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THE SYNDICATE REPORT
Information Transmittal No. 15
(Part 1)
Released September 21, 1987
Featuring:
New Editors In Phrack Inc. (pwn.xv i 9\12)
Bank Couples PCs, Micro Card to Increase Security (i.wld 7\5)
CompuSystems Mail-Order Firm Under Investigations for Fraud (i.wld 7\17)
LightNet Announces Major Expansion To West Coast (bps 7\22)
FCC Leans to Price-Cap Regulation; US West Approves Proposal (n.wk 8\28
Meter Reader on Phone...Literally (n.wk 9\13)
Tech Access Network Speeds I&R at Bell COs (otsd.plnt 9\15)
Cable TV Ban Eyed (n.wk 9\19)
$5 Billion Dollar Contract Out For New Government Phone System (bs.wk 7\11)
by The Sensei
===========================================================================
Exposition:
Once again, TSReport now excepts outside sources. Anyone can write/provide
information to the Syndicate Report. The Syndicate Report is also altering
format. Rather than concentrating mainly on BELL orientated information,
the Syndicate Report now has a more broad interest. Thus, TSR now handles
all types of news gatherings. All articles have been presented by me
unless shown at the end of the article as the information provider(s). TSR
Transfer Line I 612-829-8509 ------ TSR Transfer Line II 612-829-8508
TSR NewsLine ------- 612-829-8503/04
============================================================================
Author's Note:
Welcome Syndicate Report Readers. Many different things are happening.
As most of you know, the Phreak World is slower than ever. This is of course
due to the rash happenings of busts. Users are finally realizings that "HEY, I
COULD BE CAUGHT." Thus, many Phreaks and Hackers are laying low only coming
online when necessary. The main reasons for getting caught appear to be abusing
access codes to MCI/Sprint/ITT/Metro or whatever your service. There are
alternatives. It's up to you make think about them and act.
I just recently released a seperate file on 3rd Party Fraud and VMS's.
This is one alternative to using big business company codes. This file may be
found on TSR Transfer Line II 8508 (see above).
Keep in mind, that this transmittal has a second part to it.
============================================================================
NEW EDITORS IN PHRACK INC.:
Original Founders of Phrack Inc.: Knight Lightning and Taran King, are
attending college currently. Thus, this note was sent from Knight Lightning
in Phrack World News Introduction Issue XV...
"TK and KL have put the editorship of Phrack in the hands of Elric of
Imrryr and Sir Francis Drake. SFD is primarily responsible for PWN." -As of yet
we have no 'Official Phrack BBS.'
============================================================================
BANK COUPLES PCs, MICRO CARD TO INCREASE SECURITY:
A Canadian bank is now using microchip-bearing "smart cards" to access
PCs in order to increase service and security while strengthening its
competitive edge.
These credit card style items carry a nickel-size chip in one corner and
can be decorated with company logos or employee photos. The memory chip can
store passwords and codes that trigger software sequences, which in turn allow
customers or eomployees access to varying levels of confidential data.
Applications with PCs have passed the test phase and are being
implemented in government, health care, financial services, and banking
industries.
With assets o an estimated 99.6$ billion, the Royal Bank of Canadian
distributes its own brand of smart card to customers and bank employees. As
Canada's largest bank and the sixth largest in North America, the Royal Bank
provides electronic cash management services to an undisclosed number of
Canadian firms, U.S.-owned subsidiaries based in central Canada, and multi-
national companies.
Since September '85, the Royal Bank Secutrity Card has been giving
customers access to financial data from specially equipped remote PCs. A user
inserts the smart card into card reader that's attached to a PC via a serial
port. The chip on the card contains some access codes, while other codes are
stored in the PC. The user uses the keybaord to enter a self-defined personal
ID Number to access the system. The card contrains needed information including
log-on routines and other software sequences to move quickly to the level and
type of data needed.
For bank employees and customers, the smart card specifies who has access
to what kind of data files during what time. A growing number of smaller
businesses are turning to smart cards as a way to integrate the electronic
office. PCs with smart card capabilities give owners and managers time to devote
to the mainstream of their businesses.
Using cards manufactured by Micro Card Technologies Inc. of Dallas, the
Royal Bank finds the card completely secure from tampering. It also
strengthens back systems that prevent illegal entry to the mainframe.
============================================================================
COMPUSYSTEMS MAIL-ORDER FIRM UNDER INVESTIGATION FOR FRAUD:
WARNING: If you placed an order to a computer mail-order firm called
Compusystems Co. of Beverly Hills, CA, you may have been the victim of fraud.
