GO
Loading...

Cost Spirals for US Victims of Cyberfraud

Online fraud cases in the US cost victims more than twice as much in 2009 as they did the previous year, underscoring fears that internet crime is growing out of control.

lock_laptop.jpg

The Federal Bureau of Investigation’s Internet Crime Complaint Center, a web portal the US law enforcement agency operates in conjunction with the National White Collar Crime Center, last year referred cases involving total losses of $560m (€407m, £368m) for investigation by various authorities – up from $265m in 2008 and $183m five years ago.

The FBI gave no indication of how much money had been recovered, but US Federal Trade Commission officials have said that a large majority of serious internet crime is committed from overseas, especially eastern Europe, where enforcement is difficult.

Donald Brackman, white collar crime centre director, said cybercriminals were “developing increasingly sophisticated means of defrauding unsuspecting consumers. Internet crime is evolving in ways we couldn’t have imagined just five years ago”.

FT3.jpg

The FBI said the portal referred twice as many complaints for enforcement in 2009, a record 127,000, as it did in 2008. Non-delivery of promised goods or services triggered the most referrals for enforcement, followed by identity theft and credit or debit card fraud.

The FBI figures do not include complaints to local police or other agencies.

Contact U.S. News

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    Please choose a subscription

    Please enter a valid email address
    To learn more about how we use your information,
    please read our Privacy Policy.

Don't Miss

  • Private Jet

    Like migrating birds, private jet setters follow a basic instinct when it comes to their flight paths: They follow better weather.

  • Fake Apple Watches... can you tell the difference?

    CNBC's Eunice Yoon reports Apple Watch is officially available today but already fake watches are hitting the streets.

  • Alphorn players perform in Nendaz, Switzerland.

    Switzerland is the happiest place on Earth, thanks to its high performing GDP and healthy life expectancy rates of its citizens.

U.S. Video