldCom hit with accounting fraud problems, change its name to MCI and they get hit with cheating the industry it is in.

  6. (OT) Google.. by \\ · · Score: 5, Interesting

    I know this is off topic, but I find it interesting that Slashdot used a Google referer url in it's story. I mean, it's obvious Slashdot isn't Google, and while I'm happy to use the link, I wonder if the NYT will be happy about it, and/or do something about it.. this'll be an interesting one to watch, I guess.

    (Maybe Slashdot can become an NYT partner..)

    1. Re:(OT) Google.. by brocheck · · Score: 5, Interesting

      This is not necessarily as off-topic as you might think.

      MCI defrauds other websites by pretending its long-distance calls are actually local calls.
      Slashdot defrauds other websites by pretending its someone else.

      Though to be honest, you could (last I checked) put slashdot in there and it would function -- but you could also put in 'ILOVEABIGPENIS' as a partner and it would show the article as well, so maybe that doesn't say anything afterall.

      --

      suddenly I feel very tired

    2. Re:(OT) Google.. by Anonymous Coward · · Score: 0

      I of course meant 'MCI defrauds other telecoms'.

      Preview button be damned!

    3. Re:(OT) Google.. by fafaforza · · Score: 1

      The NYT have noticed that google often links to actual articles from its news.google.com site, bypassing NYT's login screen, and they are said to be trying to work out a deal to stop this. I believe this might also apply to Google's cached pages.

      Sorry, no link. I think it might have been an article in the Wall Street Journal from this, or the past week.

    4. Re:(OT) Google.. by ZorinLynx · · Score: 1

      Is the NYT really being defrauded, though? The page still comes up with ads, so the advertiser revenue is still there.. It's not like we're getting a premium subscriber page with no ads, or special paid content...

    5. Re:(OT) Google.. by ergo98 · · Score: 2, Interesting

      They really are. Sites like the NYT that require a free subscription often do so to provide a reader profile to their advertisers, and it is used to show the ads to the appropriate people. i.e. Ads for goods and services only available in the US aren't giving value to the advertiser when viewers from around the globe are seeing them, for instance.

    6. Re:(OT) Google.. by spydir31 · · Score: 1

      I thought it was the caching that was a problem, not linking, as NYT sells access to archives

    7. Re:(OT) Google.. by Mister+Transistor · · Score: 1

      Acutally, I'm glad they did! It saved me the time that it usually takes to go into the story, and find the (-1 Redundant) post that has the partner link in it!! Thanks!

      Website registration sucks, anyway. They just feed the harvested data to some annoying form of spammer scum, anyhow.

      --
      -- You are in a maze of little, twisty passages, all different... --
    8. Re:(OT) Google.. by Anonymous Coward · · Score: 0

      It's a very common troll. The next time an AC gives a "free-reg" link, check the referrer ID; reads as "CmdrTacogay" or something like that. :-)

    9. Re:(OT) Google.. by Threni · · Score: 1

      "Slashdot used a Google referer url in it's story. I mean, it's obvious Slashdot isn't Google, and while I'm happy to use the link, I wonder if the NYT will be happy about it, and/or do something about it.. this'll be an interesting one to watch, I guess."

      It wasn't interesting enough for me to remember when SlashDot covered this, otherwise I'd post a link. Actually it's rather dull.

    10. Re:(OT) Google.. by Anonymous Coward · · Score: 0

      Your homepage (http://www.satlug.org/~brocheck/) is broken.

    11. Re:(OT) Google.. by Empiric · · Score: 1

      Of course this is trivially obvious, but to call both "fraud" is ridiculous. NYT loses none of it's ad revenue from visits (probably makes more on charging the advertisers for the Slashdot hits than loses on subscriptions), doesn't disallow this by taking it up with Google if they have a problem with it, doesn't disguise their identity or hide the activity, blah blah blah.

      Sorry, but I'm a stickler for words. :)

      --
      ~ Whence do you come, slayer of men, or where are you going, conqueror of space?
  7. accounting? by mandalayx · · Score: 5, Insightful

    The central element of MCI's scheme, people involved in the inquiry said, consisted of disguising long-distance calls as local calls to avoid paying special access tariffs to local carriers across the country. Those tariffs are the largest single source of MCI's costs for carrying calls and data transmissions.

    Accounting? Looks like just lying to me.

    Justice Department officials have evidence that MCI may, in effect, have "laundered" calls through small telephone companies, and even redirected domestic calls through Canada, to avoid paying access fees or shift them to rival long-distance carriers, according to people involved in the investigation.

    Remember, though, that MCI was Worldcom. (Worldcom changed their name to MCI).

    "We were told that Project Invader was an exploitation of a tariff loophole, a trick. We kept the project a secret. The traffic was ramped up slowly to avoid detection."

    Seriously, 'Project Invader'? Who comes up with these project names? Are you just asking to be caught?

    1. Re:accounting? by rfmobile · · Score: 3, Informative
      Remember, though, that MCI was Worldcom. (Worldcom changed their name to MCI).
      read the article - it states this began in 1994 at MCI before it was bought by WC.
    2. Re:accounting? by mandalayx · · Score: 2, Informative

      right, then after the debacle, WC tossed the name and went back to MCI.

    3. Re:accounting? by Anonymous Coward · · Score: 0
      " right, then after the debacle, WC tossed the name and went back to MCI."

      Sure. Let's ignore the other companies involved in Worldcom... I remember a relatively major ISP called UUNET making truckloads of money before wco mismanagement decided to scrap the name and go with the inferior Worldcom brand. And instead of rebranding to UUNET, they moved on to MCI. Dumb move. Just keep in mind that it isn't just MCI and Worldcom involved. There're at least 3 other significant companies in this debacle :)

    4. Re:accounting? by darc · · Score: 1

      I think they are running out of names now... let's see, MCI to WorldCom, then WorldCom to MCI.. Now what? MCI to... ah, perfect! AT&T Canada.

      Screw ss7 spoofing, just confuse the heck out of the billing departments..

      --
      Tired of legitimate data sources? Try UNCYCLOPEDIA
    5. Re:accounting? by TheMidget · · Score: 2, Funny
      Accounting? Looks like just lying to me.

      Hmmm... What's the difference?

    6. Re:accounting? by jo_ham · · Score: 1

      At least use their proper name. It's obviously WorldCon.

    7. Re:accounting? by vsprintf · · Score: 1

      Accounting? Looks like just lying to me.

      Hmmm... What's the difference?

      Accredited professional lying is reserved to MBAs and statisticians -- totally different fields from accounting. :)

  8. Re:Too much michael by Anonymous Coward · · Score: 0

    .
    Hm. I see. What is his story, I wonder.

  9. spoofing ss7? by Anonymous Coward · · Score: 5, Informative

    please.

    What does spoofing ss7 point codes have to do with this?

    Oh, you can't really spoof ss7 point codes, otherwise the return ( cells? ) have no way of getting back to you, so how do you expect to terminate a call? hmmm?

    dumbass.

    get some clue before you write about telephony related things.

    oh, every facilities-based provider gets around getting billed for access, especially when you're talking about intrastate calls. ILEC will bill you roughly 3.5 cents a minute, new CLECs do the same thing, older CLECs charge more but will have to reduce their access costs.

    for interstate calls, you're getting hit for half a cent a minute.

    there is a document on this somewhere on the fcc site describing how the rates have to go down, and what the rates have to be for intra/inter state access charges.

    get some clue.

  10. Cheat, lie, and steal and *still* go bankrupt by shoppa · · Score: 4, Insightful
    The amazing thing about Worldcom and Enron is that they cheated, lied, and stole, yet they still went bankrupt.

    How do the honest companies ever stay in business, much less turn a profit?

    1. The cynical part of me says that the remaining companies aren't necessarily more honest, they're just better at avoiding getting caught. Or just plain luckier. Or maybe they place more bribes at the right places.
    2. The not so cynical side of me says "thank God I'm not in that industry" but who knows where the axe is going to fall next?
    1. Re:Cheat, lie, and steal and *still* go bankrupt by frdmfghtr · · Score: 4, Insightful

      How do the honest companies ever stay in business, much less turn a profit?

      1. The cynical part of me says that the remaining companies aren't necessarily more honest, they're just better at avoiding getting caught. Or just plain luckier. Or maybe they place more bribes at the right places.


      The honest companies don't have to spend millions on litigation brought about by cheating; they don't get caught because they haven't done anything wrong.

