Be Careful Using Paypal To Process Credit Card Transactions Online As They Are Reversing Payments Without Just Cause After Merchandise Is Shipped Out To Customers

Something strange is going on at the California based payment processing company Paypal. People use the company to process financial transactions online, to avoid having to give different online merchants their credit card information. However, small and midsize businesses such as online stores and auctions are using Paypal as well to process financial transactions for the products they sell online, but to disastrous results.  

I have read of cases regarding people with online stores selling items over the internet using PayPal to accept the credit card payments, then shipping the products out to customers, only to have PayPal mysteriously reverse the payments weeks or months later. Small and midsize online stores are getting burned by PayPal as they ship out the merchandise to customers, then the credit card payments get reversed by Paypal, leaving them with no money for their sales and no merchandise, as the customer already has it in their possession. 

Let that sink in, there are a number of cases popping up regarding Paypal, not the paying customers reversed the financial transactions, after the customers received the merchandise, leaving online merchants without the merchandise or money for their hard work. 

I've seen documentation of this with my own eyes. After Paypal collects the money for the credit card transactions, plus transaction fees and the cash is sitting in their corporate bank accounts gaining interest, weeks or months later they reverse it, then feed the online store owners lines like they didn't sign up for Paypal correctly or didn't complete sign-up. Oh really?

My question is, if someone signs up for Paypal, provides their name, address, identification, bank account information, company registration and you Paypal give them the necessary processing codes to place on their site to allow Paypal to accept credit card payments on their behalf, how did they not sign up correctly? What kind of fraud is Paypal running and they've taken the fraud worldwide, defrauding private citizens selling items and online store owners. Therefore, the problem has gone worldwide. Once again, I've seen documentation of it with my own eyes. 

The Obama Administration has also been using Paypal to financially damage people it deems political enemies, in conduct that is completely criminal, discriminatory and a violation of their oaths of office. There are many noted cases of the Obama Administration engaging in this criminal behavior and it is disgraceful (much like they've corrupted Google). No administration is U.S. history has so politically tampered with the American business sector and in such insidious ways.

Something very weird and criminal is going on at Paypal that could cost you your online business. Be very careful of them. Paypal has become a danger and a liability for online stores who account for billions of dollars in trade every year.  

RELATED ARTICLE

Obama And Hillary Clinton Tried To Use The Federal Election Commission To Silence And Punish The Conservative Media In America While Engaging In Censorship Using Google

The NSA Illegally Accessing VISA To Spy On People Confirms The Site's Previous Claims

 

NSA

This month a new scandal erupted regarding the NSA spying scandal, which the Judiciary Report's sister site the the Sound Off Column broke first. The latest scandal involves the public revelation that the NSA has been accessing Visa and Swift Networks, spying on the public's financial transactions.

However, the Judiciary Report and the Sound Off Column have stated for years that the FBI and its sister agency the NSA (who share information and surveillance data among each other) have been spying on the public's financial transactions and credit reports, which includes Visa and SWIFT (see article links below).

 

 

Some in government would rather have you believe a writer like me is paranoid or using my imagination as I do with authoring copyrighted movie scripts, songs and books (among other things). However, sorry to state, the Judiciary Report's articles and those published on its sister site, the Sound Off Column, are not works of fiction, as attested by many site exclusives which later proved true.

We are living in a police state (with NSA and FBI spying having gone global, a police world) which I found out the hard way after my interactions with the untrustworthy, treacherous FBI several years ago. Privacy is a myth. This conduct is wholly illegal. You know what's worse, some of the worst things they are doing hasn't even come out yet.

Judge Rules Usher Must Give Ex-Wife Her Luxury Credit Card Back

Usher Raymond in court

A Georgia judge has ruled R&B singer, Usher Raymond, must restore the luxury Saks Fifth Avenue credit card of his money seeking ex-wife, Tameka Foster. This case is outrageous. Foster’s son just died in a tragic accident and she is in court fighting Raymond over money she didn’t earn and a costly credit card she is coveting. Makes you wonder about her priorities.

