Tag Archives: Credit Card Fraud

by | August 12, 2015 · 11:03 am

Hospitality Industry Technology Update: “Are You Ready For EMV Card Adoption?”

Current standard-issue American credit cards store personal information in a magnetic stripe on the back of the card. EMV cards, however, store information on a secure computer emv cardschip,which generates a one-time-use security code for every transaction, making counterfeiting virtually impossible, according to the EMV Migration Forum, a consortium of industry players that support EMV chip implementation across the United States. 

Credit card security is a topic top of mind for any business that processes consumer payment data, and this October the stakes for U.S. businesses—including hotels—to comply with the latest wave of payment security will get higher.

It’s all part of a continuing wave for the United States to widely adopt EMV chip credit cards, which reduce counterfeiting and card fraud, but which require hardware and software upgrades on the part of the party processing the payment.

Beginning in October, new compliance language will shift the burden of liability for some types of fraudulent credit card transactions away from banks and ultimately on to merchants. Hoteliers who know these new liability burdens and are actively implementing technology upgrades to read these new cards will come out ahead, legal and technology sources said.

Knowing the reasons behind the change and the implications of noncompliance will help hoteliers make a seamless transition, sources said.

For more: http://bit.ly/1NavP2i

Comments Off on Hospitality Industry Technology Update: “Are You Ready For EMV Card Adoption?”

Filed under Crime, Hotel Industry, Management And Ownership, Risk Management, Technology

Tagged as , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

by | March 19, 2015 · 10:20 am

Hospitality Industry Security Update: “New Security Mindset: Focus On The Interior”

“We continue to be more focused on perimeter protection than on internal controls and monitoring. It’s clear that attackers are already inside or could be anytime they want and there’s nothing you can do about it on the perimeterJason-Straight-LG…You would think external attacks cause all the damage. But study after study, two-thirds of attacks are mundane insider errors, lost equipment, technology failures, or lack of oversight over vendors.”

Chief privacy officer Jason Straight shares his insights on why organizations are struggling to stop the breach wave — and manage the aftermath.

Hackers keep on hacking, breaches keep on happening. The cycle continues, as major corporations now routinely get successfully compromised. A key element of the equation now is properly and efficiently responding to an attack as well as managing its aftermath.

The same old security missteps–falling for phishing attacks, not locking down sensitive data internally, giving users too much access, for instance–keep recurring. That’s because many organizations aren’t putting their security energy in the right places, according to Jason Straight, senior vice president and chief privacy officer at UnitedLex, which provides outsourcing services and support for the legal industry.

For more: http://ubm.io/1BTm7L2

Comments Off on Hospitality Industry Security Update: “New Security Mindset: Focus On The Interior”

Filed under Crime, Employee Practices, Guest Issues, Hotel Employees, Hotel Industry, Maintenance, Management And Ownership, Risk Management, Technology, Theft, Training

Tagged as , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

by | March 2, 2015 · 10:25 am

Hospitality Industry Technology Update: “How to Prepare Your Hotel for Smart Payment Systems”

Biometrics (voice recognition, fingerprint or retina scanning) is quicklysmartpayment becoming another method of user authentication…Actual credit card data is exchanged only within the bank and payment network, not directly tied to the customer’s interaction with the merchant, removing the merchant from handling that data.

By the end of this year, it’s estimated that 70 percent of all credit cards and 40 percent of all debit cards (about 1.1 billion in total) worldwide will be EMV capable. This payment system, also known as chip and pin, adds dynamic data to the transaction stream that renders replay of payment transactions impossible. And since every card contains its own microprocessor chip, EMV (which stands for Europay, MasterCard, and Visa) cards are nearly impossible to counterfeit.

There’s no need for the card to leave the customer’s sight, and there’s no swiping. The credit card number isn’t exposed on a screen. Though not entirely fail-safe, the technology is a global standard and makes transactions hundreds of times more secure. In Europe, which has had EMV for years, reports indicate that card fraud has fallen as much as 60 percent over the last decade, whereas here in the United States, it’s increased about 50 percent over that same time period.

For more: http://bit.ly/1B2Dzwd

Comments Off on Hospitality Industry Technology Update: “How to Prepare Your Hotel for Smart Payment Systems”

Filed under Crime, Hotel Industry, Management And Ownership, Technology

Tagged as , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

by | January 23, 2015 · 10:00 am

Hospitality Industry Risk Management Update: “Preventing Credit Card Fraud at Hotels”(VIDEO)

Our P3 Team has created a video to help train your staff on how to recognize the signs of credit card fraud and how to best prevent your property from falling victim. If you have any questions, contact us today!