      --
      Government's idea of a balanced budget: take money from the right pocket to balance...oh who am I kidding?
    2. Re:Cheat, lie, and steal and *still* go bankrupt by SystematicPsycho · · Score: 1

      It's almost like Homer Simpson, "he stole, slept on the job, he was even rude to the customers, but there goes the best convenience store attendant that there ever was". (well not really like).

      --
      Analytic & algebraic topology of locally Euclidean meterization of infinitely differentiable Riemmanian manifold
    3. Re:Cheat, lie, and steal and *still* go bankrupt by jcam2 · · Score: 3, Insightful

      Maybe the reason is that companies only turn to fraud when they are already in trouble, in an attempt to delay the inevitable. Well-run companies have no need for it.

    4. Re:Cheat, lie, and steal and *still* go bankrupt by Anonymous Coward · · Score: 0

      thieves are almost always simaltaneously greedy and lazy.

      In the enron worldcom etc example they spend the time and effort required to run the company profitably (for reasonable profits for all), on shell games to enrich themselves, and themselves only, at the expense of everyone else.

      A thief will happily lose you $100,000,000 to make 10,000,000 of their own. Same deal works from the drug addled break-and-enter types right the way up to the CEO who spends all day working on issuing himself (and cronies) more options...

    5. Re:Cheat, lie, and steal and *still* go bankrupt by Ed+Avis · · Score: 1

      I think most corporate frauds are because of stealing from the investors, not stealing from other companies or individuals. (This phone charges thing is an exception.) So the executives or a small group of investors steal money from the majority of investors, or from the company (which is owned by the investors). The company goes bankrupt because of the fraud. The guilty parties weren't stealing or lying to keep the company afloat (except in the short term), but to line their own pockets.

      Truly 'corporate' dishonesty where a company steals in order to make profits and stay in business, seems rarer than you'd think. This must be because not many people are dishonest enough to commit fraud, yet honest enough to make sure the money goes to the shareholders rather than into their own pockets. Unless, of course, they hope to get paid bonuses for increasing the share price, but even then it's a lot of risk for only a small part of the reward.

      --
      -- Ed Avis ed@membled.com
    6. Re:Cheat, lie, and steal and *still* go bankrupt by squiggleslash · · Score: 1
      Don't forget that a sizable proportion of the lying, cheating, and stealing was allegedy by some of Worldcom's employees (right up to Bernie Ebbers himself) against Worldcom. Another sizable proportion was aimed at portraying a sinking-ship as a lighthouse-on-a-rock to the investors.

      While this particular form of fraud may have helped MCI in the short-term, it's likely to have been reflective of a corporate culture that was fundamentally dishonest. Of course, one thing that's interesting about that is that this happened before Worldcom took them other, so it's one dishonest company taking over another.

      IIRC, MCI was also one of the major pioneers of "slamming". They were also the brains behind "Telecom*USA" (10-10-220 and 10-10-123) which was infamous for ads which, while not outright lying (well, not completely, the FCC allows you a certain amount of leeway to pretend charges do not exist) used deliberately ambiguous language to suggest their rates were much lower than they were.

      They're/they were not a nice bunch of people, and I'm not entirely surprised by this.

      --
      You are not alone. This is not normal. None of this is normal.
    7. Re:Cheat, lie, and steal and *still* go bankrupt by sribe · · Score: 1

      The amazing thing about Worldcom and Enron is that they cheated, lied, and stole, yet they still went bankrupt.

      Easy--good/competent people with solid businesses don't need to lie, cheat or steal. Also, liars grossly underestimate the extent to which their lies cost them in credibility, which in terms costs them in almost infinite but intangible ways.

    8. Re:Cheat, lie, and steal and *still* go bankrupt by vsprintf · · Score: 1

      The honest companies don't have to spend millions on litigation brought about by cheating; they don't get caught because they haven't done anything wrong.

      There are still honest companies? The honest CEOs, who have a genuine concern for the company, get *replaced* because they aren't pumping the stock to double-digit, short-term increases like the fraudsters are. And which type of CEO is the one praised in the press and rewarded with millions of dollars by the board of directors?

    9. Re:Cheat, lie, and steal and *still* go bankrupt by Anonymous Coward · · Score: 0
      The cynical part of me says that the remaining companies aren't necessarily more honest, they're just better at avoiding getting caught. Or just plain luckier. Or maybe they place more bribes at the right places.

      Or maybe the remaining companies haven't laid off quite as many people who would've been a part of this kind of deception. I think most companies (or individual con artists for that matter) get caught when they screw over their own co-conspirators.

      --Ex-Worldcommer 2002

    10. Re:Cheat, lie, and steal and *still* go bankrupt by jafac · · Score: 1

      They went bankrupt because of simple free market economics.

      Where there's fraud and corruption, there's someone trying to make a buck through means other than hard work. A company whose executives would rather lie and cheat than to put in an honest day's work, is a company that has learned to avoid competing. The avoidance of competition breeds incompetence.

      I work for a government contractor, in a field where there's only a couple of competitors left. The government simply hands out contracts in turn to these few companies, because if they gave them out to the best competitor, the others would go out of business, and they'd be left with a monopoly. The end result: none of these companies actually competes with eachother anymore. They sit around waiting for the inevitable handouts.

      Competition is the only answer, but 99% of the business world would rather chew off their own leg than to compete. Look at Microsoft - as soon as Apple built their own Web Browser (Safari), they packed up their marbles and went home (IE:mac).

      The other thing that drives these companies bankrupt, of course, is that there's a lot of fraud going on undetected, where the executives are hiding a lot of the money offshore. These people will never be caught. It's like how Stan Lee got ripped off by Sony, his contract gave him a percentage of Spider Man's gross profit, and Sony managed to make the highest selling movie of last summer look as if they lost money, on paper.

      For privately held companies, we have to allow this, their private accounting practices are none of our business. Do business with these people at your own risk. But for publicly traded companies, there isn't enough transparency in the accounting process to adequately police these bastards. And, of course, the Republican agenda of de-regulation and privatization have gutted the government's ability to police America's businesses. One scandal after another, and this is really only the tip of the iceberg.

      --

      These are my friends, See how they glisten. See this one shine, how he smiles in the light.
    11. Re:Cheat, lie, and steal and *still* go bankrupt by bsrokc73013 · · Score: 1

      The amazing thing is that current President thinks that "Big Bizness" is good business and thinks that there should be LESS oversight/regulation of big business, i.e., let the "free market" decide!

  11. has the worldcom stuff been settled? by KoalaBear33 · · Score: 1

    Has the worldcom stuff been settled? I don't know what is happening with that case...

    KOalaBear33

    --
    ......The worst thing in my life happened when the stock market started mattering more than the economy
  12. Re:Too much michael by unixbugs · · Score: 1

    This article is just scary. Not that I am suprised. Not that we haven't been informed. Not that there isn't enough knowledge at our fingertips to inform ourselves... It's the fact that nothing is done about any of it.

    "It?", you ask? The world is one big company. What contribution the average man makes to its net profit is but a speck of dust on an infinite beach. Where are those people who can and do make differences? Why do most people feel so helpless? What are we going to do in the long run? Problems of this nature only plague humanity while we strive to treat the symptom but not the cause.

    Speaking of problems... WHY ADD TO MINE with your petty grudge bearing comments. At least a few people with considerable intelligence have told me to stop bothering with this site. Maybe I'll start my own, ZenDot.org or something. Suggestions on that are NOT welcome.

    Ok, I am 0 for 0 this week but I have the satisfaction of knowing that I can recommend to those who would deserve so such a service as MCI or Microsoft, Verizon, Cingular, Phillip Morris, Anhueser Busch, OPEC, NATO, AT and TEE, SCO, the RIAA, the MPAA, the TWCable, the Yahoo!s... geez just shoot me, im the guy wearing the "no i will not fix your computer" shirt...

    --
    You are about to give someone a piece of your mind, something which you can ill afford...
  13. Overhead by sami+lavikko · · Score: 2, Interesting

    Even though this suspected fraud happened over a decade, it gets me thinking just how much overhead telephone companies have on their calls, there's probably atleast three layers of cream and one for the actual costs on phonecalls.

    1. Re:Overhead by Anonymous Coward · · Score: 1, Insightful

      If they were not billing customers per minute, the cost would be negligible. Internet traffic costs less than a dollar per GB, to any destination in the world. 1GB is roughly 18 hours at excellent quality (ISDN 2x64kBit/s) or about 5 days at cellphone quality (2x9.6kBit/s) -- as long distance as you like. If the subscription fee pays for the last mile (which is the only difference compared to internet traffic), then the long distance price should be well below 0.001 $/minute. The only reason for billing per minute is per minute billing.

