Tag Archives: Identity Theft

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

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by | February 25, 2015 · 10:18 am

Hospitality Industry Risk Management Update: “Employee Theft – Protecting More Than Property”

While hoteliers can take strong steps to reduce employee theft, eliminating it entirely is likely an impossibility.employeetheft The best loss prevention involves good procedures for hiring, training and supervision of employees. And by following a few best practices, employers can limit the potential liability for claims related to employee theft situations and diminish the potential for the insult of an expensive lawsuit on top of the injury of employee theft.

The problem of employee theft in hotels is an age-old problem. Businesses lose billion of dollars each year in employee theft. And hotels, by nature, present numerous opportunities for employee theft from guests and the house. Theft in a hotel can take many forms – from identity theft to credit card fraud to theft of merchandise and guest property. No employer hires an employee thinking that the employee is someday going to steal. Hotels need to take steps to prevent theft and be cautious in taking action against an employee after a suspected theft. Both have practice and legal implications.

Prevention in All Forms

Take a thorough look at your hotel’s security measures and processes. Ensure that your guest room locking systems and room safes meet general industry standards. Review, implement or update employee policies related to 1) package passes to control removal of property from the hotel, 2) lost and found procedures, which should be strictly enforced and 3) guest room access by employees. Consider an audit by a security expert to review your security procedures and protocols – in action.

For more: http://bit.ly/17ySjZz

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by | March 31, 2014 · 9:10 am

Hospitality Industry Guest Issues: “Operator Of ‘Mobile ID Theft Lab’ Sentenced To Prison For Bank Fraud And Aggravated Identity Theft”

“…In asking for a lengthy prison sentence, prosecutors noted that Suryan’s operation not only enriched him, but also helped thieves and burglars profit from the information they stole.  Suryan ‘served as a lynchpin of identity theft activity in Snohomish County in the latter half of 2012;Image the forgery service provided by the defendant helped incentivize countless break-ins of mailboxes, homes, and vehicles by criminals searching for victim data…”

The man who forged multiple ID documents and financial documents for mail thieves in Snohomish County was sentenced today in U.S. District Court in Seattle to 65 months in prison, five years of supervised release and $59,177 in restitution, announced U.S. Attorney Jenny A. Durkan.  MICHAEL JOHN SURYAN, 54, formerly of Everett, Washington was arrested in January 2013, in a Shoreline, Washington motel where he had set up a mobile identity manufacturing operation.

Using documents his co-schemers stole from burglaries, mail thefts and car prowls, SURYAN manufactured fake IDs, and forged checks with the co-schemers listed as the payees.  A search of the room revealed more than 50 fake Washington State driver’s licenses, handwritten notes listing the names, addresses and personal information (including dates of birth, social security numbers, driver’s license numbers, and credit card or checking account information) for numerous victims.

For more: http://www.justice.gov/usao/waw/press/2014/March/suryan.html

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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

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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

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by | April 4, 2013 · 5:49 am

Hospitality Industry Crime Risks: Washington Hotel Manager And Staff Assist In Arrest Of “Identity Theft Ring”; Forged ID Cards, Computers And Printers Discovered In Room

“…the hotel manager called the police to report suspicious men who had booked a room. As he was talking to officers, the identity theftsuspects ran out a back door of the hotel and left in a vehicle…the manager called back to report that his staff found “suspicious computer equipment” and documents strewn about a room they had been scheduled to clean. Detectives served a search warrant on the room…three suspects returned to the hotel that night to get the items they left in the room and were arrested…”

Mukilteo police arrested three men on Thursday in connection with an identity-theft ring after hotel cleaning staff found a room full of forged IDs and the equipment to manufacture them. The room at the hotel in the 8500 block of the Mukilteo Speedway was filled with computers, printers, mail and paperwork that didn’t belong to anyone registered for the room, said Cheol Kang, spokesperson for the Mukilteo Police Department.

A search warrant also recovered numerous ID cards with different names but the same photo of one of the men, as well as a printer with pages of blank check paper.

A 32-year-old from Lake Stevens, a 31-year-old from Renton and a 28-year-old from Everett were booked into Snohomish County Jail for investigation of financial fraud and forgery. Kang said the three men were already under investigation by other law-enforcement agencies for identity theft, fraud and other financial crimes.

For more:  http://mukilteobeacon.villagesoup.com/p/identity-theft-ring-busted/983738

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by | January 5, 2013 · 7:45 am

Hospitality Industry Crime Risks: Washington Hotel Room Used By “Major Identity Theft And Forgery Ring”; Police Seize Laptops, Lamination Machine And Bags Of Stolen Mail

“These labs tend to be mobile…they go from hotel to hotel…the room contained a computer, two laptops, laminating paper, card stock, check stock and a hot laminator machine along with identification, checks and identity theftbags of mail that had been stolen. Also seized were more than 100 licenses and other IDs, roughly 20 hard drives and numerous other media storage devices, such as thumb drives and memory chips.

