E-Commerce Blog

Someone is trying to extort money from a company that handles drug prescription benefits for 50 million Americans in what could be one of the more damaging cases of data loss on record. The incident may raise red flags for industry hopes of putting more health care information online in an effort to control costs. The FBI is looking into the extortion attempt against St. Louis-based Express Scripts, which Thursday notified federal authorities that it received a letter in early October that included personal information on 75 members and a demand for money.

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FBI Hunts Extortionists Holding Health Data on Millions

A federal grand jury has indicted the son of a Democratic Tennessee state lawmaker in connection with the hacking of the e-mail account of Republican vice presidential candidate Sarah Palin. David Kernell, 20, of Knoxville, Tenn., the son of state Rep. Mike Kernell, was scheduled to be arraigned Wednesday before U.S. Magistrate Judge C. Clifford Shirley, according to a statement from the Justice Department. David Kernell was indicted Tuesday by a federal grand jury in Knoxville for intentionally accessing without authorization the e-mail account of Palin, the Justice Department said.

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Feds Indict Student in Palin E-Mail Hack

October is the expected release date for the next version of the PCI Data Security Standard, 1.2. Since the PCI Standard’s creation — to serve as a guideline to help organizations that process card payments, prevent credit card fraud, hacking and various other security vulnerabilities and threats — much hype has surrounded each PCI update. Version 1.2 is no different, and we can expect commentary from analysts, journalists and a host of others touting the benefits that the extended guidance for compliance in 1.2 holds for the industry.

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New PCI Security Standard Falls Short

Two Orange County, Calif., teens have been charged with breaking into their school late at night and using stolen log-ins to hack into its computer system and change their grades. Omar Khan, 18, a student at Tesoro High School in Rancho Santa Margarita, now faces 34 felony counts of altering a public record, 11 felony counts of stealing and secreting a public record, seven felony counts of computer access and fraud, six felony counts of burglary, four felony counts of identity theft and several other felony charges for a total of 69 felony counts.

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Teen Hacker Could Get 38-Year Sentence for Fixing Grades

Todd Davis has dared criminals for two years to try stealing his identity: Ads for his fraud-prevention company, LifeLock, even offer his Social Security number next to his smiling mug. Now, LifeLock customers in Maryland, New Jersey and West Virginia are suing Davis, claiming his service didn’t work as promised and he knew it wouldn’t, because the service had failed even him. Attorney David Paris said he found records of other people applying for or receiving driver’s licenses at least 20 times using Davis’ Social Security number.

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Rankled LifeLock Customers Say ID Security Boast Comes Up Empty