  14. Hardcore MCI by Anonymous Coward · · Score: 5, Funny

    So does this make MCI the most successfull hardcore Pheaker in history?

    What would ss7 spoofer be called? A plaid box?

    1. Re:Hardcore MCI by Anonymous Coward · · Score: 0

      Yeah, a nice mauve/burgundy/taupe plaid.

  15. Not exactly uncommon in telecoms... by heironymouscoward · · Score: 4, Informative

    (I am not a telecoms specialist, this is second-hand knowledge...)

    Most billing systems in telecoms infrastructure work on trust to some extent. That is, billing is based on information such as the originator address, but many telecoms systems do not verify this kind of data except in a limited way.

    In a general sense, once you are on a telecoms network, your partners trust you to play fair, but there is not a general paranoia. Historically this was because nationalized telcos had no reason to cheat.

    This is a particular headache for SMS operators, since it is relatively easy for fraudulent operators to send SMS traffic with spoofed originating addresses. The traffic is either billed to the wrong parties, or at the wrong rate.

    Obviously whenever this kind of fraud gets uncovered, people tighten up their security. But often the cost of doing this is so high that it's a last step, not a first one.

    Think of unsecured email and you get a fair analogy.

    Perhaps a telco insider has a better view?

    --
    Ceci n'est pas une signature
  16. Re:Too much michael by Anonymous Coward · · Score: 0

    He started running a script against Slashdot, a computer program which automatically posted comments to each story that bashed me and promoted his personal website with its condemnatory and semi-truthful essay about the demise of the censorware project. He spammed Slashdot.

    .

    True? This is a spam-post? Do such things happen in the world still, today?

  17. Lied to customers and competitors by greensquare · · Score: 4, Interesting

    Of all of the telephone companies that have lied to me while trying to sell me service, MCI was the most boldface lier.

    I guess It's not surprising that they tried to cheat their competitors too.

    We've never had MCI. Once they called, and told me wife that they were going to give us $20 to make up for all of the long distance phone problems we'd been having. When the verifier comes on the line [to verify that we wanted to switch to MCI], just say yes to all the questions.

    I avoid MCI and AT&T. They are both liers.

    Kevin

  18. I want a cell phone as big as a classic phone... by jerryasher · · Score: 4, Funny

    This is somewhat off topic, but only somewhat, ...

    I want to ditch my local carriers entirely. They are too expensive by far and it's a monopoly I don't like (SBC.)

    I want a cell phone as big as a class touchtone phone. Big buttons that my kids can use. A devoted 911 button. Real big phone. Weighs a few pounds. So big that you can't toss a book on top of it. It plugs into the wall for power. It's big and has a the best sound quality. And it has a built-in super duper antenna so that it always has five bars of reception.

    Now it would be even better if it could share the same number as half a dozen other cell phones. When one rings, they all ring. It wonderful if I could stick a fax or modem jack into it.

    Why can't I get that?

  19. Alrighty then by Rhinobird · · Score: 5, Interesting

    I think this make it official. Working in the telecom industry is now a shameful thing. Kinda like saying you're a used car salesman or something.

    --
    If Mr. Edison had thought smarter he wouldn't sweat as much. --Nikola Tesla
  20. CellSocket by cameldrv · · Score: 3, Informative

    You might want to look into getting a cellsocket. It's not exactly what you are asking for, but it's a cradle for your cell phone that charges the battery, provides an external antenna hookup, and plugs into your phone jack. You can then use regular phones in your house, and it will send the call through the cell phone.

    1. Re:CellSocket by jerryasher · · Score: 2, Interesting

      Thanks for pointing that out.

      It's close. It's too expensive (I mean a BIG, EXTERNALLY POWERED cell phone should cost LESS than a SMALL cell phone with EXOTIC batteries). It also isn't compatible with my current phone and their 2002 copyright and compatibility only with Nokia makes me wonder how they and their product are doing.

      But I like it -- it helps confirm to me, that I am not totally crazy.

      Thanks!

  21. Cat got my tongue. by Anonymous Coward · · Score: 0

    MCI Accused of Long-Distance Call Contacting Freud

  22. Re:Lied to customers and competitors by SKPhoton · · Score: 2, Insightful

    Let's hope they don't pull an Enron and start all of the sudden shredding all their old logs.

  23. Re:Lied to customers and competitors by sllim · · Score: 4, Interesting

    That is nothing.
    I had a friend that worked for a company that did cold calls to retailers to distribute sporting goods.

    She was taught the following.
    She would be given a lead. The lead would have a contact name, address and telephone number on it.
    She would call and say:
    "I am calling from such and such. You guys ordered a quantity of sports jersey's from us 2 weeks ago. I am very sorry for how late the delivery is, but we seem to have some confusion with your address."

    At which point she repeats the address (intentionally screwing it up) to the hapless employee on the other end of the phone.
    While she is at it she also 'double checks' the payment and billing information.

    She says 'Thank You' and hangs up the phone.

    BLAAAAM now how is that for evil?

    Now I used to do something that I don't think is nearly as evil as that. I used to work for a Window manufacturer and installer, Appleby Windows. For the most part they were honest. They didn't do scams like I described.
    As a matter of fact I was encouraged to purge the schedules of single owner retired people cause it is just too sleazy to send a rep out to people like that.

    My job worked something like this.
    I had a territory that I was responsible for, say Allentown Pennsylvania.
    I had a number of sales reps in that territory. Each rep was promised to have 1 lead a day M-F and 2 on Saturday. So I needed to supply a total of 7 leads a week for each rep.
    Now these reps are pure commision. No sale, no eat. So they took those 7 leads dead serious.

    Well anyone that has done this sort of work can tell you that crappy appointments are a real problem. Reps get to houses and they are stood up, a homeowner isn't present, it is a rental.. blah, blah, blah. There are a ton of problems that can make the trip out to the house by the rep a waist of time.

    To resolve this problem we would have callers intentionaly overbook the schedules. Then I would call each home and 'confirm' the appointment with the homeowner. I was trained to firm up the appointments and to qualify them. If they passed my approval they got put on the schedule for that night.

    Well I was required to have a demo rate of 85%. 85% of all my leads had to be saleable, no they didn't have to sell, but the reason they didn't sell must be on the reps end and not mine.

    What this all turns into is that in order to give a rep 7 leads a week I actually have to book like 9 or 10. That way he gets 7 leads in spite of 15% of the ones I supply being crappy.

    Sorry this is dragging on, but the evil thing I did wouldn't make any sense unless you understood the motivation for it.

    So what happens when none of my leads are crappy and they are all good? We end up standing up good, qualified customers who just might buy our product.

    So once I decide that everything is cool and I need to blow off the appointments here is what I did:

    'Hello Mr Smith?'
    'Yeah this is (insert my name) I am calling from Appleby. I am looking for my rep, Fred Wilson. I apologize for disturbing you during your estimate, but this is something of an emergency.'

    At this point Mr. Smith's reaction varies. Some people are confused, others pissed - whatever I didn't care.

    I try to say the next bit with a combination of relief, concern and if I can muster it just a little bit of distraction, like I am juggling stuff in an emergency situation.

    'Oh dear he isn't there?!?! Ummm... I'll tell you what Mr. Smith this might just be good news.
    But I need a favor.
    Fred's son was just involved in an automobile accident. Apparently he is hurt pretty bad. Fred's wife is hysterical and trying to contact Fred. Fred carries a cell phone and I bet that she contacted Fred after she contacted me.
    I can't blame Fred for standing you up, I think I would have to, all things considered.

    But Mr. Smith if you could please promise me that if Fred shows up you will tell him just to contact his

  24. Accounting Fraud by glenrm · · Score: 3, Funny

    Nothing says "News for Nerds" like "accussed of accounting fraud", this just seems like news for some other site to me...

    1. Re:Accounting Fraud by Anonymous Coward · · Score: 5, Interesting

      Concidering we're the largest internet backbone in the world, I think some people might be interested. Especially if they break us up and start selling off the pieces.

      I've survived seven layoffs so far. Might as well go for eight :)

    2. Re:Accounting Fraud by Anonymous Coward · · Score: 0

      You are the SECOND largest Internet backbone in the world, and rapidly headed for #3. Polish up that resume. Better that you are out of a job than some one who works for an honest company.

  25. This is why corporate charters should be revoked.. by Anonymous Coward · · Score: 5, Insightful

    and upper management jailed for 20+ year sentences after corporate misgivings are proven.

    Let's face it. We, the working people, have been screwed for years under the "we're doing this for the shareholder" mantra. We've been asked to take pay cuts, work longer shifts, work weekends unpaid. Meanwhile, this is done not for the shareholders, which see no real increase, but for the top executives who use that extra productivity to support their continued bonus plan.