[vimeo https://vimeo.com/113722566 w=500&h=281]

Petra Risk Solutions’ Loss Control Manager, Matt Karp, offers a P3 Hospitality Risk Report – ‘Preventing Credit Card Fraud at Hotels’. 

P3 (Petra Plus Process) is the Risk Management Division of Petra Risk Solutions – America ’s largest independent insurance brokerage devoted exclusively to the hospitality marketplace.

For more information on Petra and P3 visit petrarisksolutions.com or call 800.466.8951.

Comments Off on Hospitality Industry Risk Management Update: “Preventing Credit Card Fraud at Hotels”(VIDEO)

Filed under Crime, Guest Issues, Hotel Industry, Management And Ownership, Risk Management, Theft, Training

Tagged as , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

by | December 5, 2014 · 10:20 am

Hospitality Industry Risk Management Update: “Preventing Credit Card Fraud at Hotels” (VIDEO)

[vimeo https://vimeo.com/113722566 w=500&h=281]

Petra Risk Solutions’ Loss Control Manager, Matt Karp, offers a P3 Hospitality Risk Report – ‘Preventing Credit Card Fraud at Hotels’. 

P3 (Petra Plus Process) is the Risk Management Division of Petra Risk Solutions – America ’s largest independent insurance brokerage devoted exclusively to the hospitality marketplace.

For more information on Petra and P3 visit petrarisksolutions.com or call 800.466.8951.

2 Comments

Filed under Crime, Guest Issues, Hotel Employees, Hotel Industry, Management And Ownership, Risk Management, Training

Tagged as , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

by | December 28, 2013 · 7:13 am

Hospitality Industry Cyber Crime Risks: Boston Restaurant Group Was Source Of Major Credit Card Payment System Breach; “Sophisticated, Outside Attack”

“…The (restaurant group) believes that it was a sophisticated, outside attack…Boston Police and the US Secret Service are Hospitality Industry Identity Theftinvestigating…This is the second major breach of the Briar Group’s payment systems. In 2009, malware, or malicious software, was apparently installed on Briar’s computers, allowing thieves to access credit and debit card information. The chain paid a $110,000 to the state to settle allegations that it failed to protect diners’ personal information after that security breach.

A local restaurant chain confirmed Friday that its computer systems were breached, putting the credit-card information of thousands of customers at risk, including visitors who attended two major conventions in Boston.

The Briar Group, which owns 10 restaurants and bars in Boston, including two at the Westin hotel connected to the Boston Convention & Exhibition Center, said its computer systems were infiltrated sometime between October and early November. It said customer names, credit-card numbers, expiration dates, and security information were captured from the cards’ magnetic strips.

The company isn’t sure how many customers were affected, but every month thousands visit Briar’s locations, said Diana C. Pisciotta, a spokeswoman for the chain.

The American Public Health Association hosted 13,000 conventioneers in Boston in early November, and the American Society of Human Genetics brought 8,000 attendees to a conference in October. Both reported that hundreds of people reported unauthorized charges on their accounts after visiting Boston.

For more: http://www.bostonglobe.com/business/2013/12/27/local-restaurant-chain-source-data-breach-that-compromised-card-info-conventioneers/wPhKKndyN4hshrU47J2rwO/story.html

Comments Off on Hospitality Industry Cyber Crime Risks: Boston Restaurant Group Was Source Of Major Credit Card Payment System Breach; “Sophisticated, Outside Attack”

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

Tagged as , , , , , , ,

by | August 6, 2013 · 12:51 pm

Hospitality Industry Crime Risks: New York Restaurant Employees Arrested For Identity Theft; Skimming Device Used To Steal 30 Customer Credit Cards

“…four (employees) were arrested…(and) found to have outstanding federal warrants for deportation and turned over to the Department of Hospitality Industry Identity TheftHomeland Security…Heng Li, 27 of Brooklyn had a credit card skimming device and a counterfeit Michigan ID card.  He was charged with possession of a forged instrument, scheme to defraud, unlawful possession of a skimmer device and unlawful possession of personal identification information, it is also believed he is in this country illegally…”

The Bethlehem Police Department raided the Golden Town Buffet Monday morning in connection with an identity theft investigation.  The restaurant is located at 385 Route 9W in Glenmont.

According to the department, customers credit card and debit card information was compromised after they ate at the restaurant sometime between June 14th and August 5th.  Bethlehem Police are asking anyone who used their card at the restaurant during that time frame to check their bank statements and immediately report any fraudulent transactions to their respective bank and local law enforcement agency as soon as possible.