Tameka Foster in court

Any public sympathy Foster received over her son's passing, has been largely wiped out online, as people are questioning her integrity over the aforementioned greed in the alimony and custody case along with other incidents.

Usher and girlfriend Gracie Miguel

Foster has also been taking shots at Usher’s latest girlfriend, Gracie Miguel. She cruelly referred to her as a barren woman trying to play house with her (Foster’s) kids. Foster is implying Miguel is trying to take her kids, because she can’t have any.

Usher Raymond and ex-wife Tameka Foster Raymond in court 

 

Miguel already took Foster’s husband, Raymond, who was never truly hers in the first place, as she was already married when she broke her vow before God, to live in luxury with the singer, leaving her devastated and angry husband Ryan Glover behind.

Sony Losing Cyber War To Hackers Who Are Battering Them In Several Countries

Howard Stringer

Sony is under attack on several fronts, by a group of unnamed hackers that continue to pummel the company over the internet, with blow after blow. Sony's music, video game and mobile phone websites in America, Canada, Japan, Greece, Thailand, Taiwan and Indonesia, have been seriously hacked, with millions of consumers' personal and financial data stolen.

Houses of legislature in America and Taiwan are angry, demanding answers from Sony, who've gone silent again. The public was not amused when it was revealed Sony's internet defenses failed, due to software firewalls that were not being updated in a timely fashion, to address emerging exploits.

The company is facing $24 billion in losses from the hacks alone, in damage that keeps mounting. It's stock and profits are way down, as the hacks and earthquake, then tsunami that damaged its Japanese headquarters, wreaked havoc on sales and productivity. Based on mainstream articles, more hacks are planned against the beleaguered company, who do not seem to grasp the gravity of what has transpired nor what they are facing.

Sony is losing consumers in droves, who no longer feel they can safely shop for music or phones or pay to play video games on the company's websites. As such, Sony products have become tainted. I cannot recall a single corporation that was battered this badly by hackers.

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Sony CEO Insultingly Refers To Massive Hack As A "Hiccup" While PlayStation Site Goes Down Again

Sony Broken By Anonymous $24 Billion Dollar Hack

Another Sony Hack Claims The Personal And Financial Data Of 25 Million People

10 Million Sony PSN Credit Card Info Stolen, 2.2 Million Offered For Sale

Sony Badly Hit By $24 Billion Dollar Hack

Sony Playstations Seized Over Patent Theft Lawsuit

Sony To Rip Off The iPad

Sony Continues To Release Sub Par Michael Jackson Material

Sony Lying About New Alleged Michael Jackson Song

Sony To Rip-Off Transformers With Voltron Reboot

Shakira & Sony Stole Music From African Artists

Sony Loses Lawsuit For Stealing "Down Under"

Sony Singers Putting Their Worst Foot Forward

10 Million Sony PSN Credit Card Info Stolen, 2.2 Million Offered For Sale

The unprecedented Sony hack that will reportedly cost the company $24 billion dollars, has taken a new twist. It is being reported 10,000,000 unencrypted credit card numbers have been stolen from the Sony servers in San Diego, California and 2,200,000 of them have been offered for sale by hackers.

Howard Stringer

As someone who has been the victim of identity theft in an unrelated incident, I feel sorry for the people whose financial data has been compromised. In response to cries from PSN users for a Sony boycott, company executives apologized yesterday. However, based on online feedback, I don’t think it will help, as PSN users are defecting to Microsoft.

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Sony To Rip Off The iPad

Sony Continues To Release Sub Par Michael Jackson Material

Sony Lying About New Alleged Michael Jackson Song

Sony To Rip-Off Transformers With Voltron Reboot

Shakira & Sony Stole Music From African Artists

Sony Singers Putting Their Worst Foot Forward

Sony Loses Lawsuit For Stealing "Down Under"

Sony Madness

STORY SOURCE

Sony says 10M credit card numbers may have been stolen

2.2 Million Sony PSN Credit Card Details for Sale

Sony Admits To Asking For Credit Card CCV Codes

Now up for sale: Your PlayStation Network (PSN) credit card info, including CCV numbers

Reports of Credit Cards Being Sold Surface as FBI, DHS Get Involved with PSN

Sony data breach stirs global outrage

Sony Badly Hit By $24 Billion Dollar Hack

Sony PlayStation

Sony, who are some of the worst thieves in entertainment, have been hit by a massive data breach, via an unprecedented hack, allegedly executed by the hacker collective, Anonymous against the embattled company. They have been targeting the company over suing hacker George Holtz, who modified Sony PlayStation software.

