Discussion Week 4 - CIS170

White Collar Crimes

Describe the main similarities and differences between corporate espionage offenders who are so-called “insiders” and those who are so-called “outsiders”. In your discussion, include the main effects, incidence of, and potential costs associated with each type of corporate espionage.

The main similarities between “insiders” and outsiders are:

1. Goal is to gain access to proprietary information
2. Both need access to the workplace
3. Both need passwords
4. Physical intrusion into the computer room is needed
5. Theft of business secrets are priority
6. Both are acts of sabotage
7. Computer and Internet are used
8. Both use malware to compromise a computer or database system
9. Both visually steal passwords
10. Both uses spies
11. No loyalty
12. Financial gain is the motivator

The main differences between “insiders” and outsiders are

1. Insiders do not use a patsy
2. Outsiders sometimes use a patsy
3. Outsiders are not affiliated with target
4. Insiders are affiliated with target
5. Outsiders have the ability to hack in
6. Insiders don’t have to hack in
7. Insiders have the ability to preview information
8. Outsiders hack in and seize information without preview

As with any illegal intrusion there are costs and they include the securing of databases and computerized information to save information and halt intrusions, devise different methodology to access records, securing of entry into work place to prevent access to computer section and tampering, back-up plan to counter compromised situations. The main effects of such activities are lack of trust between clients and businesses, loss of reputation, stigma of unreliability, loss of business partners, reduced developments and expansions and investment ability, compromised integrity, business insurance escalates, shut down of business and disability to stay competitive, etc.

The potential costs are incalculable since it depends on the amount of damage that has been done. Sometimes the vulnerability of the target has been compromised severely and destroyed without a chance to facilitate a counter or back-up to continue operation. The amounts of financial damage could range from thousands to billions depending on the size of the business or target with a loss of associates.

From the e-Activity, identify one to two (1-2) types or incident(s) of the white collar crime that you have selected. Next, explain the primary manner in which the incident(s) that you have identified fit into the category of white collar crime.•

Bank Fraud
Computer Fraud

Both of these are White Collar Crimes because they are not traditional “street crimes”. Bank Fraud would be classified as an “insider” in corporate espionage because of the legitimate access to records and monies whereas Computer Fraud is classified as an “outsider” in corporate espionage with access due to illegal hacking and intrusion into the computer and database.

Reply to co-student #1

I agree with all your points about Insiders and Outsiders. If both could be apprehended and stalled out then businesses would be safer with costs down and enabled to develop and expand more. Possible "wipe out" is what comes to mind...no more competition. It is frightening to know people are this unscrupulous.

Thank you.

Felicia

Reply to co-student #2

I agree that Insiders are the ones with authorized entry and that they are after one thing and that is theft, destruction and malicious intent. Putting a stooge (patsy) in is usually what happens because they have no concern for the company just the dividends they can get. Outsiders put the "H" in hacking and hate because they are bent on destruction and gaining money at all costs.

Computer and Internet crime is so prevalent and increasing steadily with the additional use of computers and new technology that it is almost like entering a computerized jungle with danger zones everywhere that could destroy you at any time.

Credit Card and Application Fraud costs are one of the reasons businesses are suffering because both are done with control taken from both the consumer (victim) and business (pigeon).

Thank you.

Felicia