    This has always been about bonuses for execs. This story proves that even more.

    The only difference between organized crime and corporate America is where they get their suits tailored.

  26. Sad to hear by cflorio · · Score: 2, Funny

    I always thought that the evil greed was with Worldcom, not MCI. From reading the article, it sounds like this started with MCI long before the merger. I was hopeing it was one of the other companies Worldcom of Borg assimilated. Wiltel or MFS or someone else.

    1. Re: Sad to hear by Black+Parrot · · Score: 1


      > I always thought that the evil greed was with Worldcom, not MCI. From reading the article, it sounds like this started with MCI long before the merger. I was hopeing it was one of the other companies Worldcom of Borg assimilated. Wiltel or MFS or someone else.

      Unfortunately I think evil greed is probably the norm rather than the exception. I used to work for a small Pa&Ma shop where the Pa was president of the local Association of Christian Businessmen, and whenever he was doing work for cost + contracted markup he would habitually inflate the timesheets by 50%, excusing it on the grounds the he couldn't turn a profit if he didn't do it.

      The big guys do it, the little guys do it; I would guess that it's endemic.

      --
      Sheesh, evil *and* a jerk. -- Jade
  27. How about "3. Crime doesn't pay"? by mangu · · Score: 4, Insightful

    Let's face it, fraud is a hard job. It's much easier and more profitable to be honest. It's more expensive to hire the lawyers, accountants and MBAs needed for fraud rather than the engineers, programmers and technicians a company needs to do an honest job.

    1. Re:How about "3. Crime doesn't pay"? by Guppy06 · · Score: 3, Insightful

      "It's much easier and more profitable to be honest."

      Only in the long term. Other costs of fraud (like the lawyers you mentioned) don't come into the picture until months or years after you got your first ill-gotten gains.

      Sure, it's ultimately cheaper in the long term, but somehow I don't think the average day trader gives a damn about long-term profitability...

    2. Re:How about "3. Crime doesn't pay"? by Anonymous Coward · · Score: 0

      To paraphrase A. Lincoln, it's easier to just tell the truth the first time, than to try to keep all your lies straight.

    3. Re:How about "3. Crime doesn't pay"? by HungWeiLo · · Score: 1

      Earn money. Enjoy your job. Work within the law. Choose any two.

      --
      There are a huge number of yeast infections in this county. Probably because we're downriver from the bread factory.
  28. Out to get us... by Anonymous Coward · · Score: 0

    We're supposed to come out of bankruptcy here in the next couple of months. So seeing as how three former Worldcom people and our three largest competitors suddenly brought this up shouldn't be a big surprise.

    Of course regardless of who points the finger, or why, if your guilty, your guilty.

    So this will either greatly push back coming out of bankruptcy, make it so that we loose all the government contracts, or they break us up. As long as they can prove it.

    1. Re:Out to get us... by Anonymous Coward · · Score: 0

      I'd sit down and cry for you BUT...
      This has cost many jobs at AT&T, and others.
      The proof is there, the only thing in question is the resolution. A fair one this time hope. It may cost MCI jobs, but ...

  29. Re:Too much michael by Anonymous Coward · · Score: 0

    No of course it's not a spam post. The moral of the story: DONT BELIEVE ANYTHING MICHAEL SAYS

  30. Tariffs are the single largest cost?? by squarooticus · · Score: 1, Insightful

    Those tariffs are the largest single source of MCI's costs for carrying calls and data transmissions.

    Does anyone else find this really irritating? That a tax is the single largest cost they face? It seems to me that the government is the real problem here: IMO, good for MCI for trying to keep more of its hard-earned money away from the gaping maw of Uncle Sam.

    --
    [ home ]
    1. Re:Tariffs are the single largest cost?? by Detritus · · Score: 4, Informative

      A tariff is not a tax. It is a regulated price for a service. In this case, the long distance company pays a few cents a minute to the originating and terminating local carriers for access and use of their networks.

      --
      Mea navis aericumbens anguillis abundat
    2. Re:Tariffs are the single largest cost?? by squiggleslash · · Score: 1
      The word "tariff" in this context means the amount charged to the carrier by the local phone company. Within the phone industry, just about all charges to do with carrying calls are refered to as tariffs.

      A tariff itself is defined as "A schedule of prices or fees." That's how I learned it, the "government duty" definition I learned later.

      --
      You are not alone. This is not normal. None of this is normal.
    3. Re:Tariffs are the single largest cost?? by squarooticus · · Score: 1

      You are correct. I was unaware of the alternate meaning of tariff as "price schedule."

      Cheers,
      Kyle

      --
      [ home ]
  31. wow, this really sucks by zephc · · Score: 1

    there's only ONE reason this news scares me: my girlfriend and I use MCI Neighborhood Plan thing to talk for an unlimited time at a flat monthly rate. I sure hope that this flat rate thing doesn't disappear, we can't afford to talk as much as we want if that's the case. Is it?

    I *do* think it's pretty l33t what MCI has (allegedly) been doing, as a purely technical fascination.

    --
    "I would say that 99 per cent of what my father has written about his own life is false." - L. Ron Hubbard Jr.
    1. Re:wow, this really sucks by ConceptJunkie · · Score: 3, Funny

      Jusr goes to show what all those phone phreaks from the 1980's did when they grew up. I wonder if Cap'n Crunch works for MCI now.

      --
      You are in a maze of twisty little passages, all alike.
    2. Re:wow, this really sucks by Anonymous Coward · · Score: 0

      Nah, I think it's Sonny or Lucky that's working for MCI. I think Cap'n Crunch is still trying to evade the soggies. ;)

    3. Re:wow, this really sucks by Bored+Huge+Krill · · Score: 1
      I *do* think it's pretty l33t what MCI has (allegedly) been doing, as a purely technical fascination

      In a sort of "Mussolini made the trains run on time" sort of a way.

  32. A message from your friendly WorldCom Executive by release7 · · Score: 3, Funny

    I understand how this must look to the general public. But I can tell you, if you were in my shoes, you'd do exactly the same. Keeping up with the Joneses in my neigborhood gets very expensive and I've got three kids all looking to go to Ivy League colleges. The bonuses I raked in for this scheme were more than enough to cover this and put a new down payment on a beautiful home in White Plains. What are you doing to ensure your family prospers?

    --

    <a href="http://www.joblessjimmy.com">Work is dumb and so is Jobless Jimmy.</a>

    1. Re:A message from your friendly WorldCom Executive by vsprintf · · Score: 1

      I understand how this must look to the general public. But I can tell you, if you were in my shoes, you'd do exactly the same. Keeping up with the Joneses in my neigborhood gets very expensive and I've got three kids all looking to go to Ivy League colleges. The bonuses I raked in for this scheme were more than enough to cover this and put a new down payment on a beautiful home in White Plains. What are you doing to ensure your family prospers?

      Well, your Executiveness, I'm currently trying to get an interview with a company in India to see if I can get back my job, which you recently outsourced. Little Timmy's surgery is on hold, since we no longer have medical insurance, but he probably won't die immediately. Thanks for asking about us, though. I always knew you were a great guy, no matter what all the other employees said. :)

  33. Time for accounting nerds to show their support ! by Krapangor · · Score: 5, Funny

    The Bush goverment is just persecuting MCI for political reason. Their narrow-minded morale doesn't allow any creative accounting and business methods.
    It's time for all accounting nerd to stand up and show their support !
    First, we need some "free MCI Worldcom" bumper stickers and t-shirts. This wouldn't of course have any effect on the lawsuit, but we'll feel all great and warm inside.
    We might also organize some protests in Washington nobody notices.
    And when the MCI management comes out of prison we can all rush to buy their new book "Art of Fraud: Controlling the human element of accounting".

    --
    Owner of a Mensa membership card.
  34. basically by joel_esler · · Score: 1

    With the advent of Corporate insider trading and scandals of such magnitude, (Enron et al), I just wanna know, "where's my check?" Can I get a check? Let's just sue.

  35. Be careful what you wish for... by stefanb · · Score: 1

    Nokia already has such contraptions... you can plug in any POTS compatible device into them.

  36. Phreaking for beginners by BiggerIsBetter · · Score: 3, Informative

    Nope, plaid box is taken. A plaid box is a a box for converting ma bell's pulse-phone lines to touch-tone lines.

    More boxes than you can shake a handset at.

