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                              THE SYNDICATE REPORT

                         Information Transmittal No. 28
                                 (Part 2 of 2)

                           Released September 5, 1990
                                   Featuring:

                                 Editor's Note
 
                          Operation SunDevil, A Rework

                The Title Reads:  "COMPUTISTS ENDANGERED LIVES."

                 Device IDs Fone Callers, Links To dBASE Files

                     Journalist Faces New 'hacker' Charges

            Computer Student Gets Fine, Probation for Rogue Program

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                                Quick & Hot News

                          Brief Notes From The Report


                by The Sensei, Editor Syndicate Report Magazine

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EXPOSITION:                                                                TSR

   Once again, The Report accepts outside sources.  Anybody can write/provide
   information to The Syndicate Report.  Articles/Information may be provided
   through the CHAOTIC PARADISE Bulletin Board System 612.535.8106. Any info
   such as Busts, Phreaking, Hacking, Data / Telecommunications, and new
   developments on any the previous mentioned specialties will be:  accepted,
   labeled, and given full actual credit to the article/info provider(s), or
   writer(s). --

   ** All articles have been presented by me unless shown at the end of the
   article as the information provider(s), or writer(s). **
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OPERATION SUNDEVIL, A REWORK:                                   TSR (5/90)

     It happens every couple of years.  The Secret Service, FBI, or the local
police raid hacker's homes in search of a conviction or two.  Something to
scare the rest of us -- something to help clean the telephone wires.  Operation
SunDevil was on the latest sweeps of legal horror for hacks of all types:
Phreak, Code Abusers, System Hackers, Pirates, etc.

     Operation SunDevil was a very elaborate sting.  It started many months
before the actual crack-down -- perhaps consisting years worth of info.
Worse off, the recent bust from Knight Lightning, for all we know, could have
helped contribute to the bust.

     Knight Lightning's run-in with the law was an utter and complete botch-up!
(more about this...) If you haven't heard...they dropped all charges.  But I
won't go into that.  His contribution happened before his releasement.  KL
(Knight Lightning), apparently absolved vital HACKER'S information to
authorities.  The data KL gathered on hack's, known as the "Phrack Phone
Lines," and the "Phreak Lists" claimed over 700 names.  The data consisted of
first and last names, home/school/data fone numbers, group affiliations, and
any other misc data the hack might be a part.  KL gave it all up to save his
ass.

     But wouldn't you?  NO! says most hacks.  "He could have at least has it
encrypted somehow," says a famous phreak from St. Louis, MO.  "I've been busted
many times, and I've always been able to keep my composure..."

     KL was also advised by his lawyer to tape all conversations with
phreaks/hacks.  The information would be used for plea bargaining -- to help
officials gather up more hacks.  "I think that you will later find that these
guys did a lot to damage the freedom of many of us.  If that is the case, I
hope he gets burned over this AT&T E911 deal," says another well-known phreak.

     Back to Op. SunDevil.  As rumors go, the investigation lead to more than
40-50 arrests around the nation thus far.  Over 30 warrants were issued, and
many confiscations of hacker equipment, or any type of modeming/communications
equipment.  Around 20 cities were in on the operation, and over 100 agents.
The news spread like wild-fire around the majors cities such as Arizona, New
Jersey, and most of California.  College Universities were also apart of the
shooting gallery as the FBI raided dorm rooms around the country.

     The FBI and SS even went so far as to promote a fone number for people to
report "illegal" activities directly.
 
     ...more information will be released when it's available.  To better
prepare YOU!
    any and all information should be left for The Syndicate Report on Chaotic
Paradise.

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QUICK & HOT NEWS:                                                         TSR
 
                         STOCK EXCHANGE CAN BE CRACKED

    WASHINGTON - Internal security weaknesses of stock exchange computer
systems raise risks of sabotage that "could literally bring securities trading
to a halt," even though the systems are well protected against attack by
outsiders, a congressional study disclosed Tuesday.

    The study by the General Accounting Office found a number of internal
control weaknesses at the computer centers of the nation's two major stock
exchanges and the National Assn. of Securities Dealers, which oversees the
over-the-counter market.

    A related GAO study called for beefed-up security measures for the
electronic funds transfer systems used by the Federal Reserve System and most
of the nation's banks.