Government investigators are looking for a man who placed an apparently
fraudulent advertisement in InfoWorld and other magazines. A federal
Investigator said Compusystems Co. is apparently not a mail-order operation,
but rather a "bust-out scam." The checks sent to the firm to buy products will
be cashed, but no merchandise will be sent. The ad on page 12 of the August 10
issue of InfoWorld was placed by aman calling himself Robert McConihay.
McConihay sent credit document to InfoWorld's advertising Dept., stating that
his company was founded in July 1979. An "audited" financial report and bank
records, based on references fromfirms that apparently never existed, showed
the company to have assets of over 6$ million, including 4.9$ million in
inventory. The credit department at IDG, InfoWorld's parent company, approved
the credit application.
What wasn't immediately apparent was that all the records were fakes.
The bank's phone number and a business reference rang to special lines used by
the advertiser, investigators said. In effect, he "played banker" and issued
his own net worth statement, said on investigator. He confirmed that
Compusystem's credit was clean. He "played CPA" and verified his net worth.
Once the ad appeared, the phone lines were disconnected.
:::::::::::::Information provided by InfoWorld Weekly Magazine::::::::::::::
============================================================================
LIGHTNET ANNOUNCES MAJOR EXPANSION TO WEST COAST:
LIGHTNET, one of the nation's largest fiber optic telecommunications
companies, announced it will begin providing coast-to-coast service in September
through an interconnect agreement with Williams Telecommunications Co.
(WilTel).
Under the terms of the agreement, the two companies will interconnect facilities
in Chicago and New Orleans to provide their respective customers with access to
a 10,000-mile coast-to-coast network.
According to Arthur E. Parsons, president and CEO of LIGHTNET, the agreement
represents a major strategic move for LIGHTNET which has been committed to
expanding service to the West Coast.
"LIGHTNET customers will now be able to access 27 cities west of the Mississippi
along WilTel's routes including Minneapolis; Omaha; Kansas City;
St. Louis; Tulsa; Oklahoma City; Dallas; Houston; Denver; Salt Lake City; Los
Angeles; and many others," said Parsons.
WilTel will also be able to access cities on the LIGHTNET network. LIGHTNET
currently serves 38 major metropolitan markets east of the Mississippi through
a 5,000-mile fiber optic network which it owns and operates. WilTel's 5,000-
mile fiber optic network reaches more than 40 cities west of the Mississippi.
WilTel, formed in 1985, is unique in its use of decommissioned transmission
pipelines as conduits, and burial of lines near operating pipelines. The company
is a subsidiary of Tulsa-based Williams Telecommunications Group Inc.
(WTG). WTG is a subsidiary of The Willi
ams Cos. Inc. The network is considered to be one of the most secure and highly
protected fiber optic systems in the country.
LIGHTNET, formed in 1983, is owned by subsidiaries of CSX Corp. and Southern
New England Telecommunications (SNET). The company provides interstate private
line telecommunications service to other common carriers (OCC's) such as US
Sprint, businesses and government agencies for voice, data, and video
communications.
:::::::::::::::::Information Provided by BBS Press Service::::::::::::::::::
============================================================================
FC ================================\===========================================
THE SYNDICATE REPORT
Information Transmittal No. 15
(Part 2)
Released September 21, 1987
Featuring:
Exposition / Author's Note (sr 9\20;30-48)
UNIX System Newsletter (i.wld 9\6;71)
Fiber Optics In The Home (bs.wk 9\11;83)
More Global Clout For MCI (bs.wk 9\14;118)
Horse-Racing Fanatics Bet Via Modem (bs.wk 9\14;131)
The IBM-MCI Partnership Fanally Takes Off (bs.wk 9\20;154)
Syndicate Report Brief Notes (digest 9\17;175)
by The Sensei
===========================================================================
Exposition:
TSR
Once again, TSReport now excepts outside sources. Anyone can write/provide
information to The Syndicate Report. Articles/Information may be provided
through TSR Newsline (see below), via voice VMS System. Any info such as
Busts, Phreaking, Hacking, Data / TeleCommunications, and new developments
on any the previous mentioned specialities will be: accepted, labeled, and
given full actual credit by the article/info provider(s), or writer(s). --
All articles have been presented by me unless shown at the end of the
article as the information provider(s), or writer(s).
TSR Transfer Line I 612 829-8509 ------ TSR Transfer Line II 612 829-8508
TSR Newsline 612 829-8503
============================================================================
Author's Note: TSR
Hello and WELCOME to 'Part 2' of The Syndicate Report Transmittal #15/2.
