Published: Thu, February 08, 2018
Global Media | By Derrick Guzman

Aust man caught in global fraud bust

Aust man caught in global fraud bust

The US Justice Department announced indictments today for 36 people accused of running a transnational ring stealing and selling credit card and personal identity data, causing Dollars 530 million in losses. The group wanted to be known as the Internet's leading location for carding-buying retail items with counterfeit and stolen credit cards.

During its seven years in operation, Infraud inflicted about $2.2 billion in intended losses, prosecutors said.

The group worked under the slogan "In Fraud We Trust" and was created in 2010 by Svyatoslav Bondarenko, a 34-year-old Ukrainian, according to the indictment.

In a statement this week, the US Justice Department said the cybercrime ring was one of the largest it had ever prosecuted, and had targeted millions of people around the world. As of March 2017, the Infraud Organisation has over 10,900 members across the globe.

Infraud was a well-organized enterprise that operated globally.

Infraud members used an online discussion forum to "discuss, meet, and conduct criminal activities", and to advertise them, the indictment said.

Members used the forum to co-ordinate and commit online crimes including identity theft, bank fraud, wire fraud and computer crimes, he said.

In addition to facilitating the sale of stolen information, the network also provided an escrow account people could use to launder their proceeds using digital currencies including bitcoin, Liberty Reserve, Perfect Money and WebMoney.

The Infraud Organization allegedly reaped $US530 million ($A742 million) in losses to United States financial institutions, merchants and consumers.

Vendors sold illicit products and services to Infraud members.

According to the Justice Department, Medvedev took over as "admin and owner" of Infraud in April 2016 after posting a note online saying Bondarenko had gone missing. Russian Federation generally doesn't have treaties in place with the USA and U.S. allies to extradite criminal suspects inside its borders.

Bondarenko remains at large, but the number two figure in the organization, Russian co-founder Sergey Medvedev has been arrested, according to USA officials.

In a statement released on February 7, the Justice Department said federal and global law enforcement authorities arrested 13 defendants from the United States and 23 from Australia, the United Kingdom, France, Italy, Kosovo, and Serbia.

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