Internet Fraud Casebook

Internet Fraud Casebook: The World Wide Web of Deceit is a one-of-a-kind collection of actual cases written by the fraud examiners who investigated them. These stories were hand-selected from hundreds of submissions and together form a comprehensive, enlightening and entertaining picture of the many types of Internet fraud in varied industries throughout the world.

• Each case outlines how the fraud was engineered, how it was investigated, and how perpetrators were brought to justice
• Topics included are phishing, on-line auction fraud, security breaches, counterfeiting, and others
• Other titles by Wells: Fraud Casebook, Principles of Fraud Examination, and Computer Fraud Casebook

This book reveals the dangers of Internet fraud and the measures that can be taken to prevent it from happening in the first place.

Preface xiii

Internet Fraud Tree xvii

Chapter 1 Phantom Figurines 1
John Ouellet

Chapter 2 From Russia with Love? 13
Ernesto F. Rojas

Chapter 3 Behind a Smoke Screen 21
Jay Dawdy

Chapter 4 Cars, Cards, Chemicals and Crayons 31
Al Sternberg

Chapter 5 Small-Town Boys 43
Andrea Lee Valentin

Chapter 6 Dangerous Diet 51
Nancy e. Jones

Chapter 7 The Suburban Spoofer 59
James B. Keith

Chapter 8 Don’t Mess with Texas 69
Kasondra N.D. Fehr

Chapter 9 Hot Wire 81
Ryan W. Mueller

Chapter 10 A Business within a Business 89
Alan F. Greggo

Chapter 11 Double Play 97
Delena D. Spann

Chapter 12 the eBAY-Fraud Brothers 105
Gerard (Jerry) Buchleitner

Chapter 13 Not-So-Precious Metals 113
Michael J. Molder

Chapter 14 The Cool-Cash Syndicate 125
Austine S.M. Adache

Chapter 15 Dastardly Design 133
Prabhat Kumar

Chapter 16 The Reckless Clerk 141
Oleg Lykov

Chapter 17 Close Quarters 151
John P. Grancarich

Chapter 18 Playing with Fire 161
Hank J. Brightman

Chapter 19 Hack, Pump and Dump 171
Nadia Brannon

Chapter 20 Dangerous Learning Curve 179
Ahmed R. Kunnumpurath

Chapter 21 The Sherwood Boys 187
Paolo Bourelly

Chapter 22 The Broken Nest Egg 197
David Alan White

Chapter 23 One More Lap to Go 207
Spyridon Repousis

Chapter 24 Death and Taxes 217
Gay Stebbins

Chapter 25 Keeping It All in The Family 225
David Petterson

Chapter 26 No Security in Online Advance Fees 237
Dr. Ivo George Caytas

Chapter 27 The G.I. Hacker 245
Bruce L. Owdley

Chapter 28 The Wrong Suspect 253
Jyoti Khetarpal

Chapter 29 Dribbling On the Internet 261
Timothy D. Martin

Chapter 30 Behind the Mask 269
Christian Andre Chmiel

Chapter 31 Online Pharmacy 279
Jon Cohen

Chapter 32 The Porn Procurement Process 291
Lt Col Robert J. Blair

Chapter 33 Gambling On a Profit 299
Antonio Ivan S. Aguirre

Chapter 34 The Solitaire Trader 309
Shabda Prakash

Chapter 35 The Big Brother He Never Had 315
Chris A. McCulloch

Chapter 36 Wanted: Your Money 325
Jonathan Washer

Chapter 37 The Business of Making Money 333
Bill Maloney

Chapter 38 Failure to Deliver 341
Todd J. Davis

Chapter 39 Cyber Psycho 349
Eric A. Kreuter

Chapter 40 Drag Queens and Drugs 359
Peter J. Donnelly

Chapter 41 Wire Transfers from Nowhere 369
Kenneth C. Citarella and Laura A. Forbes

Glossary 379

Index 383

"...offers piercing insights into the traumatic effects of online scams." (Accounting Technician, July 2010)

Dr. JOSEPH T. WELLS, CFE, CPA, is the founder and Chairman of the Board of the Association of Certified Fraud Examiners (ACFE), the world's largest anti-fraud organization. Mr. Wells writes, researches, and lectures to business and professional groups on fraud-related issues. He has authored seventeen books and scores of articles. His writing has won numerous awards, including the top articles of the year for Internal Auditor magazine and the Journal of Accountancy. The American Accounting Association previously named him Accounting Education Innovator of the Year for his pioneering work in fraud examination education.

