ScamSafe

Loyaltybuild Data Breach a Security Nightmare

Thousands of people across Europe and, more specifically, in Ireland have had their credit card and personal details stolen after a company which runs reward schemes was hacked.

Investigators have discovered that more than 376,000 people have had their details pilfered after Loyaltybuild's data centre in County Clare, Ireland was breached. It is believed that a further 150,000 potential client records may also have been compromised.

Of this figure some 70,000 or so were SuperValu customers and over 8000 were clients of AXA Leisure Break.

SuperValu is now contacting its customers to advise them that there is a "high risk" that an unauthorised third party has accessed details of cards used to pay for Getaway Breaks between January 2011 and February 2012.

The company said that the Getaway Breaks booking system has now been suspended until further notice. The company also emphasised that only data collected through Loyaltybuild was at risk and that other SuperValu customers would not be affected.

AXA said it will be contacting all of its customers whose data may be at risk and will advise them to check their credit card statements for any unauthorised activity.

 

Tax refund ID theft is a growing epidemic says IRS

More Americans' identities were stolen in tax refund crimes in the first six months of 2013 than in all of 2012, said a U.S. Internal Revenue Service watchdog on Thursday who described the problem as "a growing epidemic."

Tax refund fraud has exploded in recent years. Scammers typically use stolen names and Social Security numbers to file phony electronic tax forms for IRS refunds.

About 1.6 million Americans were victims of ID theft/tax refund crimes this year through June, up from 1.2 million taxpayers in all of 2012, the Treasury Inspector General for Tax Administration (TIGTA) said in a report.

"Identity theft is a growing epidemic," said J. Russell George, TIGTA's chief.

Democratic Senator Bill Nelson of Florida, a hot spot for these crimes, said in a statement that TIGTA's analysis shows the IRS is making progress, but much remains to be done.

TIGTA said that while the number of frauds has risen, the amount of federal revenue lost to these crimes has decreased. In 2011, the government lost $3.6 billion in potentially fraudulent tax refunds, down from $5.2 billion in 2010.

The thieves are increasingly working from abroad, TIGTA found. In 2011, someone using a single mailing address in Lithuania made more tax filings with fraudulent Social Security numbers than any single U.S. address, TIGTA said.

The Lithuanian address received $220,489 in fraudulent IRS refunds; an address in Shanghai received $156,533.

"The constantly evolving tactics used by scammers to commit identity theft continues to be one of the biggest challenges facing the IRS," the IRS said in a statement on Thursday.

TIGTA said the IRS must do more to spot red flags signaling potential fraud in tax filings, such as multiple filings from the same address, and to help victims more quickly.

The IRS said it agreed with TIGTA's recommendations.

50 Cent, Carmelo Anthony Are Some Celebrity Identity Theft Victims

Federal agents arrested two Hartford residents for allegedly stealing the identities of high-profile celebrities, including rapper 50 Cent and New York Knicks star Carmelo Anthony, and paying for Tiffany & Co. diamonds, Honda Vespa scooters and three used Cadillacs with the victims' credit cards.

According to investigators, the pair defrauded seven high-profile victims across the country including singers and athletes from Farmington, Conn., Miami and Beverly Hills.

Court documents showed Preston and Nunez found the celebrities' personal information on the Internet, and got ahold of their credit card numbers. They are accused of spending more than $500,000 on items that included Tiffany diamonds, dozens of Honda Vespa scooters and expensive cars. Investigators said most purchases were made online and on the phone.