    --
    Forget thrust, drag, lift and weight. Airplanes fly because of money.
  37. Accounting Costs by Detritus · · Score: 1

    The systems and software that measure usage, collect the data and generate bills are a substantial part of the cost of running a telephone network. That is one of the reasons that ISPs have avoided this business model.

    --
    Mea navis aericumbens anguillis abundat
    1. Re:Accounting Costs by Anonymous Coward · · Score: 0

      Well, it used to be. In the case of my former group (GTE Data Services), the cost have been slashed by moving the billing and treatment teams to India. 8-| Before I joined them, I had _no_ idea what was involved in providing an accounting of phone traffic. I was suprised at the amount of testing that was done and the number of different scenarios that were tested for, but we're talking big bucks, so I probably shouldn't have been.

  38. STOP SPAMMING THE CHANNEL YOU PIG by Anonymous Coward · · Score: 0

    if you want to advertise at least pay for it

  39. At Press Time... by Anonymous Coward · · Score: 0

    ...Cap'nCrunch was unavailable for comment.

  40. Re:Time for accounting nerds to show their support by chipperdog · · Score: 4, Interesting

    Then why did the Bush government GIVE (without competitive bid) MCI/WC an essentially unlimited contract to rebuild Iraq's communication infastructure....

  41. Re:Lied to customers and competitors by fwr · · Score: 1

    Oh I don't know. AT&T actually did send me a check for $75 once for switching to them. A real, honest to God check, not some credit or some other BS.

  42. Re:Lied to customers and competitors by Anonymous Coward · · Score: 0

    You are a cocksucking asshole.

    It's fucking jerks like you who make things bad on us and you.

    New rules:

    If you've ever worked for a telemarketer, you can't bitch about spam.

    If you're the guy who wrote the parent post, you can't bitch about anything, not even being fucked in the ass, because you're a cocksucking asshole who deserves anything bad he gets.

  43. Re:I want a cell phone as big as a classic phone.. by Anonymous Coward · · Score: 0

    Why go cell? If you have a broadband connect, check out vonage or any of the other IP based teleco's. They provide an interface for your existing phone(s) so you don't have to deal with a headset connected to the computer etc., and it's pretty cheap I pay $40 for LD and local calling. The downside is they have limited area code support. (i.e., getting your particular one, not making calls to them)

  44. He may need a clue by BoomerSooner · · Score: 1

    But you damn sure need anger management. Just get rid of all your guns before you're the next telco employee pissed off shooting supervisors.

  45. Throw them in the cllink by Crashmarik · · Score: 1, Insightful

    Just how many major crimes do you have to commit before it ceases to be a civil matter in this country ? Just how many people do you have to harm before its considered criminal or is that just reserved for people that download songs ?

    1. Re:Throw them in the cllink by vsprintf · · Score: 1

      Just how many major crimes do you have to commit before it ceases to be a civil matter in this country ? Just how many people do you have to harm before its considered criminal or is that just reserved for people that download songs ?

      Welcome to the new America, where greed is considered a laudable corporate trait and even many slashbots rush to defend corporate amorality. It is the new order. Orwell was just off by a few decades.

  46. Without business news slashdot is nothing! by ta+bu+shi+da+yu · · Score: 0

    Without business the IT industry would be nothing. Businesses keep nerds in a job so you should be grateful that this site is reporting on news that "matters" to us most of all.

    To put it simply: geeks and nerds are soon to be marginalised in the tech industry. In their place will be MBAs and accountants who will be fully trained in technology. Technology, after all, is not that hard to learn - any businessman with a bit of nous can handle what techies do every day.

    So we must continue with these type of stories to satisfy the new slashdot target market of business technologists. Nerds are on their way out.

    Yours humbly,
    Ta bù shì dà yú

    --
    XML is like violence. If it doesn't solve the problem, use more.
    1. Re: Without business news slashdot is nothing! by Black+Parrot · · Score: 1


      > To put it simply: geeks and nerds are soon to be marginalised in the tech industry. In their place will be MBAs and accountants who will be fully trained in technology. Technology, after all, is not that hard to learn - any businessman with a bit of nous can handle what techies do every day.

      Yeah, yeah, we've heard it all before. Fifteen years ago the trade rags were full of bullshit about how fourth generation programming languages were going to let the MBAs cut all those unnessary programmers out of the loop.

      IMO the chief value of the techies isn't their programming skills, but their tendancy to think logically. You can't imagine the kind of stuff I've seen fuckwit managers ask programmers to do, e.g. generate reports that total up quantities measured in incompatible units. Most of the tech groups I've been in spent more time finding out what the boss wanted, then finding out what he really wanted, and then coercing that into the mold of reality, than they spent on the easy stuff like programming.

      --
      Sheesh, evil *and* a jerk. -- Jade
  47. Re:Come on, people... by Anonymous Coward · · Score: 0
    Did you read the blurb? It talks about spoofing SS7 point codes.

    Did you read the article? There's lots of technical stuff in there. I guess you couldn't find anything better to whine about.

  48. "Spoofing ss7 point-codes" -- Really ? by Anonymous Coward · · Score: 0

    What I'm reading is that MCI took out some contracts with some small fish in the pond, who subsequently routed the connection thru to another party. For that other party the incoming call *is* a local call (with a(n ss7 ?) code originating from that "small fish"). What's the problem here ?

    Oh, you mean that there is/should be some sort of "gentlemans agreement" between parties so that their expenditure, regarding long-line fee's, should be canceled by their income form it ?

    If that's true, all they could say should be "that's not nice."

    Where does a notion like "fraud" come into play ? Or does anyone here think that MCI should pay *twice* for a long-distance call : once to the "small fish", and once *for a local connection* between the "small fish" and some other phone-company ? I don't think so.

    As for routing call's to some far-off station and than route it (back) to/thru a competitor (so he's paying a long-distance fee) : That's definitily not nice (understatement :-) and could be considered as (some sort of) fraud. But where does the ss7 point-code spoofing into play here ? Nowhere I would say.

    *If* someone want's to play a "fraud" -theme here it could/should be on that last part, where MCI routes call's to far-away places and than route it back thru to competitors so they have to pay.

    For the first part : It looks like they where clever by routing their call's thru cheaper in-between stations, and where clever twice by not showing their found solution to other, competitive businesses.

  49. Re:10-10-987 and it's all right after all by Guppy06 · · Score: 2, Funny

    "39cents + 3cents/minute, anywhere in the US to anywhere in the US or western Europa ."

    Jesus Christ! Only $0.39 to talk to someone on a Jovian moon? Why hasn't NASA signed up for this?

    I guess they make up their money by charging you for the minutes taken up by the light lag.

  50. The smoking gub by Anonymous Coward · · Score: 0

    Still using the same enterprise-wide CRM software that keeps all the email and documents in the same place? Hope you didn't trust the application level security, any number of DB tools will peel it like a grape.

  51. AT&T by Anonymous Coward · · Score: 0

    My GF and I use the AT&T unlimited service for the same thing, You could switch to that if MCI goes kaput...

  52. Nearly a decade, eh? by Anonymous Coward · · Score: 1, Insightful
    Telecommunications experts said that in the 1990's, it became common ...

    Hmmm, no indication of who was President when this started and who is President when it's found and cleaned up?

  53. MCI, UUNET *AND* WorldCom - Three sets of thieves by ethaz · · Score: 4, Insightful
    OK, we have Bernie Ebbers cooking the books. We have Sidgemore lying about "Internet traffic doubles every 90 days" and now we have MCI (pre-WorldCom) engaging in organized theft.


    If any company ever deserved the death penalty, it's this gang of thieves. Do NOT let WorldCom/MCI/UUNet emerge from bankruptcy. Liquidate the company instead.

  54. Re:Too much michael by Anonymous Coward · · Score: 0

    I'm sure that Michael Myers would never do that. Well, hardly ever.

  55. Re:Lied to customers and competitors by Zeinfeld · · Score: 1
    We've never had MCI. Once they called, and told me wife that they were going to give us $20 to make up for all of the long distance phone problems we'd been having. When the verifier comes on the line [to verify that we wanted to switch to MCI], just say yes to all the questions

    That would have been a scam by the contractor. It does not excuse MCI of responsibility of course but you are quite likely to get a call from the same contractor to get you to switch to AT&T.

    What a lot of contractors used to do was keep a list of people who would switch over the phone. Then they would call them continuously getting them to switch from one company to annother each month.

    I have friends who never paid for their long distance because they were always on some intro offer or another.

    I currently have Qwest long distance. They screwed up the billing for 18 months, didn't send me a single bill. This despite me calling to tell them that they had a problem. Their customer service refused to sort out the problem with the local carrier because both had a policy of not waiting more than five rings...

