In what could be a precedent-setting case, Wired: Threat Level reports that the People’s United Bank in Maine has agreed, per a court ruling finding it had inadequate security, to pay $345,000 to reimburse Patco Construction Company, one of its clients whose electronic bank account was accessed without authorization in 2009, after hackers installed spyware on Patco’s computers to gain the login credentials. The New York Times reported on Patco’s case as part of a larger story on the need for hacking insurance in June. At that time, Patco owner Mark Patterson said:
“Our bank had no alarms to say, hey, over five consecutive nights, Patco’s wiring money all over the country — to California, Florida, places we don’t normally send money, and definitely not from an I.P. address outside the U.S.”
It seems the courts agreed.
(H/T: Jeffrey Carr)
