WASHINGTON, D.C In what has been described as one of the most significant arrestsrelated to the Internet fraud known as phishing, the Romanian General Directorate for
Combating Organized Crime (DGCCOA), in cooperation with the United States SecretService, arrested an individual responsible for nearly $500,000 in internet-fraud. Dan
Marius Stefan was arrested Sept. 1, 2003 in Alba Julia, Romania for using anelaborate network of bogus Internet sites and escrow accounts to collect money from his
victims.
The arrest of Stefan is the most recent in a year-long series of investigations involving theSecret Service, Romanian police and eBay, an online marketplace. To date, seven major
cases have been solved and 107 people have been arrested for Internet fraud committedusing real or spoofed eBay sites that resemble the companys actual website.
"The rapid growth of the Internet has eliminated the traditional borders of financialcrimes and provided new opportunities for those who engage in computer-based fraud,
U.S. Secret Service Director Ralph Basham said. Sharing information and resourcesthrough partnerships is the best way to combat these types of crimes.
The success of these investigations is a direct result of the excellent partnership thatexists between eBay, the DGCCOA, and the Secret Service, said Robert Gombar,
Special Agent in Charge of Secret Services Rome Field Office, which oversees theagencys Bucharest Resident Office. On behalf of the Secret Service, I would like to
commend the DGCCOA and eBay for their hard work and collaboration in bringing theseinvestigations to a successful conclusion.
"This is an important breakthrough in the fight against fraudulent emails and the criminalactivity associated with them," said Joseph Sullivan, eBay's Senior Counsel for Trust and
Safety. "The Secret Service has effectively brought together the resources of privateindustry and foreign governments to identify and arrest those attempting to victimize
Internet consumers."
The investigations initiated by Secret Services Bucharest office have had a positiveimpact in protecting American citizens against this kind of fraud. According to eBay, this
arrest represents the most significant arrest ever in the context of phishing, as thisindividual victimized Americans out of approximately $500,000.
Phishing is a high-tech scam that uses e-mail based communications to deceiveconsumers into disclosing their credit card numbers, bank account information, Social
Security numbers, passwords and other sensitive information.
In Stefans case, the defendant would forward spoofed emails resembling an actual eBaypage to the attention of bidders who were not successful in an online auction. On this
spoofed page, Stefan would advise victims of the availability of a similar item for a betterprice. Upon visiting the sale page, victims were asked for personal information
including their name, bank account numbers and passwords. The victims were thenadvised that they won the spoofed auction and agreed to send money to Stefan through
a spoofed escrow site created by the defendant.
Six other cases this year have focused on a number of Internet fraud and identity crimeschemes, including counterfeit access device fraud, telemarketing fraud, fraudulent use of
bank card account numbers and electronic funds transfer fraud. In some of these cases,the Secret Service was able to assist eBay in identifying spoofed sites, which were
subsequently shut down and closed, preventing additional fraud.
The Secret Service continues to work closely in assisting the DGCCOA and eBay inongoing Internet fraud investigations and serves as a liaison between Romanian
authorities and victims in the United States. Secret Service agents assigned to theBucharest office have appeared in Romanian courts on behalf of victimized Americans,
assuring the rights and interests of the victims are protected.
The Secret Service was originally established within the Department of the Treasury in1865 to combat the counterfeiting of U.S. currency. Since that time, the agency has been
tasked with the investigation of financial crimes, as well as the protection of the nationsleaders, visiting foreign dignitaries and events of national significance.
With the passage of new federal laws in 1982 and 1984, the Secret Service was providedprimary authority for the investigation of access device fraud, including credit and debit
card fraud, and parallel authority with other law enforcement agencies in identity crimecases. The explosive growth of these crimes has resulted in the evolution of the Secret
Service into an agency that is recognized worldwide for its expertise in the investigationof all types of financial crimes. On March 1st, 2003 the Secret Service became part of the
Department of Homeland Security, where the agencys efforts to detect, investigate andprevent financial crimes are aggressive, innovative and comprehensive.
Source: U.S. Secret Service