    --
    Looking for an Information Security student project suggestion?
    Try http://dotcrimeManifesto.com/
  56. Phreakers by Anonymous Coward · · Score: 0

    They sure have learned some tricks from the phreakers.

  57. Nice timing by Rhone · · Score: 2, Funny

    This article has funny timing for me, since I had just dealt with MCI's fraud protection (I think that's what it was called) department a little under a month ago.

    I moved into an apartment after graduation, and tried to get phone service from another phone company, but MCI still had their service on the phone line from the previous tenant. They denied responsibility for the phone line, saying they had cancelled it.

    A few long distance phone calls with no one to bill finally got their attention. Idiots....

  58. FCC is why by qwertyatwork · · Score: 1

    I work for a cell company, its against fcc regulations. One number per one phone.

    1. Re:FCC is why by nbvb · · Score: 1

      Horsepuckey.

      My cell is dual-NAM'd. Two numbers, one phone.

      The only place this gets tricky is with the cellular fraud analysis systems, because they have to sort this out..... but as long as theres a hook between provisioning and fraud it'll all work out ok.

    2. Re:FCC is why by qwertyatwork · · Score: 1

      My earlier comment was incorrect. You can have 2 numbers for 1 phone (the nams you speak of) what you cant have is 1 number for 2 (or more) phones.

    3. Re:FCC is why by wfberg · · Score: 1

      My earlier comment was incorrect. You can have 2 numbers for 1 phone (the nams you speak of) what you cant have is 1 number for 2 (or more) phones.

      I have just exactly that; a "personal number" which rings simultaneously on my cell and on my home number (though I can add up to 10 domestic phonenumbers, and even use a roster (e.g. workplace phone rings only between 9 and 5) through a simple web interface). The provider I'm using at the moment offers free service for me, but the caller does pay a higher charge per minute. I could go with another provider though.

      Then again, I live in Europe ;-)

      --
      SCO employee? Check out the bounty
    4. Re:FCC is why by qwertyatwork · · Score: 1

      Its good your learning about our phone regulations, I mean after all at some point were going to have to 'liberate' europe :)

  59. NANAE is filled with k00ks by Anonymous Coward · · Score: 0

    Shut the fuck up, you obsessive compulsive twat.

  60. MCI/WCOM/UUNET in trouble? GOOD! by wowbagger · · Score: 2, Interesting

    Having spent US$60 trying to get MCI to shut down a virus infected host that was continually hitting me with multi-hundred kB emails (to no avail), I say, "MCI is in trouble? GOOD!"

    The three constituant parts of this hydra (MCI, WCOM, and UUNET) each have a long history of irresponsiblity to the community - an attitude of "Screw you! We are making money any way possible! You No Likee? Suck ME!". UUNET hosting pink contract spammers, MCI screwing other phone companies, the whole WCOM stock deal.

    I hope they get nailed. I hope their execs get sent to prison, and through an administrative mistake go to a nice maximum security prison rather than Club Fed, sharing a cell with an AIDS-infected serial sodomist who has nothing better to do than sign up for penis enlargement and Viagra spams. I hope the companies are forced into liquidation. As a resident of Known Space would say, "Break'em up for parts!"

    1. Re:MCI/WCOM/UUNET in trouble? GOOD! by ChilyWily · · Score: 1

      No kidding! I was once an MCI long distance customer and it took me 2 years to get them to stop sending me a bill for "monthly charges" for $0 of Long distance used! I called them, wrote to them explaining that I had switched my long distance (I even sent them back their 'confirmations' of my termination of service) yet the bills continued! They even threatened to send a collections agency after me... My SO made the mistake of sending them the first $4.95 on their assurance that it would stop the billing system and that they would refund it. I have yet to receive that money back. My experience with MCI has been that they mis-represent services, are negligent on following up on their faults and generally inattentive to customer complaints (much less resolving them).

      My question, how long do we hear before a consumer class action suit (on such stuff) is filed? I urge all to not associate with these guys. Too late for me, save yourselves.

    2. Re:MCI/WCOM/UUNET in trouble? GOOD! by phorm · · Score: 1

      Are you running a server or are you just a client? Have you considered blocking them (if you run a server) or asking to have them blocked (by your provider, if a client).

    3. Re:MCI/WCOM/UUNET in trouble? GOOD! by wowbagger · · Score: 1

      That is exactly what I ended up doing - having my ISP add the offender to their email blacklists.

      However, the point is that this infected machine is still spewing its payload over the 'Net, and potentially infecting other machines. If ISPs were to take action against such infections by shutting down the infected machine's account, then the spread of viruses would be greatly reduced.

      However, ISPs like WorldCom don't. The are happy to let the 'Net degenerate into the electronic equivelent of a urine-soaked, broken-windowed, crack-dealer-infested tenement building that WE ALL HAVE TO LIVE NEXT DOOR TO.

  61. Ohhhh!!!!... A WITCH!!!!! by xphread · · Score: 0
    I used to work for a Window manufacturer

    C'mon! This guy admits he worked for M$!!!

    CAN WE BURN HIM????!!!!!

  62. IP by imbaczek · · Score: 0, Offtopic

    I sense really deep shit wrt patent/license stuff. Looks like free software won't be free to develop, and that's insane. You all US guys, get a life for your goverment.

  63. How it really works by ZPO · · Score: 4, Informative

    Here is how something like this typically works.

    First, how is it supposed to work. SS7 pointcodes are like the IP address of a telephone switch. Messages are routed through an SS7 network that runs between switches to route calls, identify the source and destination information, and generate billing data. There are rather simple ways to conceal the origin of these calls. The ILECs (who own the InterLATA tandems) have gotten their friends, the state PUCs, to continue with quite high orig/term interconnection tarriffs. This is a huge source of revenue for them. The original concept was to pay for the large upfront expenditures to install the interlata tandems with the breakup of AT&T and the entrance of the new (at the time) IXCs. Those switches (and the required capacity upgrades) have been paid for hundreds of times over. When you consider $.05/min long distance and the orig/term fees are $.03-.04/min for both ends you see the IXC isn't exactly making much. Its a little present to the ILECs from the PUCs.

    Many companies are doing this today via what is known as the "enhanced service provider exemption". In short, this states that Inter-LATA traffic which is carried across an enhanced services network (VoIP, VoATM, VoFR, etc) is not subject to InterLATA termination fees at the distant end of the call. The rules are pretty vague here and there doesn't appear to be a minimum percentage in the quantity of calls which must be handled by the enhanced services network or a percentage of the overall call distance that must be handled by the enhanced services network. What you get is folks that buy some to handle perhaps a T1s worth of trunks, place them next to each other in the rack, and route a few calls through it within a single office. Under the current rules they now operate an "enhanced services network" and are thus exempt from paying the orig/term InterLATA tarriffs. There is at least one large calling card provider (especially catering to the Hispanic population in the US) that does exactly this. The company then finds a friendly CLEC to allow them to dump their calls into the local network via MF (tone signalled, non-SS7) trunking and the origin of the call will appear to be a local number.

    In the old days (pre-1999) there were several companies doing this without bothering to claim the enhanced service provider exemption. I've personally seen companies locate in a CLEC colocation facility and house nothing but a patch panel in a closed cabinet. MF trunks from IXCs (long distance carriers) are brought in on one side, and MF local-access trunks head out the other. This is also known as "dump and term".

    When you're MCI (WorldDom) this becomes trivially easy. MCI owns at least 2 CLECs. WorldCom bought Brooks (I ran local operations in 2 cities for Brooks) shortly before the MCI deal. They also bought MFS several years before that. It would be a very simple matter to use an intermediary in each LATA to launder the traffic via MF trunks back into their MFS/Brooks switches and then pass them off to the ILEC (incumbent local exchange carrier) as what appear to be local calls. There isn't any high-tech SS7 munging required here.

    This could also be accomplished via some sexy work with SS7 on a switch. It would be like NAT and would rewrite the originating point code and phone number to a local one. The same SS7 hardware would take the messages coming back and rewrite them to go to the proper switch. We do NAT with IP addresses every day. Its not a large stretch to imagine doing it with SS7. I don't see much of a need to though. There are much simpler ways to accompish it.

    Hell, if MCI/Worldcom doesn't mind the exposure just run the MF trunks between local and LD switches without the intermediary. It opens up a huge liability hole, but it may have been deemed acceptable.

    1. Re:How it really works by jrp2 · · Score: 3, Interesting

      Nice post, you do cover the scam well.