Part 2 was brought on for many reasons. The amount of news this month, and the
latter part of August brought a lot of extra articles and the such. I'd like to
thank people for submitting news/articles, it helps.
I've also set up another VMS system. This is not dial direct such as the
above VMS's. The number is 612-831-0888. When you hear the female instructions
voice, simply dial: 404. You will then hear my voice with instructions on
leaving name and number etc. Retrieval of messages is 90% faster on this VMS
since there is an online pager built in. So if there is a need to contact me
quick, leave your message with contacting information and the VMS will page me
and transmit your message. Use this only for emergency type situations. The
pager can be turned off by me. -Thank you.
Personal Comment: As most of you know, LOD/H is publishing Technical
Journals. I recommend reading and storing the Tech. Journals for they prove to
be good for past and future reference. LOD/H Technical Journals may be
downloaded from any of the various systems reviewed at the end of this Report.
============================================================================
UNIX SYSTEM NEWSLETTER: TSR
Usr/Group, the International Association fo Unix Systems Users, began
publishing a beweekly newsletter last month to cover the Unix Systems
Marketplace.
The Usr/Digest summarizes product introductions and enhancements,
corporate announcements, industry projections, and other time-sensative events
that relate specifically to the Unix OS.
============================================================================
FIBER OPTICS IN THE HOME: TSR
Like many real estate developers, packaged-goods poineer Jeno F.
Paulucci, the founder of both Jeno's Inc. and Chung King, is betting big on
newfangled telecommunications system. He thinks tha fiber-optic cable will help
him lure businesses to what he envisions as a 3,500 acre, $1 billion "city of
the future" just outside Orlando. (Sounds like my type of city -- but not along
with the newfangled security systems.) But in a new twist, Paulucci's Heathrow
Development Co. is teaming up with Southern Bell and Northen Telcom to take
fiber optic-cable one step further than it has gone before -- directly into the
subscribers' homes.
Eventually, that partnership will allow the first 250 residents moving
into Heathrow next year to enjoy the benefitsof cable TV, movie rentals,
security and energy-management systems, computerized data, and phone service
through a single telecommunications line.
Other U.S. phone companies also are plunging into residential trials with
optical-cable. American Telephone & Telegraph and southwestern Bell are
teaming up on a pilot project involving 100 homes in Leewood, Kan., while GTE
has request regulatory aproval to wire more than 5,000 homes in Cerritos,
outside Los Angeles.
"These are the first serious experiments in the U.S.," says John P.
Ryna, manager of the fiber-optics group at Electronicast Corp., a San Mateo
(Calif.) markey resercher. Ryan thinks the home market for fiber-optics
technology is poised to take off early in the next decade. He figures some
900$ million worth of fiber-otic cable and equipment wil be sold to regional
phone comanies this year, though almost exclusively for business applications.
But by 1995, Ryan anticipates residential sales could account for 75% of a
market worth some 4$ billion. "Ultimately, these trials will drive the
technology," he says. "It's where the exonomics will be sorted out."
============================================================================
MORE GLOBAL CLOUT FOR MCI: TSR
It was the right deal at the right price. MCI Communications Corp.
announced on Sept. 3 that it wil buy telex giant RCA Global Communications Inc.
from General Electric Co. for 160$ million. While newer communications services
are supplanting telex, MCI seems to have gotten a bargain. It picked up a crack
engineering staff and a host of medium-size business customers. But the biggest
value may be Globecom's world presence: MCI's share of the international data
transmission business will jump to about 45% from roughly 20%, giving MCI more
clout in future negotiations with foreign governments.
============================================================================
HORSE-RACING FANATICS BET VIA MODEM:
TSR
More then 360,000 horse-racing fanatics have special accounts for
placing telephone bets with the Royal Hong Kong Jockey Club. But on busy race
days the phone lines get jammed -- even with 1,600 operators on duty. To cope,
the Hong Kong Club is buying handheld portable betting terminals, so members can
bypass the operators and post their bets, via modem, directly to the club's
computer network. The "portabet" terminals were developed jointly by Kiel Corp.
in Amherst, N.H., and Varitronix Ltd. of Hong Kong, which will be the actual
manufacturing. After a test period next spring, the Jockey Club hopes to offer
the units to as many as 100,000 bettors for less than 100$ each.
Allowing outsiders to dial directly to the compuer will present hazards.