INTERNET FRAUD CASEBOOK THE WORLD WIDEWEB OF DECEIT

Web scams targeting the unemployed. Computer fraud. Online auction fraud. Market manipulation schemes. While the Internet offers a global marketplace for consumers and businesses, it also presents endless potential for crooks and scammers. The same scams found through the mail and phone have crept their way onto the Internet and into e-mail, with new variations of cyber scams emerging all the time.

Internet Fraud Casebook: The World Wide Web of Deceit presents the collected insights of some of the most experienced fraud examiners around the world. Handpicked and edited by Joseph Wells, the founder and Chairman of the Association of Certified Fraud Examiners (ACFE) — the world's leading anti-fraud organization — this collection of revealing case studies sheds new light into the dark corners of online fraud.

Some of the forty-one cases in Internet Fraud Casebook include:

• "From Russia with Love?," Ernesto F. Rojas
• "Dangerous Diet," Nancy E. Jones
• "A Business within a Business," Alan Greggo
• "The eBay-Fraud Brothers," Jerry Buchleitner
• "The G.I. Hacker," Bruce L. Owdley
• "The Business of Making Money," Bill Maloney
• "Wire Transfers from Nowhere," Kenneth C. Citarella and Laura A. Forbes

Each case in this indispensable casebook explores various kinds of Internet fraud as well as their assorted sub-schemes: phishing, online auction fraud, security breaches, counterfeiting, and others. In addition, each case offers an informative and entertaining look into the complex social factors behind fraudulent behavior on the Web. The observations of each fraud examiner, drawn from years of practical experience, provide readers with invaluable perspectives, many of which have never before been conveyed publicly.

Forming a comprehensive picture of the many types of Internet fraud and how they are analyzed across industries and throughout the world, Internet Fraud Casebook equips you with authoritative, proven investigative and preventive guidance.

INTERNET FRAUD CASEBOOK

THE WORLD WIDE WEB OF DECEIT

Web scams targeting the unemployed. Computer fraud. Online auction fraud. Market manipulation schemes. While the Internet offers a global marketplace for consumers and businesses, it also presents endless potential for crooks and scammers. The same scams found through the mail and phone have crept their way onto the Internet and into e-mail, with new variations of cyber scams emerging all the time.

Internet Fraud Casebook: The World Wide Web of Deceit presents the collected insights of some of the most experienced fraud examiners around the world. Handpicked and edited by Joseph Wells, the founder and Chairman of the Association of Certified Fraud Examiners (ACFE) — the world's leading anti-fraud organization — this collection of revealing case studies sheds new light into the dark corners of online fraud.

Some of the forty-one cases in Internet Fraud Casebook include:

• "From Russia with Love?," Ernesto F. Rojas
• "Dangerous Diet," Nancy E. Jones
• "A Business within a Business," Alan Greggo
• "The eBay-Fraud Brothers," Jerry Buchleitner
• "The G.I. Hacker," Bruce L. Owdley
• "The Business of Making Money," Bill Maloney
• "Wire Transfers from Nowhere," Kenneth C. Citarella and Laura A. Forbes

Each case in this indispensable casebook explores various kinds of Internet fraud as well as their assorted sub-schemes: phishing, online auction fraud, security breaches, counterfeiting, and others. In addition, each case offers an informative and entertaining look into the complex social factors behind fraudulent behavior on the Web. The observations of each fraud examiner, drawn from years of practical experience, provide readers with invaluable perspectives, many of which have never before been conveyed publicly.

Forming a comprehensive picture of the many types of Internet fraud and how they are analyzed across industries and throughout the world, Internet Fraud Casebook equips you with authoritative, proven investigative and preventive guidance.