      I guess one thing I disagree with is the use of MF (or, in North America, usually DTMF to be precise). Not necessary, this is done all the time with ISDN trunks from CLECs (or even ILECs). You get the same effect on a PRI by not providing a CallING Party IE (CallerID in Q.931-speak) in the SETUP message, it will just assign the billing number as CallerID if it is not provided (or if they validate CID and what is provided is not valid for that trunk).

      These calling card operators order up PRIs in all the major markets, as if they were a local business user. They bring in the calls via VoIP, then terminate them using their network of local PRIs. The terminating gateways either strip, or fudge to their local directory number, the CallING Party IE. As far as the ILEC (or CLEC for that matter) is concerned, the call is a locally originated call by a legit local business.

      Most (all?) of the VoIP termination gear has extensive features to spoof CallerID for this very reason (and for telemarketers, of course). I have even seen folks "randomize" CallerID.

      Anyway, did not intend to debunk your explanation, it was quite accurate. Just know that this same concept is done all the time with very simple spoofing in ISDN. ISDN can be obtained very cheaply from any desperate CLEC, is more reliable, shorter connect time (PDD), requires less DSPs in the termination gear (reduces capital costs), and is TRIVIAL to spoof in almost exactly the same way as non-FGD tone-based protocols as you described.

      Now that is the US (and Canada, Australia, Western Europe, etc.). I am constantly surprised by the crazy shit they do to get calls into places like India, Bangladesh, Africa, etc. ;) It is like a telecom variation on the movie "Catch me if you can".

      --
      The only athletic sport I ever mastered was backgammon - Douglas William Jerrold
    2. Re:How it really works by Anonymous Coward · · Score: 0
      I guess one thing I disagree with is the use of MF (or, in North America, usually DTMF to be precise).

      No, to be precise, it is MF, not DTMF. While MF does use dual tones, it uses a 6x6 frequency matrix to produce the tones but only has 15 valid values, and refers to the larger protocol used for trunk signaling (length of tone, supervision/call control, etc.).

      DTMF, primarily used for signaling from the end user (think touchtone dialing), uses a 4x4 frequency matrix with 16 valid values.
    3. Re:How it really works by ZPO · · Score: 3, Informative

      You're absolutely correct. Now that you remind me I think the calling card operator was using PRIs. In that particular case they were running the PRIs back to another state to be terminated in their switch. Their initial install had been done before I took over the market in question. When they went to add another 28 PRIs I (under advice of counsel) asked the sales rep to get a signed statement from them that they were operating a network which qualified under the "enhanced services exemption" rule. That was not a happy sales rep!

      I'm not a big fan of the origination/termination tariffs for LD calls. If you look at the pricing on LD plans you'll almost always see a lower rate for interstate than intrastate. Its the same LATA tandem terminating both calls on exactly the same hardware. The difference is what the PUC has granted the ILEC (RBOC) on intrastate calls ($.025-.05/min) vs. what the FCC has set as the rate for interstate calls (?? ~$.005/min). An average of $.03/min starts adding up rapidly when you've got millions of channel/minutes per day. There is no technical difference so the only difference is regulatory.

      Take it another step and look at the traffic settlements of most CLEC/ILEC interconnection agreements. The ILECs screamed until they got them put into the interconnection agreements. They expected a huge profit center. When the CLECs started signing up all the ISPs the ILECs screamed about "abuse of their network" amazing the difference in "fairness" to the ILEC mind between depositing the checks and having to write them. Even with settlements, they are pretty low. IIRC, $.0002-.0005/min for direct EO term, higher plus mileage for access tandem termination. It varies for each interconnection agreement. If the IXC owns a CLEC and terminates the call either directly to the EO (end-office - also known as LSO) or even via the access tandem then why should the interconnection tariff be 5-10 times higher? Its all in the regulation folks. I'm not sure what the solution is, but I'm very sure its not more regulation.

    4. Re:How it really works by jrp2 · · Score: 1

      No, to be precise, it is MF, not DTMF.

      Actually, the vast majority of CAS (non-ISDN, in-band tone signaled) trunks in US/Canada use DTMF, not MF. The most notable exception is FGD trunks, but those are not what the original poster was referring to (as those actually do have ANI/CallerID transmission capability). FGD trunks are becoming more and more rare as SS7 is normally used where they were previously used (Inter-carrier connectivity).

      Though I have seen MF in use on some CAS trunks, it is not common. T1s from LECs to businesses use DTMF as a rule. FGD applications need KP and ST for handling the break between INFO, DNIS and ANI, normal PBX/business apps do not as all they transmit is DNIS/DID. Take a peek around the PBX mfg sites, you will find many PBXs don't even support MF, just DTMF.

      --
      The only athletic sport I ever mastered was backgammon - Douglas William Jerrold
    5. Re:How it really works by Anonymous Coward · · Score: 0

      The original poster was referring to intercarrier trunking (ILCE->CLEC->whatever), not enduser to carrier trunking.

      Really, if one wants to pick nits, the vast majority of signaling period is by DTMF, for at least some part of the call in the voice network.

  64. Re:MCI, UUNET *AND* WorldCom - Three sets of thiev by Anonymous Coward · · Score: 0

    As much as I understand everybody's frustration with this, I'd like to point that not letting MCI emerge from bankruptcy will not be beneficial for the global economy.

    Not to mention those thousands who still work at MCI, doing their job like anyone else, unaware of what upper management is scheming.

    If MCI went bankrupt they would drag too much lives with them down in their fall.

    So liquidating the company wouldn't really be any more helpful to everyone then letting them emerge and see how the market responds.

    Yes I work for MCI and no I'm not particularly proud of it and yes I do not wish to lose my job in this economic climate.

    I'm really curious if we'll have another rebranding campaign because of this though.

  65. Re:MCI, UUNET *AND* WorldCom - Three sets of thiev by Anonymous Coward · · Score: 0

    I'm pretty sure WorldCom *is* MCI, so it's really a pair of thieves.

  66. Wait a second by Arbogast_II · · Score: 2, Interesting

    Unless I am mistaken, MCI Sprint, WorldCom and now MCI have been ripping people off right and left, anyway they could, since the beginning (the 80's I think???). They have always been involved in fraud, who has had their service, carefully checked there bill, and NOT discovered getting overcharged for something. What I find shocking is that there are still people that will willingly do business with these folks.

    --


    HenryJamesFeltus.com
  67. Re:(OT) Google.. [google does NOT crawl nytimes] by Anonymous Coward · · Score: 0
    The NYT have noticed that google often links to actual articles from its news.google.com site, bypassing NYT's login screen, and they are said to be trying to work out a deal to stop this.
    Quite the opposite is true. You NEVER see nytimes.com on news.google, because the crawler isn't allowed. You see nytimes material, but only because other newspapers pick up the NYT News Service and their sites are crawled by google.

    http://www.nytimes.com/robots.txt

    I've noticed the referrer too, and I hope it means that news.google will start crawling nytimes.com.

  68. What the fuck are you talking about? by Trespass · · Score: 1

    He didn't seem angry, just annoyed at the amount of wrong information. Or should he have mentioned Linux and made an unfunny joke?

  69. Telecom systems business plans by swb · · Score: 2, Funny

    1) Inflate earnings
    2) Falsify expenses
    3) Slam 'n Cram Customers
    4) Cheat business partners
    5) Profit!!!

    Looking back, was the monolithic monopoly of the Bell System REALLY that bad?

    1. Re:Telecom systems business plans by Anonymous Coward · · Score: 0

      Yes.

    2. Re:Telecom systems business plans by Anonymous Coward · · Score: 1, Insightful

      There is one rule here: telecom == fraud.

      The monolithic monopoly of the Bell System was just as bad. You are just too young to remember. It was worse, in fact, because their was no other big fraudulant corporate facist to scream and thus uncover it. It was much more hidden, and the effects were more prevasive. Now at least you can pick one warlord over another.

      The old situation was akin to being a peasant in medieval China. The new situation is akin to being a peasant on the borderlands of Scotland. It still sucks, but now there is hope.

  70. Re:(OT) Google.. [google does NOT crawl nytimes] by generic-man · · Score: 1

    Stop talking. You're lying.

    --
    For more information, click here.
  71. Re:Time for accounting nerds to show their support by Deusy · · Score: 1

    I think the parent's parent should rephrase:

    For the Bush administration, it's backhanders and business as usual, despite the best efforts of those lower down in the pecking order.

    Investigatories: "We'll persecute MCI unless you make them let us in on the action."

    Bush Adm: "No way, we're making a packet regardless AND you just indighted yourself for blackmail and attempted fraud. Mess with the best..."

    Investigatories: "Damn. Was worth a try."

