Category Archives: Theft

Hospitality Industry Information Security: New York Hotel Employee Charged With "Stealing 237 Guest Credit Card Accounts" Totaling Over $800,000 In Fraudulent Purchases

“…A New York City hotel chain auditor has been charged with stealing hundreds of guests’ credit card information and selling it to a man accused of using it to buy $840,000 worth of airline tickets and other items…”

Lukasz Kruk and Barry Herndon pleaded not guilty to grand larceny, identity theft and other charges Friday. The Manhattan district attorney’s office says 237 accounts were compromised over three years.

Prosecutors say Kruk was an auditor for the Amsterdam Hospitality Group and had access to guests’ credit card data. They say Herndon bought tickets for himself and other people with information Kruk took.

Amsterdam Hospitality Group runs eight boutique hotels in New York City, Asbury Park, N.J., and Charlotte, N.C. Its representatives haven’t responded to a request for comment.

For more:  http://www.businessweek.com/ap/financialnews/D9QQ75581.htm

 

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Filed under Crime, Guest Issues, Insurance, Labor Issues, Liability, Management And Ownership, Privacy, Risk Management, Theft

Hospitality Industry Employee Risks: Hotel Management Company Files Suit Against Two Former Employees And Employer Claiming "Theft Of Confidential Documents"

 “…Hersha Hospitality Management LP has filed suit against two former employees and their new employer, claiming the former employees allegedly could have stole thousands of confidential documents before leaving to take their new jobs…”

 In a 17 October filing in U.S. District Court, Hersha said the employees engaged in a “web of deception” in their final days at Hersha before leaving for positions at The Procaccianti Group, a private real-estate investment company. Before leaving, Hersha said in the filing, the two recruited two other key Hersha employees to also leave. The two denied recruiting the other executives, Hersha said in the filing.

By way of a computer forensic examination, Hersha also found the two former employees potentially stole “thousands” of sensitive computer files. “(Hersha) is now faced with the real possibility that its direct competitor, TPG, could have access to its most important competitive secrets and strategies,” Hersha officials wrote in the filing. “Upon information and belief, TPG encouraged this conduct by offering the former (Hersha) employees substantial raises in a blatant effort to harm (Hersha) by raiding its top managers and by inducing them to commit wrongs.”

 

A call to TPG president and CEO James A. Procaccianti was returned by the company’s director of communications Ralph Izzi, who said it is TPG’s policy to not comment on pending litigation. A Message left by HotelNewsNow.com with Hersha president and CEO Naveen P. Kakarla was not returned by deadline Friday.

 

For more:  http://www.hospitalitynet.org/external/4053560.html

 

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Filed under Crime, Labor Issues, Liability, Management And Ownership, Privacy, Risk Management, Technology, Theft

Hospitality Industry Cyber Crime: Washington Hotel Room Used By "Identity Theft" Ring Exposed By Credit Card Company Alerting Card Owner Of Hotel Room Booked At Hotel

“…The man’s credit-card company had alerted him that someone using his card had booked a room there…”

“…Police say the search turned up cell phones, lap top computers, computer hard drives, iPod touches, electronic storage devices, magnetic card readers, routers, hotspots and computer peripherals…”

Police have arrested two men and say a search has turned up evidence that there may be more victims of identity theft. Police say they have yet to determine how many vicitms there might be.

Just after noon on Tuesday, East Precinct patrol officers met a man in the lobby of the Silver Cloud Hotel in the 1100 block of Broadway. Officers went to the room and found two men.

In the room, they saw several cell phones, laptops, a WiFi hotspot, router and papers with credit-card numbers.

Detectives with the fraud, forgery and financial explotation unit got a warrant to search the room and the suspects’ vehicle.

