Entrepreneur Michael Turpin (Michael Terpin), founder of the decentralized network of investors BitAngels, has filed a lawsuit against the world’s largest telecommunications company AT&T, accusing it of lack of proper protection of personal data, which led to the theft by hackers of cryptosepalum Turpin in the amount of $24 million.
In the statement of claim filed by the law firm Greenberg Glasker of Los Angeles on behalf of Turpin, the entrepreneur declares that employees of AT&T was involved in fraud SIM card customers. The scheme of this fraud is simple: attackers are turning to mobile operators, posing as owners of a SIM card, and are asked to provide their supposedly lost data. Using this information, fraudsters can gain access to the accounts of victims to various services, including, for cryptocurrency wallets.
According to the lawsuit, purse Turpin was hacked twice in seven months. Telecommunications company accused of inaction and lack of attempts to improve security measures of customers ‘ personal data, even after it became known about the collusion of some officers with the criminals. Lawyers argue that incidents like the story of Turpin, there were many, from which it follows that the employees of the company gave hackers access to confidential information, bypassing of security procedures. This lawsuit is not the first dig at AT&T: the company has previously been accused of insufficient protection of its customers.
“In the recent incidents of law enforcement bodies confirm receipt by staff AT&T profit from communication with criminals and fraud with SIM cards,” reads the statement.
Turpin demands $23.8 million in damages and an additional $200 million punitive damages. He believes that the acceptance of digital currency is impossible as long as employees telephone companies provide hackers the unlawful access to critical customer information.
Now AT&T is disputing the charges and is awaiting trial.
Unfortunately, the problems of protection of personal data of the owners of cryptocurrency savings occur quite often. For example, in June, the employee of South Korean crypto currency exchange Bitkoex made accidental data leakage 19 users, jeopardizing their assets for about $620 000.