Experts estimate the security breach will cost Sony $24 billion dollars. The personal and financial data of 77 million PSN (Play Station Network) users was swiped and there is already evidence the information is being illegally used. PlayStation customers are furious with Sony, feeling betrayed by their negligence in the matter and attempted cover-up, which cost consumers valuable time.

Sony CEO Howard "Satan" Stringer

Customers harmed by the incident are threatening a widespread boycott of Sony, who have called the FBI for assistance regarding the hack. This is ironic, as Anonymous is far more computer savvy than the FBI, who just got their first email addresses a few years ago. That's not saying they can't catch them, but Anonymous has greater knowledge of computers than the FBI.

U.S. Senator, Richard Blumenthal, denounced Sony's negligence, demanding they pay for credit monitoring for all 77 million customers affected by the security breach, as credit card numbers were taken in the electronic haul. Credit card companies shall be hit with $300 million in costs, via trying to repair the damage created by Sony's security problems in this monster hack. Something tells me they're not going to want to absorb those costs.

RELATED ARTICLES

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Sony Lying About New Alleged Michael Jackson Song

Sony To Rip-Off Transformers With Voltron Reboot

Shakira & Sony Stole Music From African Artists

Sony Singers Putting Their Worst Foot Forward

Sony Loses Lawsuit For Stealing "Down Under"

Sony Madness

STORY SOURCE

PlayStation Hacker: Sony Has Only Itself to Blame for Breach

PSN breach could cost Sony $24B

United Nations: Hillary Clinton Broke The Law

Barack Obama

The United Nations has slammed U.S. Secretary of State, Hillary Clinton. It is due to her conduct in initiating a terrible and invasive spy plan, aimed at gathering the DNA, credit card numbers and passwords of United Nation's members, which is expressly forbidden by law.

Hillary Clinton (photo credit: PA)

Side Bar: If you ask me, Hillary is a perv that watches too much TV and thought everybody's personal business should be her own. You should stick to spying on your husband's mistresses, Nancy Drew.

STORY SOURCE

WikiLeaks cables: CIA drew up UN spying wishlist for diplomats

Thursday 2 December 2010 19.44 GMT...Clinton continued to face awkward questions about an intelligence directive which went out under her name in 2009 aimed at the UN leadership, which was revealed in a separate "national human intelligence collection directive". It called for the collection of "biometric" data on permanent security council representatives, and passwords and personal encryption keys used by top UN officials – in possible contravention on international law...

A leading expert on UN law today said the proposed activity in the directive breached two international treaties and could lead to the US being censured by the UN general assembly or even, in extreme circumstances, prosecution at the international criminal court.

The targeting of diplomats from North Korea and the permanent representatives of the security council from China, Russia, France and the UK leaves the US government exposed to action from any of those countries.

Dapo Akande, lecturer in international law at Oxford University, said: "Obtaining passwords and information on communications systems violates the 1947 headquarters agreement between the US and UN and the general convention on the privileges and immunities of the United Nations. "The only reason they can be asking for this information is to break into the communication systems or monitor them in some way."

http://www.guardian.co.uk

Kardashian Kard Closed

In the November 27, 2010 article Attorney General Slams Kardashian Credit Card the Judiciary Report commented that "The Attorney General's legal inquiry has drummed up a lot of bad publicity for the Kardashian Kard." The family released a letter today stating they dislike the "negative spotlight" and have closed the Kardashian Kard.

STORY SOURCE

Kardashians 'Terminate' MasterCard Deal

11/29/2010 1:30 PM PST - The Kardashian family has officially pulled the plug on the new "Kardashian Kard" -- a prepaid debit card backed by MasterCard -- over allegations that it's riddled with hidden, possibly illegal fees.