The Bethlehem Police are being assisted in this investigation by the Albany Police, Colonie Police, New York State Police New Scotland, New York State Police Clifton Park, East Greenbush Police, US Secret Service and Department of Homeland Security.

Li was arraigned in the Town of Bethlehem Justice Court on Monday evening and remanded to the Albany County Jail without bail.  He is due back in court on Thursday.

For more:  http://www.cbs6albany.com/news/features/top-story/stories/police-golden-town-buffet-customers-credit-debit-card-information-stolen-10092.shtml

2 Comments

Filed under Crime, Guest Issues, Labor Issues, Liability, Risk Management, Technology, Theft

Tagged as , , , , , , , , ,

by | April 18, 2013 · 7:11 am

Hospitality Industry Theft Risks: Illinois Restaurant Employees Plead Guilty To “Skimming Credit Card Information Of Paying Customers”; Over $200,000 In Fraudulent Purchases Made By Ring Leaders

“…(the ring leader) organized the scheme by paying the defendants, who were employees at the various establishments, to skim credit card information of paying customers using a small credit card reader provided to them by Woods and Washington. The employees swiped identity theftapproximately 175 cards through the readers, enabling Woods to reproduce counterfeit credit cards and allowing Woods, Washington and Alex Houston to rack up thousands of dollars in charges…”

Sentences were handed down against seven defendants who illegally obtained personal banking information from patrons visiting Chicago area restaurants and attractions, including Wrigley Field and the Magnificent Mile’s RL Restaurant, according to Illinois Attorney General Lisa Madigan.

Defendants Joseph Woods, Britain E. Woods, Alex Houston, Jenette Farrar, Essence S. Houston, Kenyetta Davis and William Washington pled guilty and were sentenced for “skimming” personal banking information, which was used to make purchases of more than $200,000. The banking and credit card account information was stolen from customers who patronized Chicago area establishments, including Wrigley Field, RL Restaurant, a Chicago Taco Bell location and a McDonald’s restaurant in Berwyn.

Madigan said financial institutions with accounts that were compromised in the scheme include Chase, U.S. Bank, Citibank, Harris Bank, American Express, Bank of America and Fifth Third Bank. The banks assisted in the investigation and notified victims to secure their personal information.

Madigan said identity theft is a significant threat to Illinois consumers. Last year, more than 2,500 identity theft complaints were filed with her office’s Consumer Fraud Bureau. Consumers reported incidents of fraudulent charges on their existing accounts, thieves opening new accounts in their names (including credit card, utility and cell phone accounts) and instances of bank fraud, such as stolen checks or fraudulent withdrawals made to a victim’s bank account.

For more:  http://www.claimsjournal.com/news/midwest/2013/04/18/227236.htm

Comments Off on Hospitality Industry Theft Risks: Illinois Restaurant Employees Plead Guilty To “Skimming Credit Card Information Of Paying Customers”; Over $200,000 In Fraudulent Purchases Made By Ring Leaders

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

Tagged as , , , , , ,

by | March 5, 2013 · 8:21 am

Hospitality Industry Theft Risks: Alabama Motel Clerk Arrested For Stealing 23 Guests’ Credit Card Information; No Background Check Because It Was “Too Expensive”

“…(the motel clerk) used his position to remove credit card information from 23 customers from the motel database and used 12 of the card numbers in a fraud scheme to steal cash from the business…the owner Hotel Credit Card Fraudadmitted that he did not do a background check prior to hiring this person…the background check was too expensive…”

Mobile police have arrested a man for credit card fraud and trafficking in stolen identities after they say he took credit card information from 23 motel customers. Police said Bryant Onell Niles, 28, worked as a desk clerk at the Baymont Inn Suites in Mobile, where the alleged crimes took place.

Police said he was found in possession of the 11 unused credit card numbers with names and expiration dates belonging to former customers of the motel. Mobile police said last year, Niles was working as a desk clerk at an unnamed hotel when he stole credit card information from a person who had stayed at the hotel.

Police said he used the guest’s information to book hotels for himself and his friends. That’s how authorities say they caught him.

For more:  http://www.fox10tv.com/dpp/news/local_news/mobile_county/mpd-hotel-clerk-stole-23-credit-card-numbers

Comments Off on Hospitality Industry Theft Risks: Alabama Motel Clerk Arrested For Stealing 23 Guests’ Credit Card Information; No Background Check Because It Was “Too Expensive”

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

Tagged as , , , , , ,