No doubt some horse-happy hackers will try to place bets from their own
comptuers, evesdrop on expert bettors, alter bets, or otherwise tap into the
7$ million that flows in dialy via phone bets. To foil them, the Jockey Club has
dired several other U.S. companies, including San Diego's International
Totalizator Systems, to develop security far more tamperproof than any
home-banking system no in use.
============================================================================
THE IBM-MCI PARTNERSHIP FINALLY TAKES OFF: TSR
When International Business Machines Corp. bought a 16% share of MCI
Communications Corp. in early. in early 1986, it looked as if American Telephone
& Telegraph Co. was in for some tough competition. Its chief rival in the
long-distance business had teamed up with the leading computer maker, and
together they were pithcing network services to major corporations. But they
never seemed to get anywhere -- until now.
On Sept. 1 the MCI-IBM team landed its first big customer: United
Airlines Inc. The contract, valued at more then 10$ million, will increase MCI's
share of United's long-distance phone business to 20% from 5%, the airline says.
AT&T will stil provide the rest. IBM's contribution is NetView, a system that
will let United route its own voice and data traffic -- both internally and to
the MCI network. This gives United control of what was done by an outside
carrier. United, a longtime IBM customer, was also one of the first to place big
orders for IBM's 9370 minicomputers and PS/2 personal computers.
============================================================================
SYNDICATE REPORT BRIEF NOTES: TSR
A computer hacker was apprehended recently for gaining access to Pacific
Northwestern Bell data banks, with information he gathered by raiding dumpters
outside CO buildings. The incident promptly reminded PNB Officials to remind
employees to put discarded records that contain priotary information in boxes
destined for shredding.
:::::::::::::::::Information Provided by Silent Assault 612:::::::::::::::::
----------------------------------------------------------------------------
MCI is planning to replace the 5 Digit Access Code Ports with cards and
advanced digit coding. Rumor length is 8 digits. The move was brought upon by
excessive fraud. MCI plans to have the new format effective by the end of the
year 1988.
::::::::::::::::::::::::Information Provider Unknown::::::::::::::::::::::::
----------------------------------------------------------------------------
WARNING -- For Hackers of State University New York/St. Francis.
Security has been stepped up recently, according to NY Times. Apparently, New
York State Police caught Lebanon Terrorists using the mainframe to do illegal
dealings. Officials have been scanning the accounts for content. 1 of the 3
Terrorists went by the name of Haidar Dhanas. An Electrical Engineering Dept.
Chairman stated, "Given the security system around here I am not very suprised
that someone used our Labs at will."
Officials also recovered information on stolen military hardware, 15,000$
worth of video recorders, TVs, and microwaves apparently being bought with
stolen credit cards.
:::::::::::::::::::::Information Provided by Chameleion:::::::::::::::::::::
----------------------------------------------------------------------------
Those of you that don't know, I've produced a new file. It was released
on September 7th '87. The file was titled: 3rd Party Fraud and Voice Mail
Systems. Since Voice Mail Systems are becoming so common, there had to be
another advantage to them, rather than leaving message remotely with PWs/Codes
and the like. This file introduces you to another use for VMS's. I'm thinking of
setting out a 'Part 2' for the 3rd Party Fraud/VMS file, since new ideas and
developments on VMS's have recently came to my attention. Expect Part 2. and
Enjoy The Syndicate Report. -The Sensei / TSR
----------------------------------------------------------------------------
301 Area -- Freeworld // Private is an official Syndicate Report sponsor
BBS. The system operator is Major Havoc, and CoOp is Disk Jockey. The system
runs from 300 to 9600 Baud. It has a remote AE line also in the 301 Area, ran
by The Rodent. Both systems offer the best in professional telecommunications.
Phrack Inc. Newsletters, LOD/H Technical Journals, Misc. Philes, and complete
TeleCom SubBoards are also featured on Freeworld // Private.
Freeworld // Private, see below \ Freeworld // Transfer System :: 301-337-2194
----------------------------------------------------------------------------
TSR will accept additional sponsor/support
Systems. If you have an interest in the Report, and wish to provide support to
TSR -- Leave your BBS number and any other information to TSR VMS Lines listed
above.
================================\===========================================
Brewery 314-394-8259 : Freeworld // 301-668-7657 : Lunatic Labs 612-645-7132
Realm of Reality 612-420-6486 : Osuny* 914-725-4060 : Exec. Inn 915-581-5145
============================================================================
This concludes this Transmittal No. 15
(Part 2)
by The Sensei of The Syndicate Report
Released September 21st, 1987
============================================================================
[Mother Earth BBS]