The family fired off a "Notice of Termination" to the companies behind the Kard moments ago -- stating they're sick of the "negative spotlight" since the Attorney General of Connecticut opened an investigation to determine if the Kard violates consumer protection laws...

http://www.tmz.com

Attorney General Slams Kardashian Credit Card

Connecticut Attorney General, Richard Blumenthall, has slammed the Kardashian Kard, as a rip off with excessive and exorbitant fees. The reality TV show family behind the program "Keeping Up With The Kardashians" is under scrutiny for releasing it as a "prepaid" card to control debt, whilst taking massive fees from consumers.

Blumentahall called the card "outrageous" and stated it is taking advantage of teens. The Attorney General's legal inquiry has drummed up a lot of bad publicity for the Kardashian Kard, with a number of websites warning the public away from it.

STORY SOURCE

AG Blumenthal Rips Fees Linked To 'Kardashian Kard'‎

CT AG: 'Kardashian Kard' fees "outrageous"

Crazy Creditors

Corporate America created a worldwide financial recession turned depression, by gouging Americans and destabilizing the balance of the U.S. economy. Greed won out over commonsense, in a rush to illegally make as much money as possible, financially raping America. As a result the economy collapsed at the hands of a select group of major U.S. corporations.

Now that the bubble has burst and profits are in the proverbial toilet, unscrupulous companies are resorting to new, illegal ways to make unearned revenue.

It can be classified as stealing and thievery, which is corporate America's greatest problem. There are a number of crooked schemes running.

Law firms and collection companies have illegally bought information from large corporation, on debtors, who filed for Chapter 7 bankruptcy and had their debts discharged. Then, they illegally reboot debts the court has officially dissolved, adding massive legal and penalty fees to it. Debtors who sought bankruptcy as a means for a fresh start, are being bombarded with harassing calls, extortion and new blemishes on their credit reports.

There are other forms of harassment as well in the debt collection field. A story broke a few weeks ago, on ABC News, about a debt collection company calling black debtors over the phone, using racial slurs. African-Americans were subjected to vicious verbal abuse, which included debt collection agents shouting terms at them over the phone such as "nig*ers" in trying to shake them down for credit bard debts they are unable to repay.

That is despicable and set America back hundreds of years. The aforementioned company should be charged with violating the Civil Rights Act in deeds that are hate crimes. They certainly do not treat their white debtors in that manner.

In a separate incident, an alarm company in Miami, doing business as Kertz-National Alarm Systems, terrorized a senior citizen in attempting to collect a debt. The newly unemployed senior citizen, who was only been able to find part time work since losing her main job in a tough economy, fell behind on her security alarm bills she had paid faithfully and on time for many years.

In a disgraceful act of harassment, Kertz-National Alarm Systems, remotely triggered the alarm in her home as a form of terrorization. The alarm was so loud, it disturbed the entire block and surrounding homes on backstreets. The boisterous, grating racket, forced police officers to come out to the property in squad cars, on the taxpayers' dime, naturally believing there had been a burglary.

After two hours of complaints and disturbing the peace, the alarm company finally consented to send a technician out, but only after extorting $80 from the senior citizen, money from her widow's pension social security check, used to pay for her mortgage and food. This is the madness some creditors are resorting to at the public's expense.

Obama Falling Behind In The Polls Again

U.S. President Barack Obama

Just a year ago, U.S. President Barack Obama, was on top of the world. He was newly elected and living a rock star Presidency. Fast forward one year and he has made so many wrong turns, people are vociferously crying impeachment.

It is flabbergasting what Obama's spending has done to the national deficit. He has failed to raise taxes on the rich and implement a proper job creation plan, which would have gone a long way towards turning the economy around. All this money is going out of the U.S. Treasury and very little is coming in by comparison, which promotes national bankruptcy.

The American dream has been destroyed by greedy bankers and corporate vultures that pillaged the public for all they could take and the U.S. Congress has failed to adequately rein them in. The banks and credit card companies have not learned their lesson.

