C5 Computer Fraud & Abuse

AIS Threats

Natural & political disasters

Software errors & equipment malfunctions

Unintentional acts

Intentional computer crimes

Fraud: gaining unfair advantage over others

Perpetrators: white-collar criminals

Misappropriation of assets: theft of company assets (employee fraud)

• Gains the trust or confidence of the victim
• Uses trickery, cunning, misleading information
• Hides tracks by falsifying records
• Cannot self-terminate, because of need, greed or anti-detection
• Extravagant lifestyle, rather than savings
• Becomes greedy
• Grows careless and gets caught
• Sheer magnitude leads to detection
• Most factor: absence of internal controls

Fraudulent financial reporting: intentional or reckless conduct resulting in materially misleading financial statements

Fraud triangle:

• Pressure (incentive, motivation)
• Opportunity: condition or situation to allow to: commit and conceal the fraud, and to convert it to personal gain
• Rationalization: to allow perpetrators to justify illegal behaviors

Computer fraud: any illegal act for which computer technology is essential for its perpetration, investigation or prosecution

Computer fraud classifications

Input fraud

Processor fraud

Computer instruction fraud

Data fraud

Output fraud

Computer attacks

Hacking: unauthorized access and use of computer systems

• War dialing, driving, chalking, rocketing
• Botnet, hijacking, bot herders, zombies, denial-of-service attack
• Spamming, dictionary attacks, splogs, spoofing, zero-day attack
• Password cracking, masquerading / impersonation, piggybacking
• Data diddling, data leakage, phreaking
• Economic espionage, cyber-extortion, Internet terrorism, Internet misinformation, e-mail threats
• Click fraud, software piracy

Social engineering: tech to obtain confidential information, often by tricking people

• Identity theft, pretexting, posing, phishing, vishing, carding, pharming
• Evil twin, typosquatting, scavenging / dumpster diving,
• Shoulder surfing, skimming, chipping, eavesdropping

Malware

• Spyware, adware, key logger, trojan horse, time bombs, trap door, packet sniffers
• Steganography programs, rootkit, superzapping, virus, bluesnarfing, bluebugging, worm