U.S. shuts down massive cyber theft ring

WASHINGTON/BOSTON, (Reuters) – U.S. authorities  claimed one of their biggest victories against cyber crime as  they shut down a ring they said used malicious software to take  control of more than 2 million PCs around the world, and may  have led to theft of more than $100 million.

A computer virus, dubbed Coreflood, infected more than 2  million PCs, enslaving them into a “botnet” that grabbed  banking credentials and other sensitive data its masters used  to steal funds via fraudulent banking and wire transactions,  the U.S. Department of Justice said yesterday.

The government shuttered that botnet, which had operated  for a decade, by seizing hard drives used to run it after a  federal court in Connecticut gave the go-ahead.

“This was big money stolen on a large scale by foreign  criminals. The FBI wanted to stop it and they did an incredibly  good job at it,” said Alan Paller, director of research at the  SAN Institute, a nonprofit group that helps fight cyber crime.

The vast majority of the infected machines were in the  United States, but the criminal gang was likely overseas.

“We’re pretty sure a Russian crime group was behind it,”  said Paller.