For more:  http://www.seattlepi.com/local/article/Seattle-cops-may-have-busted-identity-theft-ring-2239352.php

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Filed under Crime, Guest Issues, Management And Ownership, Privacy, Risk Management, Technology, Theft

Hospitality Industry Guest Information Risks: Hotels Are Collecting More Personal Information On Guests And Protecting "Personally Identifiable Information" Is Top Priority

“…ensuring the security of this data is so important that it’s consuming hotel IT departments’ attention right now, said Josh Weiss, Hilton Worldwide’s VP of brand and guest technology…”

 “…The stakes involved in protecting “personally identifiable information” (data that can be used to uniquely identify, contact or locate a single person) are far higher with this personal information than with credit-card information…”

As hotels collect more personal information about guests and the Epsilon and Sony data breaches earlier this year shook people’s confidence in corporate data protection, hotel guests are increasingly asking hotels how well they’re securing their personal information, Mark McBeth, Starwood Hotels’ VP of information technology, said during a recent conference.

IT execs from Starwood and also Hilton and owner/operator White Lodging said they’re responding by making guest-data security their No. 1 priority. “PII is considered high-risk because if there were to be a breach, you’re exposing the guest’s identity,” he said. “It paints some pretty scary pictures.”

A “PII” breach could potentially lead to child abduction or a murder if information falls into the wrong hands, he said.

For more:  http://travel.usatoday.com/hotels/post/2011/10/starwood-hilton-work-to-protect-personally-identifiable-information/553616/1

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Filed under Crime, Guest Issues, Insurance, Maintenance, Management And Ownership, Privacy, Risk Management, Technology, Theft

Hospitality Industry Theft Risks: Washington Hotel Housekeeper Arrested For "Stealing iPad" From Guest Room; Global Positioning System (GPS) On Device Tracks Down Suspect

“…The guest noticed his iPad missing from his room Sept. 9, and there was no forced entry… the man used a GPS that had been installed on the device as an anti-theft measure to trace the iPad to Zavala’s apartment complex…”

Olympia detectives arrested a housekeeper at the Red Lion Hotel Olympia on Friday after a hotel guest tracked a global positioning system on his missing iPad to the housekeeper’s apartment, police said

The man contacted police, and detectives went to Zavila’s apartment. She admitted to taking the iPad.

Detectives executed a search warrant at the apartment and found the iPad. They also found a laptop, jewelry and other items that might have been stolen.

Hotel General Manager Jay Johnson said Zavala has been suspended pending the outcome of her case. He added that hotel officials believe the theft is an isolated incident.

Read more: http://www.theolympian.com/2011/09/19/1806512/hotel-housekeeper-accused-of-stealing.html#ixzz1YV3toCsb

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Hospitality Industry Guest Security Risks: Hotels Must "Reset Factory Codes" On Hotel Safes To Prevent Unauthorized Opening Using "000000"

“…Being able to unlock a hotel safe by entering in all zeros, he said, is pure ‘negligence on the hotel’s part’…. every safe has a factory code, whether it is all zeros or all ones, and it is each hotel’s responsibility to reset this factory code when they take the safe out of the box…”

The hotel safe you use to stash your passport, laptop and other valuables might have a major security flaw, according to a traveler’s YouTube.com video highlighted by Web tracker DailyDot.com.

In his video headlined, “Don’t Trust Your Hotel Room Safe,” traveler “skyrangerpro” shows himself unlocking his hotel room’s safe by entering all zeros.

He was given the “000000” security code by the front desk when he told them he’d forgotten the password he’d previously chosen.

For more:  http://travel.usatoday.com/hotels/post/2011/09/hotel-safe-youtubecom-video-questions-safety/547821/1

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Filed under Guest Issues, Liability, Maintenance, Management And Ownership, Privacy, Technology, Theft, Training

Hospitality Industry Cybercrime Risks: Hotel Management Should Have Policies "Disclosing Risks Of Hotel Computer And Wireless Internet Usage"

“…According to a report from antivirus software manufacturer Norton, global cybercrime has claimed 431 million adult victims in the past year, costing countries $114 billion in direct financial losses. That figure jumps to $388 billion when you factor in the value that victims place on the time they spent recouping the losses…”

Last year, in the U.S. specifically, more than 74 million people were victims of some form of cybercrime, leading to $32 billion in direct financial losses.

