[ISN] Frank Abagnale Jr. Exposes Security Enigmas at Chicago Confab

From: InfoSec News (isnat_private)
Date: Mon Jun 23 2003 - 00:58:07 PDT

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    Forwarded from: William Knowles <wkat_private>
    
    http://www.eprairie.com/news/viewnews.asp?newsletterid=4690
    
    By ADAM FENDELMAN
    Editor-in-Chief
    adamat_private
    6/20/2003
    
    CHICAGO - Chicago caught "Catch Me If You Can" muse Frank Abagnale Jr. 
    on Thursday night at the Four Seasons. 
    
    A criminal-turned-celebrity, Abagnale now hails as one of the world's 
    foremost connoisseurs of embezzlement, forgery and glut of other 
    things no one - he says in retrospect - should ever do. 
    
    Formerly an avid flier of the fraudulently "free" skies, the recovered 
    con man flew to Chicago to expose to local security executives his 
    real story, how today's high-tech crooks are winning and how they can 
    be trounced. 
    
    So reasoned the FBI some 25 years ago, who better could nab elusive 
    thieves than one who cashed $2.5 million in fraudulent checks over a 
    five-year period? 
    
    Abagnale also posed as a PanAm airline pilot (he remembers thinking 
    "equipment" meant a plane's engine rather than the plane itself), an 
    attorney (he actually passed the bar exam in 10 weeks rather than two 
    as depicted in the movie) and a pediatrician (initially answering just 
    as a "medical" doctor and making certain to give cute girls thorough 
    "exams"). 
    
    So questioned this reporter, should convicted masterminds be released 
    from penitentiaries and put to work for secret services like the FBI 
    or CIA? Abagnale told ePrairie: "I can't think of many cases like 
    mine. I am a bit of an exception." 
    
    Whether or not Abagnale actually advocates releasing felons for the 
    purposes of high-end anti-fraud work, Abagnale modestly asserted that 
    the ways he duped our nation's systems were relatively simple and 
    weren't necessarily rocket science. He has devoted the last 25 years 
    to erect walls so like-minded swindlers can't pull off similar stunts. 
    
    Known especially for his propensity to create fake checks that would 
    fund his travels before they had a chance to bounce (some 1 million 
    illegal air miles to 26 countries between the ages of 16 and 18 on 
    every airline but now-defunct PanAm), one of Abagnale's tricks 
    exploited a "big green calculator" at a bank. 
    
    He moseyed into this bank and asked questions like he always would to 
    detect the institution's loopholes. He began by opening a new checking 
    account under a phony PanAm identity. He then asked for deposit slips. 
    He was told to help himself to a community table with blank deposit 
    slips. Most people would write their checking account numbers on them 
    and turn them in. 
    
    Always the inquisitive kid who likes a challenge, Abagnale used the 
    calculator-like device to magnetically encode his account number on 
    the bottom of lots of deposit slips. He then put them back on the 
    lobby table. Everyone who made deposits that day ended up depositing 
    money to his account. Abagnale withdrew some $40,000 shortly 
    thereafter and disappeared. 
    
    
    Catching Who He Can
    
    Now a turn-to man for some 14,000 financial institutions, corporations 
    and law enforcement agencies (Abagnale says he has worked with 65 
    percent of the Fortune 500 and all 50 of the world's largest banks), 
    he asserts that punishment for fraud and recovery of stolen funds are 
    so rare that prevention is the only viable course of action. 
    "I always knew I'd get caught," Abagnale said. "Though the law 
    sometimes sleeps, it never dies." 
    
    Most crimes today are committed internally, he says, adding that 
    today's criminals have realized that it's more effective to hack 
    people rather than computers. Sure, one could spend the time and 
    resources to develop high-tech hacking systems to swipe cash from a 
    bank, but why not befriend some bank workers through a few smokes and 
    buy information rather than try to steal it? 
    
    Abagnale says Novell, which produced Thursday's gathering of 166 
    registrants, is transitioning to managing the identities at large 
    organizations to intelligently control who has access to what. As an 
    example of a pain Novell is solving, it'd often take a company that 
    just laid off thousands of workers months to revoke an employee's 
    special privileges. 
    
