February 28, 2007

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  UPDATE: 4 Arrested in Stop & Shop Scam

  It seems there will be at least partial retribution made for the Stop & Shop EFT-machine tampering that has left thousands of customers vulnerable to identity theft. Arutyun Shatarevyan, 20, Gevork Baltadjian, 20, Arman Ter-Esayan, 22, and Mikael Stepanian, 28 – all of California- were arrested and charged late Monday with computer theft, computer trespass, and other felonies, according to Rhode Island state authorities. So far, the alleged crooks have stolen over $100,000 from victims' accounts after skimming credit and/or debit card numbers off the tampered-with devices. It is not known through what exact means the machines were tampered with – skimming usually involves inserting a foreign card-number-relaying device into like machines.
  
  The quartet just may be the center of the "skimming" ring that preyed on the Stop & Shop EFT (electronic funds transfer) machines at several of the New-England based supermarket's locations. The four were apprehended when they were caught in the act – two were distracting a store clerk while a third attempted to tamper with the PIN pad. The final member of the group was waiting outside, in the parking lot. It appears like the alleged crooks may have left the area for a while, as hotel records place them in different locations around the country in the past few weeks. Officials speculate that greed may have led them back to the site of their previous successful heists, where they were not aware that the machines had new safety features implemented.
  
  Stop & Shop has been praised by critics for its forthright response to the incident, keeping the public alert to any news after announcing the breaches immediately after they occurred. Analysts cannot help but compare the supermarket's response with that of TJ Maxx (also a northern-based corporation), which apparently tried to conceal details of a breach that left a similarly large number of consumers at risk. The stores' EFT machines have now been bolted down to prevent similar physical tampering in the future.
  
  A Kent County judge arraigned the four –who all pled not guilty- and they are being held in lieu of bails ranging up to $200,000. The US Secret Service is still investigating the case.

  To read the original story about the Stop & Shop EFT tampering, click here.
  
  
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