  • Recognize that your smartphone is really a pocket-size computer and is prone to the same types of attacks directed at your laptop and desktop. Take steps to protect it, such as keeping your operating system current and creating a strong password.
  • Keep your personal information to yourself. For instance, don’t put your entire birth date, including the year, on Facebook. Think about the security questions normally posed by your bank and other secure locations: “first school you attended,” “name of favorite pet” and the like. Are your answers on display online?
  • Know the pitfalls of public Wi-Fi. CreditCards.com says, “Avoid public wireless Internet connections unless you have beefed-up security protection.”
  • Beware of public computers, too. For instance, Kiplinger says, “Don’t access your accounts or personal information on public hotel computers, which could have software that logs keystrokes and records your passwords and account numbers.”
  • Use credit cards, rather than debit cards, when making purchases online. In case of fraud, you’ll get much better protection from liability with a credit card.

For more:  http://money.msn.com/identity-theft/article.aspx?post=6730f6ce-5203-4b59-bd46-f65a7a3545c2

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Filed under Guest Issues, Liability, Management And Ownership, Privacy, Risk Management, Technology, Theft

Hospitality Industry Guest Room Risks: "Hotel Minibars" Are "Loss-Leaders" At Many Properties Where Theft And Spoilage Cause Inventory Issues

“… actually [minibars] are loss-leaders…(some hotels have) been phasing out stocked minibars…Theft and billing problems can eat into minibar income. Hilton loses 5% to 20% of minibar revenue to “quote-unquote breakage…”

To cut costs and keep better track of sales, more hoteliers are installing automated minibars equipped with sensors that know when an item has been removed, immediately charging a guest’s bill.

Hotels and minibar manufacturers say these can cut labor costs since employees only have to check the roughly 25%-30% of rooms that use the minibar on a given day. Software can track how long items have been sitting in the minibar, cutting down on the problem of expired snacks.

But automated minibars cause problems of their own. If you take out an item and put it back, you might be charged, though most hotels give a grace period of about 40 seconds. And forget replacing a minibar’s high-priced sodas with your own snacks.

Sensors can also be overly sensitive, causing problems even for travel professionals.

For more:  http://online.wsj.com/article/SB10001424053111904537404576554441363020606.html

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Filed under Guest Issues, Labor Issues, Management And Ownership, Risk Management, Technology, Theft, Training

Hospitality Industry Information Security Risks: Senate Introduces "Personal Data Protection And Breach Accountability Act Of 2011" Forcing Companies To Secure Personal Data

“…Introduced by Sen. Richard Blumenthal (D-Conn.), the Personal Data Protection and Breach Accountability Act of 2011 would force companies that hold online information for more than 10,000 people to follow strict guidelines to ensure the data is stored correctly…”

The U.S. Senate will consider a bill aimed at protecting citizens’ personal information from online data theft, and penalizing companies that don’t adequately store and safeguard their customers’ personal information.

The bill would impose fines on companies who don’t follow the guidelines and leave customer data open to compromise, and open the door for customers to sue companies that don’t adequately protect their data.

Blumenthal’s bill would put the U.S. government in line with states such as Massachusetts, which has legislation that fines companies that improperly protect residents’ digital data.

For more:  http://www.msnbc.msn.com/id/44491737/

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Filed under Crime, Guest Issues, Insurance, Legislation, Liability, Management And Ownership, Privacy, Risk Management, Technology, Theft

Hospitality Industry Theft Risks: Wisconsin Hotel Guest Reports Over $14,000 In Cash And Jewelry Stolen After Employee Talked Into Giving Room Key Out

“…A woman stole $9,400 worth of jewelry and $5,000 cash from a North Side hotel room after convincing the clerk to give her a key…”

“…She told the front desk employee about 1 a.m. Aug. 28 she needed to retrieve something from the room. She allowed the clerk to speak on the phone with a man who gave her permission to enter the room…”

The woman claimed to be the girlfriend of the man who rented a room at the Econo Lodge, 1906 Rose St.

The man who rented the room said he didn’t give anyone authorization. He discovered the cash along with a $3,000 diamond ring, $2,500 watch and $3,900 diamond medallion gone, reports stated.

For more: http://lacrossetribune.com/news/local/article_1f02751a-d89e-11e0-bb0d-001cc4c002e0.html#ixzz1XDG1LiFR

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