    Businesses lose an estimated $400 billion each year to fraud. While 
    security is advancing, the massive and rapid flow of information is 
    making the felon's job easier by the day, he says. 
    
    Though Abagnale used $2 million machines that filled a room to print 
    checks during his fraudulent heyday, today he says he could flip open 
    a slim laptop, power up a small printer and have access to your 
    personal and financial information within five or 10 minutes - all 
    thanks to the Internet. 
    
    
    But how? 
    
    Though there are thousands of free and paid resources on the Web that 
    can unsuspectingly be used especially for identity theft, Abagnale 
    singled out FamilySearch.org, which he says operates one of the 
    world's largest databases and includes death records from 10 days ago 
    to 200 years ago. 
    
    A free service of the Mormon church, simple searches reveal public 
    information such as social security numbers, birthplaces and death 
    dates. 
    
    Sites such as NetDetectiveSoftware.com and DocuSearch.com also offer 
    personal but public information - even what the FBI knows about you - 
    for fees that range between $49 and $150. Many such sites are used 
    malicilously to impersonate identities and steal money. 
    
    "Identity theft is a huge problem today and is the crime of the 
    future," Abagnale said. "It absolutely is the simplest crime. Anyone 
    can find out at least 22 pieces of information about you instantly 
    including your social security number, you mother's maiden name, 
    someone who lives in your house who isn't related to you and who lives 
    around you in your neighborhood." 
    
    To protect himself, one tool Abagnale uses personally is called 
    Privacy Guard. With 4.5 million paid members at $110 per year, 
    Abignale says the software sends him instant e-mails or pages any time 
    anyone requests his credit report. Best of all, he says, the company's 
    own employees can't see the data. 
    
    
    Lessons Learned
    
    Abagnale regrets his past as a cheat. He says what he did was immoral, 
    illegal and unethical. Though he receives some 200 e-mails per day 
    from "fans" surfing by Abagnale.com who rave about his brilliance, 
    Abagnale says he was just a kid. He added: "If I really was brilliant, 
    I wouldn't have broken the law." 
    
    In retrospect, Abagnale says he learned at least four critical 
    lessons, which are played out in Spielberg's movie starring Tom Hanks 
    and Leonardo DiCaprio: 
    
    * The 1960s were far more innocent. People believed you were who you 
      say you were. 
    
    * You must pay for your mistakes. 
    
    * More amazing than what he pulled off as a liar and a thief, the 
      movie  was about redemption and the family man he transformed into. 
    
    * A divorce can be devastating for a child. 
    
    Why'd he do it all? Because he could. Would he do it all again? He 
    vehemently says no. Abagnale says his life hasn't been glamorous. A 
    lonely child on the run, he said he'd constantly cry himself to sleep 
    through the age of 20. He never had a senior prom or went to a high 
    school football game. He added: "I lost much more than I ever gained." 
    
    In addition to the 1980 book "Catch Me If You Can" with reporter Stan 
    Redding and Abagnale's 2002 book entitled "The Art of the Steal" 
    (Abagnale sold the rights to his earlier book to Spielberg two decades 
    ago and didn't profit from the 2003 movie), a "Catch Me If You Can" 
    television series will debut in 2004 from the creators of ER along 
    with a Broadway musical of the FBI hunt. 
    
    Though many people think Abagnale's redemption draws from religion, 
    immaturity or prison, he attributes it entirely to the family he 
    created in Tulsa. Amazingly terrified, executives on Thursday were 
    caught tearing as Abagnale spoke to his life's true legacy. 
    
    "God gave me a wife. She gave me children," Abagnale said, noting that 
    his oldest son is a third-year law student at Loyola University in 
    Chicago. "She changed my life. Everything I am is in them. People 
    don't truly understand love until they bring a child into the world. A 
    real man loves his wife and is faithful. I've done nothing greater 
    than being a good husband and great daddy." 
    
    Finally nabbed in France at the age of 21 after an unidentifiable 
    "John Doe warrant" was issued when he was 18, Abagnale ran out on his 
    parents when he was 16 as they divorced. He didn't see his mother 
    again for seven years. He didn't see his father ever again. 
    
    
     
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