The polls are reflecting the pain the American people are feeling everyday, with Obama hitting new lows. Things are still bad. Obama has roughly 2-years to turn his presidency around. If he fails to do so, he will be a one term president, labeled in world history as the one that spent all the people's money.

Consumer Alert: World Financial Capital Bank

World Financial Capital Bank is currently the greediest, most unscrupulous credit card lender in America. Their practices fly in the face of legislation the U.S. Congress has enacted to protect consumers.

Their fees, service charges and interest payments, are well beyond anything anyone could call reasonable or acceptable business practices. They have enacted so many time consuming and complex rules, structured to trip up consumers, it ensures World Financial Capital Bank, will collect millions of dollars in undue penalty fees, from card holders they fail to properly and adequately inform of the constant changes to their accounts.

If one mails in one's payment in a reasonable amount of time, according to acceptable national standards, World Financial Capital Bank, will state it arrived late, blame it on the U.S. Postal Service and assess exorbitant late fees.

In 2010, they cancelled their automated check by phone system that allowed customers to pay their bills over the phone and changed their work time, closing 3 hours earlier. Therefore, anyone that called World Financial Capital Bank at or after 9PM, found no automated pay by phone system, no employees to accept their credit card payments and their accounts slapped with a $30 late fee, which was vile. However, it raised millions in revenue for the company, at consumers expense.

It is due to companies such as World Financial Capital Bank that Americans are unable to get out of debt and end up in bankruptcy. Yet, their unscrupulous business practices, which constantly gouge millions of American credit card holders, who have publicly complained in many online forums, have gone unpunished by the Federal Trade Commission.

The Obama Administration, much like the Bush government, is unwilling to financially punish such companies as they deserve, with millions in fines and penalties, for the terrible business practices they utilize in harming the American people.

ONLINE COMPLAINTS:

World Financial Capital Bank & Blair Catalog customers targeted by predatory lender World Financial Capital Bank

BBB processed a total of 238 complaints about World Financial Capital

Report: World Financial Capital Bank

Venue charges disabled man for cancelled plasma TV order; credit card company issues refund

World Financial Capital Bank no longer accepting next day payments online

Cruel Credit Card Company Practices

The selling and reselling of debt in America has become a very profitable industry for credit card companies and banks, but a burdensome load on Americans. During the current harsh economic climate, many Americans have lost their jobs and defaulted on credit card payments. If one has no job, how can one pay one's bills.

One of my friends lost her job and defaulted on one of her credit cards and by the time they sold and resold the debt, it was ugly. She was forced to make arrangements with the third party financial institution the credit card company sold the original debt to, making $100 monthly payments.

However, what was a $5,500 balance, became a $16,500 nightmare, after they added countless fees and massive interest rates to the original sum she owes, which they purchased from the credit card company. She gave me the documents to peruse and it was quite appalling.

In looking at the papers, I shook my head, as this same story is repeating itself all over America and bogging down Americans with terrible debt, far above anything they originally owed, which is unconscionable. The Judiciary Report realizes companies are in business to make money, but there should be limits on what they can charge consumers.

The government should enact legislation to bar companies from adding such exorbitant fees, as it is keeping many Americans in serious debt and hampering their futures. Companies should not be able to gouge citizens to such terrible extremes, as it is corporate extortion, not conducive to a healthy economy.

Lindsay Lohan In More Legal Trouble

Crack Really Is Whack

Lindsay Lohan

Drug addict and former child star, Lindsay Lohan, has missed a second deposition in a civil lawsuit, where she is accused of commandeering a vehicle while drunk and high, running over a man's foot, whilst taking three men on a psychotic car chase through Los Angeles, insanely pursuing a former personal assistant who fled in fear for her life.

Lohan, a schizophrenic member of the Kabbalah cult, has gone from bad to worse once again, opting to go out shopping, partying and getting high, blowing off the depositions. This has prompted the Plaintiffs' attorney to see sanctions against her and a court order forcing her to appear, lest she be jailed for contempt. 

Lohan is broke, due to a string of poor choices and cannot afford to pay a settlement or judgment in line with her terrible misconduct that night. However, if she is not careful, the Plaintiffs' attorney made obtain a default judgment and garnish her wages. What am I saying. What wages. However, she has jewelry, clothing and shoes of value that may not be safe from creditors (several hundred thousand worth).

