Theft through cellular 'clone' calls

Article Abstract:

Law enforcement officials uncover a cellular fraud scheme linking Phoenix, AZ, and customers in the Middle East. The perpetrators, based in Phoenix, illegally collected private codes used by cellular telephone consumers, altered the microchips in their own cellular equipment and sold radio transmission time to customers in Israel and Arab countries. There is high demand in the Middle East region for cellular telephone service because of an Arab boycott of conventional telephone service from Israel. In the Phoenix raid, officers seized 35 cellular phones, 10,000 microchips and listings of electronic codes. The illegal entrepreneurs collected the electronic codes by standing near freeways and randomly detecting codes of passing motorists using equipment widely available for purchase. Cellular telephone fraud is on the rise and industry analysts estimate that up to $1 million a day is lost by vendors. Digital transmission of cellular calls, due to be implemented in many US cities, will allow for encryption of transmissions and increase the difficulty of fraud.

Cellular telephones, Wireless telephones, Cellular telephone services industry, Cellular telephone services, Crimes against, Arizona, Phoenix, Arizona, Cellular radio

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Phone theft insurance is broadened

Article Abstract:

Travelers Corporation will offer a new insurance policy to cover losses resulting from unauthorized users tapping into the corporate telephone systems called private branch exchanges (PBX's) and stealing long-distance calls. The cost of this type of telephone fraud could exceed $1 billion. Customers can purchase either a $50,000 policy with a $2,500 premium and a $5,000 deductible, or a $1 million policy with a $49,400 premium and a $100,000 deductible. Travelers says that the high prices are necessary because the risk of losses is unknown. The company requires that a customer institute certain safeguards against hackers such as a limit on the number of times a person can try a password and voice mail passwords of more than three digits. Forty-five to 50 percent of telephone fraud is committed by people outside a company, 40 percent by people closely related to a company, and the balance by employees.

Life insurance, Fire, marine, and casualty insurance, Product introduction, Insurance industry, Insurance, Long distance telephone services, Long-distance telephone service, Telephone systems, Cost, Telephone System, PBX, Travelers Insurance Co.

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Venture is developing new ways to speed traffic

Article Abstract:

AT&T and Lockheed Corp agree to jointly develop technology that will reduce traffic congestion by combining Lockheed's radio transmission systems with AT&T's 'smart cards.' The new 'intelligent vehicle highway systems' would allow cars to pay tolls without stopping, alert repair vehicles to the exact location of accidents and allow video communication between cars. Components could include $100 radio receivers with special smart-card attachments. One smart card could pay for tolls, parking fees and special messaging and navigation services. Traffic congestion is growing to the point where it could cost the nation $100 billion per year in lost productivity and waste 2 billion gallons of fuel, according to Lockheed and the General Accounting Office.

Guided missiles and space vehicles, Aircraft, Product development, T, Contracts, Motor vehicles, Transportation, American Telephone and Telegraph Co., Smart cards, Intelligent vehicle-highway systems, Intelligent vehicle highway systems, Future Technologies, Cooperative Agreements, Smart Card, Lockheed Corp., LK

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