Hackers strike at 'soft target' small firms

Online criminals are increasingly concentrating on "soft target" small and medium-sized firms, the Financial Services Authority (FSA) has warned.

The organisation investigated 18 financial firms as part of a review of security and found that, while the large financial institutions had made progress with online security, smaller firms were falling behind.

"Hackers and fraudsters are refining and improving their techniques as we speak," said Philip Robinson, financial crime sector leader at the FSA.

"Having been the target of criminals in recent times, via the internet and other technologies, the major banks tend to have strong defences in place.

"But there is no room for complacency and criminals will seek to exploit vulnerable points where they can find them, including in other sectors or smaller firms."

The financial watchdog also found evidence of criminal gangs trying to get operatives recruited into financial institutions to help with fraud from the inside.

The FSA encouraged firms to vet staff applications thoroughly, and to take precautions against identity theft from insiders.

Companies are also advised to monitor technologies like instant messaging, and manage any staff use of USB keys or portable hard drives.

"For organisations not to take action to prevent security breaches is inexcusable, especially as it is simple and cost effective to install major hurdles to deter fraudsters," said Jackie Groves, managing director at security firm Utimaco Safeware.

"Using mobile technology as an example, it is simple to encrypt laptops, PDAs, smartphones, etc, or to put in place strong authentication which prevents these devices being attacked for the data they contain (passwords, login credentials, credit card details) whilst preventing them becoming a bridge onto a network."

See also:

Microsoft re-releases security patch

Better safe than sorry  17 Nov 2004

Applications are the next hacker target

Has someone sold you a lemon?  17 Nov 2004

UK business running scared

Survey reveals a high percentage of firms feel vulnerable to IT security attacks  15 Nov 2004

Ten SP2 flaws leave XP users open to hackers

Millions at risk from 'silent and remote' attacks, claims security firm  11 Nov 2004

Security tops UK business agenda, says CBI

97 per cent of bosses rate security a matter of serious concern  08 Nov 2004

SME Business Centre

Smaller businesses want technology to help them punch above their weight in a global market where their main competitor could be on the other side of the world  22 Sep 2004

Security

The latest wave of cyber-crimes and acts of vandalism have demonstrated once again that many systems are still vulnerable to attack.  15 Apr 2004

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