Considering credit card companies are demanding their money, which could result in a lawsuit, additional claims and judgments shall put her in the poor house.

In other dysfunctional lesbian news, Lohan claims her ex-girlfriend is now messing with a man, pop star Miley Cyrus' ex-boyfriend and spit in her face. Well, as long as you don't pay attention to the important things in your own life, like sobriety and employment, then.

LiLo Is a No-Show Again in Court

April 21st, 2010 5:09 pm - Maybe Lindsay Lohan should worry less about Twitter battles and late night partying and concentrate on making her court dates. The actress/singer/socialite did not show up in court yesterday, marking the second deposition she has missed regarding her 2007 DUI.

According to TMZ, three passengers in Lindsay’s car — as well as the passenger in the car she was chasing — are suing her, claiming she endangered their lives in a drunken chase down the Pacific Coast Highway.

http://www.okmagazine.com

Lindsay Lohan suggests Samantha Ronson is romancing Miley Cyrus' ex

Published on: April 21 2010 at 02:36 PM - Lindsay Lohan has sent the rumor mill into overdrive after suggesting her lesbian ex-girlfriend Samantha Ronson spent the night with one of Miley Cyrus' former boyfriends.

The "Mean Girls" star, who split from the celebrity DJ last year, sparked the gossip after taking to her Twitter.com page in the early hours of Wednesday to blast Ronson for allegedly spitting in her face.

http://www.sfgate.com

Lindsay Lohan Broke And Wasted

Lindsay Lohan A/K/A Cocaine Girl

Fallen former child star, Lindsay Lohan was spotted completely intoxicated at the Coachella music festival this past weekend, further proving claims about her lack of sobriety.

Another Judiciary Report exclusive has been confirmed today regarding Lohan. Weeks ago in the April 2, 2010 article Lindsay Lohan Falls At Club Again And Bounced Checks Confirmed the Judiciary Report stated Lohan needs to, "Remember, credit card companies will sue when you default, especially on large sums, such as the balances you are carrying, trying to pretend you are still a wealthy it girl."

Today, it has been confirmed via Radar Online that Lohan has been living off credit cards, with Lindsay running up bills in excess of $500,000, in bids at living the lavish lifestyle she once enjoyed when she was actually working and right before her lesbian sugar mommies cut her off.

Lindsay Lohan Owes More Than $500,000 In Credit Card Debt

Posted on Apr 19, 2010 @ 10:18AM - Lindsay Lohan has been hitting the party scene hard and hasn't done much work since her last film Labor Pains, which went straight to DVD. Despite her lack of income, RadarOnline.com has learned exclusively that she hasn't cut back on her spending and is now over half a million dollars in debt.

"Lindsay owes credit cards $600,000," a source tells RadarOnline.com of the troubled 23-year-old. "One card cut her off last week and it's only a matter of time before all her other credit cards cut her off too."...

http://www.radaronline.com

EXCLUSIVE: Lindsay Lohan 'Wasted' At Cochella Festival

Posted on Apr 19, 2010 @ 01:51PM - Continuing her downward spiral, Lindsay Lohan showed how dire her situation is right now while at the Cochella music festival in California over the weekend.

Lindsay was “wasted” at Cochella RadarOnline.com has learned, and onlookers said the 23-year-old starlet was obviously impaired as she partied at the music festival...

http://www.radaronline.com

Josh Duhamel Gave Stripper His Credit Card

...And Cell Phone Number

Josh Duhamel and Fergie

Disgraced actor and adulterer, Josh Duhamel, is being embarrassed more and more each day by a stripper he had an affair with in Atlanta, while shooting a movie.

St. Regis Hotel in Atlanta, Georgia

Duhamel, a high profile actor, was unwise enough to cheat on his wife with a stripper he paid by credit card and also gave his personal cell phone number.

Stripper Nicole Forrester

Radar Online obtained a copy of the polygraph test she passed, with more humiliating details to come. Needless to say, his wife Fergie is not happy and watching him like a hawk.