    --

    Free Gamer - Free games list and commentary

  72. Bankruptcy.... by Anonymous Coward · · Score: 0

    They stole all that money and still went bankrupt? Actually, I guess that shouldn't come as a suprise. Companies that are run corruptly also tend to be run incompetently.

  73. Re:I want a cell phone as big as a classic phone.. by treat · · Score: 1
    A devoted 911 button.

    Yeah, good idea. One button that summons a paramilitary response, and gets you arrested if you hit it by accident.

  74. Re:MCI, UUNET *AND* WorldCom - Three sets of thiev by Anonymous Coward · · Score: 0
    The MCI employees? Tough shit. What about all the employees of all the companies who competed with MCI/WorldCom/UUNet, conducted themselves honestly and went under? What about the companies that competed honestly, managed to stay alive but had to cut payrolls because of MCI/WorldCom price competition, which we now know was partially fueled by scams like this? What about all the companies that based their business plans on Sidgemore's "Internet traffic double every 90 days" lie? Found out that was a load of crap and went out of business? What about all the stockholders of WCOM who have ZERO now?


    The fact is, the traffic carried by UUNet, the long distance calls made on MCI, can be easily handled by other carriers. The transition could be done in 30 days. KILL THIS COMPANY!!


    Fuck, the MAFIA employs a lot of people too. Of course, at least they admit that they're a bunch of thieves.

  75. Re:Come on, people... by Lew+Payne · · Score: 1, Interesting

    It doesn't surprise me at all. My testimony before the Nevada PUC regarding manipulating SS7 packets was cancelled last year. Instead, they held it with the lawyers, who argued the packets could not be altered or tampered with. Even after my phone call to them, in which I manipulated the CLID packet, they still ignored the obvious. It took other giants (phone companies, in this case) to finally bring this beast to the public's attention. Now, perhaps, the PUC will also look at what they dismissed with disdain last year.

  76. Re:MCI, UUNET *AND* WorldCom - Three sets of thiev by HermDog · · Score: 1

    I'm thinking it's really just the one thief.

    --
    JADBP
  77. I wonder if this was in the requirements document by Anonymous Coward · · Score: 0

    I wonder if the programmer would be liable as well.

  78. Re:10-10-987 and it's all right after all by NaDrew · · Score: 1
    "39cents + 3cents/minute, anywhere in the US to anywhere in the US or western Europa."

    Jesus Christ! Only $0.39 to talk to someone on a Jovian moon? Why hasn't NASA signed up for this?
    I thought all those worlds were ours except Europa?
    --
    Vista:XPSP2::ME:98SE
  79. Re:I want a cell phone as big as a classic phone.. by TheHawke · · Score: 1

    Two Words, one product: BAG PHONE!

    --
    First rule of holes; When in one, stop digging.
  80. YES. by Arbogast_II · · Score: 1

    We need government that is not soft on crime. We got a government that is unbelievably soft on White Collar Crime. There is no telling how expensive White Collar Crime is to the economy. Kinda ironic, white collar criminals make a fortune and face little sanction. Let some poor person rob a few thousand dollars from the same company with burglary. Both belong in prison, but the white collar criminal, who is far more destructive to society, gets a slap on the wrist.

    --


    HenryJamesFeltus.com
  81. AT&T Canada? by paulc · · Score: 1

    They are no more... AT&T Canada are now known as Allstream.

  82. I am of two minds about this by einhverfr · · Score: 1

    Certainly I think the threat of having a corporate charter revoked might encourage Directors to ensure that everything is above board. And I think that in extreme cases this is warranted. But---

    Who are the actual owners of MCI? Did they have any knowledge of this? Should they be deprived of property just because the execs (who they indirectly hired) cheated someone else? While revoking charters certainly doesn't go beyond the idea of limited liability for investors, it could have a chilling effect inthe industry.

    Usually when something REALLY BAD happens (Enron, f. ex.) the companies which share blame end up going out of buisness when faced with all the fallout (Arthur Anderson, f. ex). This is similar.

    Now, we need to find a way to do the same to SCO ;-)

    --

    LedgerSMB: Open source Accounting/ERP
  83. Re:Lied to customers and competitors by Anonymous Coward · · Score: 0

    I had a friend that worked for a company that did cold calls to retailers to distribute sporting goods... She was taught the following

    That's a fairly well known form of fraud, a con game. It's illegal.

  84. Re:Time for accounting nerds to show their support by spike+it · · Score: 1

    Hmmm...wasn't the Bush Administration involved in the whole Enron deal, too? Fishy, fishy...

  85. Worldcom at it AGAIN... close them down. by Anonymous Coward · · Score: 0

    sick of this crap... FYI, MCI used to be a subsidiary of Worldcom... but now they changed Worldcom's name to MCI (Sprint, whatever) to try to have everybody forget all those Enron style scandals... (on top of all the new ones)

    Shut them down and put the CEO's away for LIFE.

  86. Screw it Shut us Down See what happens by Anonymous Coward · · Score: 0

    Screw IT shut us Down. See what happens I guarantee if I was the CEO and someone came in and told us we were liquidating your company. I would shut off everything, cut all of my cables. Basically turn off the internet and the government.
    Even if the Government turns us down for new contracts in the United States, and go for The other carries,they will just turn around and buy the bandwidth from us.

    Every other phone company and cell company does the same thing.

  87. I was accused by luekj · · Score: 1
    Of being Fraudulous, by myself.

    Today

    Yup

    Uhuh

    --
    Many Thanks,

    Luke

  88. SS7 by Anonymous Coward · · Score: 0

    Indeed, the big problem in SS7 is the 2-face security model -- you
    are either with us [telco] or attacking us [phone phreak, etc].

    BUT..just like the New Orleans PD problem, when you are both......

  89. Re:Lied to customers and competitors by sllim · · Score: 1

    Never said it was illegal.
    Personally I would not have done it. My only telemarketing job was at Appleby. They are a legal do things by the books company. No con games there.
    What I did IS in bad taste. But it is also illegal.

    Besides kind of like you are posting as an Anonymous Coward I didn't give you her name.

  90. Re:Lied to customers and competitors by sllim · · Score: 1

    I am sorry, what I meant to say was 'What I did IS in bad taste, but it happens to also be legal.'.

    Sorry about that. I got me a bad headache and I didn't proof the message.

  91. Re:10-10-987 and it's all right after all by Anonymous Coward · · Score: 0

    Hey, it said no landings, it didn't say anything about a little phone call.

  92. Here's what they're not telling you. by Firehawke · · Score: 1

    Here're a few things you might really want to know...

    First off, plans last only a certain amount of time before they're "grandfathered in", meaning that existing customers can keep the plan but new customers cannot be added. They don't and won't tell you when this is going to happen.

    After that time, a number of things can knock you off the plan without you being able to get back on. Interruption of local or long distance service, slamming, a glitch in the systems.. there are quite a few ways you can lose a plan.

    Of course, the company will try almost anything to get you off one of the older plans, since they don't make nearly as much money for them as newer plans do.

    I've worked in the phone industry before, so I've seen this from both sides of the phone call to customer service. I really oughta write a book about this.

  93. What the fuck are YOU talking about? by Anonymous Coward · · Score: 0

    He seemed awfully pissy to me. Whether it's "angry" or just "annoyed", the tone of that post was just way too beligerent.

  94. Re:Lied to customers and competitors by Anonymous Coward · · Score: 0

    Bad taste... cruel... immoral... hope you're happy.

  95. Re:Lied to customers and competitors by bill_mcgonigle · · Score: 1

    Fred's son was just involved in an automobile accident. Apparently he is hurt pretty bad.

    Yeah, I think you get 225 years in the Acid Room in Hell for that. Each offense.

    --
    My God, it's Full of Source!
    OUTSIDE_IP=$(dig +short my.ip @outsideip.net)
  96. Re:Wow. [The Biggest Phone Phreak in History] by Anonymous Coward · · Score: 0

    "could have possibly gone on for a decade unnoticed."

    It didn't and I wish I didn't have to post this anonymously.
    T's Network Performance Group identified the problem in 1996 and believed it was a LEC overcharge in terminations.
    Investigation with the Locals determined that they were billing T properly and the problem came from the other direction.

    Here's the catch that made it possible. Tarrifs require that calls with bad SS7 still have to be completed, and the issues hashed out in committie later.

    And that's where's it's been until an honest MCI employee came forward with the PROOF that could only be found from the inside.

    Access to the SS7 network is an exclusive club, but members have a level of access that can make this kind of phreaking nearly impossible to prove from outside.

    This really makes WorldCom/MCI's re-entry into the market as a full partner impossible.