Police and U.S. Secret Service agents believe they have taken down a major identity theft and forgery ring involving at least a dozen suspects and more than 100 victims. The number of victims could grow as experts analyze computer hard drives and video surveillance footage from businesses where the suspects tried to get money. As of Friday evening, authorities estimated more than $45,000 had been stolen, but said that amount is likely to grow.

Evidence is being examined at the Secret Service’s Electronic Crimes Task Force lab in Seattle. Many of the victims — both individuals and businesses — are from Everett, but the center for the operation was traced to a hotel room in Shoreline.

That’s where police and the Secret Service found what amounted to a ID-theft factory Thursday.

For more:  http://heraldnet.com/article/20130105/NEWS01/701059947

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by | January 3, 2013 · 8:02 am

Hospitality Industry Theft Risks: California Hotel Guest Arrested For Using Stolen Credit Card To Pay For Room; Used Laptop On Open Wi-Fi Network To Steal Account Information

“…(suspect) allegedly rented a room at the Montage by using a stolen credit card. The fraud went undiscovered for two days while Larson accrued a $2,134 tab, but he disappeared from the resort prior to the arrival of cyber securitypolice…he used a laptop to collect credit card information from people making purchases or checking their accounts…”

An admitted identity thief, apparently expert at stealing credit card account information over open wi-fi networks, was arrested last week after skipping out on a $2,134 bill at Montage Laguna Beach, police said. Police tracked Harold Eric Larson, 37, to his hometown of Orange and arrested him on Thursday, Dec. 27, on several theft related charges, Capt. Jason Kravetz said in a statement. He is accused of using stolen credit card numbers to rent hotel rooms to for himself and friends in Laguna Beach, Newport Beach and Costa Mesa, Kravetz said.

Coincidentally, on Dec. 26 police received a complaint about guests using drugs in a room at Laguna Cliffs Inn and arrested Edward Richard York, 40, of Tustin, allegedly for possessing methamphetamine and marijuana, Sgt. Louise Callus said. Officers learned the room was rented with a stolen credit card number provided by Larson, said Kravetz.

Larson was previously arrested by Laguna police last April on 23 felony counts of fraud and theft after he was caught using stolen credit card information to rent hotel rooms.  He pled guilty to the charges and was sentenced to three years probation, one year in jail and restitution.

For more:  http://www.lagunabeachindependent.com/2013/01/02/identity-thief-held-hotel-scam/

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by | August 10, 2012 · 6:41 am

Hospitality Industry Crime Risks: Wisconsin Hotel Employee Arrested And Charged With 65 Counts Of Credit Card Fraud And Identity Theft

“…(the former employee) used customer credit card numbers to pay tuition and insurance bills. An alert customer notified police and an investigation led to his arrest…”

 A 19-year-old who worked at a hotel in Medford is facing 65 credit card theft charges. He worked at the AmericInn until late last year, and was accused of using the card numbers that hotel guests had put on-file to cover room-expenses. Nicholas Johnson is facing 59 counts of identity theft, and six counts of fraudulently using a credit card for more than $10,000. He’ll be back in court on August 14th.

Police began looking for things in common among several reports of fake credit card charges. They focused on Johnson when several of the card-holders who’d been ripped off had stayed at the same hotel. Johnson hasn’t worked there since late last year.

For more:  http://wsau.com/news/articles/2012/aug/10/hotel-worker-charged-in-credit-card-fraud-scheme/

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by | July 10, 2012 · 1:52 pm

Hospitality Industry Crime Risks: Alabama Hotel Employees Assist With Arrest Of Identity Theft Ring Operating In Guest Room

“…Investigators say when the officers entered the hotel room, there were stolen credit cards, computers, cameras, scanner and other items in plain sight…the group had been making fake identification and checks. They had also made Social Security cards and drivers licenses. Police say that many of the victims are businesses…”

Irondale Police say they have arrested and charged three people with multiple counts of identity theft after a hotel called them to evict a group of non-paying customers.

Victor Hedden, 46 of Phenix City, Raymon Hall, 29 of Columbus, Georgia, and Precious Clemons, 25 of Columbus, Georgia have been charged with possession of forged materials and trafficking in stolen ids.

The incident happened Saturday when employees with America’s Family Inn called to ask the police’s help to remove a group of people who hadn’t paid their hotel bill for several days.

For more:  http://www.myfoxal.com/story/18985033/unpaid-hotel-bill-leads-irondale-pd-to-identity-thieves

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