Josh Duhamel Stripper's Polygraph

Posted on Nov 05, 2009 @ 03:17PM - As the Josh Duhamel Stripper-Gate cheating scandal continues to heat up, RadarOnline.com has exclusively obtained the polygraph test passed by the woman who claims she had sex with Fergie's hunky hubby...

Blackstone says that the digital scoring of the examination indicates that Forrester was non-deceptive (truthful) when answering "yes" to the following questions:

- Did you have intercourse with Josh?

- Did you have intercourse with Josh that night at the St Regis Hotel?...

And RadarOnline.com has redacted part of the polygraph, as it pertains to charges against Duhamel that are even MORE EXPLOSIVE than the cheating story.

Those charges have not become public... yet.

http://www.radaronline.com

Gov Hacker Steals 130M Credit Card Numbers

Albert Gonzalez

A hacker that was on the U.S. government's payroll, Albert “Segvec” Gonzalez, has been arrested for stealing 130 million credit card numbers. Once again, the federal government sure knows how to pick'em.

TJX Hacker Charged With Heartland, Hannaford Breaches

August 17, 2009 - The constellation of hacks connected to the TJX hacker is growing.

Albert “Segvec” Gonzalez has been indicted by a federal grand jury in New Jersey — along with two unnamed Russian conspirators — on charges of hacking into Heartland Payment Systems, the New Jersey-based card processing company, as well as Hannaford Brothers, 7-Eleven and two unnamed national retailers, according to the indictment unsealed Monday. Gonzalez, a former Secret Service informant, is already awaiting trial over his involvement in the TJX hack.

According to the court document, the hackers allegedly stole more than 130 million credit and debit card numbers (.pdf) from Heartland and Hannaford combined. Prosecutors say they believe these breaches constitute the largest data-breach and identity-theft case ever prosecuted in the United States. They’re investigating other breaches and have not ruled out Gonzalez’s involvement in even more intrusions...

They each face a maximum penalty of five years in prison and a possible maximum fine of $250,000 on the computer-fraud count and an additional 30 years and $1 million fine on the wire-fraud count, or twice the amount they gained from the offense, whichever is greater...

Gonzalez called his credit card theft ring “Operation Get Rich or Die Tryin.” As Wired.com previously reported, he spent $75,000 on a birthday party for himself and once complained to associates that he had to manually count $340,000 in stolen $20 bills after his counting machine broke...

http://www.wired.com

ID Theft Ring Buys Their Own iTunes Music

An ID theft ring was arrested by the FBI for using stolen credit cards to purchase their own music recordings they uploaded to iTunes and Amazon. And? Quite a few Hollywood stars do this as well, sans the stolen credit cards, to inflate their sales. However, it does constitute fraud and chart rigging.

The ID theft ring collected $300,000 in this manner, in royalty checks from duped iTunes, who collaborated with the Feds on this case.

Criminal gang bought own music on iTunes and Amazon using stolen cards

June 11, 2009 - Amazon and iTunes, who were unaware of the fraud, paid royalties totalling $300,000. The Metropolitan Police and the FBI have caught an international criminal gang said to have made tens of thousands of pounds by buying their own records from Apple iTunes and Amazon with stolen credit cards.

The gang are alleged to have created several songs that they provided to an online American company, which uploaded them to be sold on the two internet sites.

It is believed that over four months from September last year the gang used 1,500 stolen or cloned British and American credit cards to buy songs worth $750,000 (£469,000).

Amazon and iTunes, which were unaware of the fraud, paid $300,000 in royalties. Six men and three women were arrested yesterday by 60 officers at addresses in London, Birmingham, Wolverhampton and Kent. A man in his forties, was arrested later.

They are all being held in custody on suspicion of conspiracy to commit fraud and money laundering.

A police source said: “We will not know why they did what they did until we have conducted all the interviews.” It is believed that one of the gang is a DJ and that he created the songs that were then bought...

Apple refused to comment on the story but it is believed that there is no standard fee for royalties and each deal is negotiated separately. The gang is said to have made 40 per cent from the royalties.

http://www.timesonline.co.uk