-Caveat Lector-

from:
http://www.aci.net/kalliste/
Click Here: <A HREF="http://www.aci.net/kalliste/">The Home Page of J. Orlin
Grabbe</A>
-----
Political Corruption


Russian Mafia Connection to US Elections


Not to worry. The flow goes both ways.

Russian émigrés living in the US and believed by authorities to have links
with organised crime have made campaign contributions to leading US
candidates and political parties in what appears to be an effort to win
political influence.

Through family members and businesses, Semyon (Sam) Kislin - identified in a
1994 internal report by the Federal Bureau of Investigation as a member of a
Russian crime syndicate - contributed $46,250 to the political campaign of
New York mayor Rudolph Giuliani, a Republican, in 1993 and 1997, election
records show.

The commodities trader also donated $8,000 to New York senator Charles
Schumer, a Democrat, last year, and contributed to several other US political
figures. The allegations against him were first publicised by the Center for
Public Integrity, the Washington-based non-profit group, earlier this week.
Mr Kislin has denied any links with organised crime.

It also emerged that Jacob Bogatin, an associate of Semyon Mogilevich, who is
himself alleged by US and UK intelligence authorities to be the head of a
Russian crime syndicate, made donations to the National Republican
Congressional Committee between 1996 and 1998.

Mr Mogilevich has denied the allegations against him.

Election records show Mr Bogatin contributed at least $2,750 to the
Republican campaign group - sometimes under the name of his company, YBM
Magnex.

The Philadelphia-based magnet manufacturer, which was founded by Mr Bogatin
with Mr Mogilevich, was raided and closed down by US authorities in May 1998.
YBM Magnex pleaded guilty to securities fraud and was fined $3m in November
1999.

These and other developments have prompted US investigators to start looking
closely at Russian assets and investments in the country, particularly in the
New York area, according to people close to the investigations.

Though the political contributions traced so far are not large, they will
fuel concerns that money from Russian organised crime could be finding its
way into the political system.

"When I was in the Department of State, from time to time we would hear of
people associated with organised crime reaching out to members of the
[Capitol] Hill," said Jonathan Winer, who until recently served as deputy
secretary of state. "The administration briefed Hill members on more than one
occasion."

Mr Winer noted that those briefed by the State Department came from both main
political parties, and on all occasions dropped contact with the figures
under suspicion.

In recent years, two Russian businessmen identified by US authorities as
having links to Russian organised crime have turned up at Democratic
fundraising events, despite being denied entry visas. Both have appeared in
photographs with President Bill Clinton and Vice-President Al Gore.

Yesterday, the office of Senator Schumer said it had performed a background
check on Mr Kislin and found nothing on him. "If any of these allegations
prove true, we will absolutely return the money," a spokesman said. Mr
Giuliani's office could not be reached for comment.
The Financial Times, December 24, 1999


Electronic Cash


More on Debit Card Fraud



Subject: Debit Card Fraud
Date: Wed, 22 Dec 1999 11:08:01 -0500
From: "George McCallum" <[EMAIL PROTECTED]>
Organization: ARM Computer Techniques Inc.
To: [EMAIL PROTECTED]

Hi Orlin:

Re: the story from the (Toronto) Globe and Mail of December 10th,
about the card-authorization terminal with the extra wires that allowed a
merchant/crook to capture the PIN as the customer entered it...

What the Globe and Mail didn't get straight (because reporters are
usually so technologically-challenged that they don't ask the right
questions) is that this 'tapping' was done, I am led to believe, on a
four-year old card-authorization terminal from a supplier called Tilsmith,
which has since been bought out, and which supplied terminals pretty much to
only one bank, CIBC (Canadian Imperial Bank of Commerce).

The issue about the Eastern European 'mafia' is correct, and the fact
that they are investing in independent gas stations is correct, too.

However, there are aspects of this story that aren't the case, any more:

More importantly than the customer's PIN, the things that the crooks got
from the old terminal were the Terminal ID, Merchant ID, and Pin-Pad ID
and the injected encryption keys.  Either they tapped the old terminal that
they got from the bank (in which case these various IDs and keys were
already injected into it, but they ran the risk that their scam would be
discovered if the bank ever had to service, upgrade, or replace the terminal),
or they managed to extract these IDs and keys from the bank's terminal and
inject them into a second terminal which they had doctored.

Either of these schemes was possible on the old Tilsmith terminal because
it didn't have a security grid around the computer guts of the terminal.  I
understand this security grid is an electrical 'fence' that causes the
encryption keys to be destroyed if the grid is breached.

For the last few years, since barely after debit cards became popular, the
banks have only been deploying card-authorization terminals with security
grids in them.

Are there still some old terminals out there?  Obviously, the answer is: yes.
But not many.  This incident will probably cause the banks to spend a
little of their record profits this year to buy enough new terminals to
replace
all that old insecure junk.

Is the system in danger of collapse because of tampering?  I don't think so.
The young mountie that shot off his mouth was probably an apocalyptarian--
there seem to be a lot of them this season.

George McCallum

ARM Computer Techniques Inc.,
Suite 202, 2088 Yonge Street,
Toronto, Canada M4S 2A3
(tel) 416-488-1757
(fax) 416-488-1758
(email) [EMAIL PROTECTED]



Sacred Days


Celebrate the Unconquered Sun


Roman soldiers loved Mithra. Party on, dude.

There remains then this explanation, which is the most probable one, and held
by most scholars in our time: the choice of December 25 was influenced by the
fact that the Romans, from the time of Emperor Aurelian (275), had celebrated
the feast of the sun god (Sol Invictus: the Unconquered Sun) on that day.
December 25 was called the "Birthday of the Sun," and great pagan religious
celebrations of the Mithras cult were held all through the empire. What was
more natural than that the Christians celebrate the birth of Him Who was the
"Light of the World" and the true "Sun of Justice" on this very day? The
popes seem to have chosen December 25 precisely for the purpose of inspiring
the people to turn from the worship of a material sun to the adoration of
Christ the Lord. This thought is indicated in various writings of
contemporary authors.
Source: Francis X. Weiser, Handbook of Christian Feasts and Customs (New
York: Harcourt, Brace and World, Inc., 1958).
-----
Aloha, He'Ping,
Om, Shalom, Salaam.
Em Hotep, Peace Be,
All My Relations.
Omnia Bona Bonis,
Adieu, Adios, Aloha.
Amen.
Roads End

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