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Hacker Resells VOIP For Profit

uncleO writes "The New York Times tells the story of today's arrest of Edwin Andres Pena, 23, who 'hacked into computers run by an unsuspecting investment company in Rye Brook, N.Y., commandeered its unprotected servers, and re-routed his phone traffic through them,' then 'used more than $1 million he received from his customers to go on a spending spree, buying real estate in south Florida, a 40-foot Sea Ray Mercruiser motor boat, and luxury cars including a BMW and a Cadillac Escalade.'"

13 of 155 comments (clear)

  1. Hero or Bad guy? by jaymzter · · Score: 4, Funny

    I'm never gonna get used to VOIP. Caffineated bacon? Baconated grapefruit? ADMIRAL Crunch?

    Here's reference for you young whipper snappers

    --
    If thou see a fair woman pay court to her, for thus thou wilt obtain love
  2. The real crime... by gnomeza · · Score: 5, Funny

    in this story is that he went and bought a Cadillac...

    1. Re:The real crime... by springbox · · Score: 4, Funny

      Spending sprees are just so cliché these days anyway. It would be refershing to see a criminal that puts their millions into investments instead.

  3. Bad Taste by ewhac · · Score: 5, Funny
    ...used more than $1 million he received from his customers to go on a spending spree, buying real estate in south Florida, a 40-foot Sea Ray Mercruiser motor boat, and luxury cars including a BMW and a Cadillac Escalade. [emphasis mine]

    Why is it that most thieves have no taste? The BMW is okay, but most of that is tacky sh*t you could win on The Price is Right.

    Schwab
    Elitist Scum

  4. Bet he was NOT... by Linker3000 · · Score: 5, Funny

    ...allowed one phone call when arrested!!

    --
    AT&ROFLMAO
  5. Scam Artist Beware! by crazyjeremy · · Score: 4, Interesting

    When will they learn? If you ever find a get rich quick scheme that ACTUALLY WORKS and makes you millions you should spend it slowly. Don't go for the Escalade and McLaren. Don't buy a home on the coast of Florida. Do learn about banks in Switzerland.

    1. Re:Scam Artist Beware! by Tx · · Score: 4, Funny
      I'm sure this sort of thing happens all the time--it's just that the smart ones don't get caught.

      That's right, we don't.

      Oh bugger...
      --
      Oh no... it's the future.
  6. Toll fraud by porkThreeWays · · Score: 5, Interesting

    I used to work in the VoIP business writing software a few years ago. There's A LOT of illegal activity that goes on. Much more than you think. Espically in wholesale. These guys do this stuff all the time. I guess the real story is that it happened in the US. Mostly it happens outside of the US. But trust me, it happens all the time. The shitty thing is, you have to pay for minutes you were ripped off. It's one of the few businesses that you can have stolen more than you have. If I have a warehouse ripped off, I am only out the equipment in that warehouse. With tollfraud, I can be out 300,000 dollars more than my whole business is worth.

    It's bound to happen. A lot of these guys just buy a cheap-o softswitch and throw it in a noc. Some of them do their billing in MS Access.

    --
    If an officer ever threatens to taze you, say you have a pacemaker.
  7. To the rest of us pulling the same scheme. by ptelligence · · Score: 5, Funny

    Disconnect! Disconnect! The Gig is up!

  8. He obviously wasn't too smart by the_mighty_$ · · Score: 4, Insightful

    TFA says that his operation cost the real VOIP guys about $300,000. He received $1,000,000 in revenue. If he had just done the same thing, but legitimately, there would have been $600,000 profit. If he had only does things the right way....

    Crime can pay--for a short while. But real innovation and hard work can *really* pay, and you don't have to be looking over your back the whole time.

    --
    VI VI VI - the editor of the beast!
    1. Re:He obviously wasn't too smart by Clod9 · · Score: 4, Informative

      The way I read it, 15 companies had to foot real bills from real companies, and the largest of these 15 bills was $300,000. The other companies all paid less, but the total may have been up to (or even more than) $1 million.
      (Oops, I went and read the article before posting again. Silly me.)

  9. Gen Y by rijrunner · · Score: 5, Funny


    Well.. I, for one, never really bought into the myth that kids today are unmotivated. It is good to see someone with ambition and drive. I am, like many others, sadly noting the use he put his money to.

    Dude, its not Swiss bank accounts or the Cayman Islands. Its Vegas Baby.. Alcohol, women, drugs, gambling... In my day, we did not give a damn about the future as we knew we could always steal more. They can take your possessions away, but never your memories. In my day, we created companies that sold nothing and listed money invested by venture capitalists as "sales" and gave ourselves huge bonuses.. This plan would have really worked, if you have followed the 1990's model and not actually provided any services...

    On the serious side tho.. Doesn't this raise some fundamental questions about VOIP security? If I am reading this correctly, they did not hack the VOIP software itself, but a computer on which they resided, then ran the software normally. That opens a lot of systems worldwide to this sort of scheme.

  10. Odd with whom the sympathies rest by k1980pc · · Score: 5, Insightful

    Majority of the comments here tells what-he-should-have-done-to-not=get-caught. He is a cheat, he got caught. Serves him right. And with the amount he would have siphoned off, there will be enogh lawyers with snake oil to let him out. I do not think he need any sympathies and advice from /. crowd