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                           POLICE ARREST NYC HACKERS:

     (Aug. 19): Authorities in New York City have charged 13 hackers with
illegally breaking into a computer system run by the City University of
Bellevue, Wash.  According to police, the hackers, who range in age from 14 to
32 and live in the New York City area, allegedly altered and deleted files.
 
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THE TITLE READS:  "COMPUTISTS ENDANGERED LIVES."                TSR (0/90)

     By now everyone has heard about Knight Lightning's problem with the law.
And by now, most of you should know that he was totally acquitted.  The
"sensitive" E911 program data which the LAW charged him was and always has been
for public viewing.  "You pay 13$ and AT&T sends you the information"  It's
totally in the public domain," says KL's attorney, after the court's decision to
drop all judicial action.

A GOOD SIDE TO ALL THE THIS.

     A good side to all of this?  YES!  It's perfectly clear as to what the good
side is.  KL now has the right to strike back, and strike it rich.  He even has
to choice to make his own book (Do foresee a Tom Cruise movie?).  With all the
recent busts, KL can be on easy street.  This was clearly an unprecedented
threat to the free press.

     But what of the other guy?  Oh yeah, there was another guy -- a LOD/H
member involved here.  Well, Robert Riggs pleaded guilty to invading computers
owned by Bell Southern Telephone Co. and stealing E911 code, then uploading it
to a BBS.  The only thing he's really guilty of is stupidity -- after all the
truth has been set fourth.  Riggs even planned to testify against KL during the
trial.  NOW THAT'S HACKER UNITY!

     I knew from the beginning the SS/FBI had it all wrong.  Even the media
totally screwed up the whole event!  They blew it out of the water.  Okay, at
first I thought, "OK...so they stole some sensitive Bell 911 code...let'em take
the heat."  But then I heard the whole story -- and all the different stories.
They all sounded fishy.  I've never really seen an article clearly and
accurately written about hackers.  They've always messed up the terminology,
leaving the rest of the article black from lack of truth.  Although the media
did get the best coverage on this bust.  They covered everything!  They got most
of the terminology down perfect -- probably with help from the FBI or Secret
Service.  They mentioned their handles, Phrack Magazine, and LOD/H.  Although
LOD/H is common knowledge in the real world now.  Everyone talks about them.
 
     Remember back in February when AT&T LD service went down for most of a
day, the company blamed in on a software bug, but it was really a worm --
sabotage by the Legion of Doom/Hackers.  They also lifted Unix System V.3
source code from Bell Labs and 911 maintenance code from BellSouth.  But it was
disruption of fone service that go the Secret Service involved.  Many Unix
nodes on the anarchic Usenet crabgrass network were seized by zealous agents
tracking down mailing lists.

;The Sensei, TSR Editor 1990

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DEVICE IDs FONE CALLERS, LINKS TO dBASE FILES:                 TSR (0/90)

        The Caller ID+ Plus is a DOS-based TSR program and a 2-inch square
serial adapter that works in conjunction with Caller ID (CLID).  When you get a
fone call, CLID + Plus not only identifies the telephone number of the person
who's calling, it also automatically pops up your dBASE III file on the caller,
according the Rochelle Communications.
        When the call comes in, CLID+ Plus needs at least two rings to ID the
caller and to display the dBASE III file.  Once the dBASE III file is diplayed,
two other windows also pop up:  One is a call-history file maintained by CLID+
Plus, and the other is basically an editor for notes about the caller.

THE DEVICE.  CLID+Plus measures 2 by 2 by 2 inches and has two ports: one for
your computer's serial interface, and one that's an RJ-11 fone connector.  The
software is a 30k TSR (resident) package that operates in the background on any
IBM system.

        A line-status monitor detects whether an incoming call is answered,
allowing the PC to measure the duration of the call and keep track of
unanswered calls so you have the caller's telephone number handy when you
decide to return a call.  A diagnostic and installations feature lets you
verify whether your selection of COM1 or COM2 is fitting.


;The Sensei, TSR Editor 1990
 I would like to hear from you about Caller ID (CLID).  If you have any news
or opinions about CLID, please contact me on most any BBS in the 612, or
Lunatic Labs in Calif.  The data I receive will be published in an upcoming
release of The Syndicate Report.  Thanks, -TS.

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JOURNALIST FACES NEW 'HACKER' CHARGES:                          TSR (7/90)

    Federal prosecutors dropped charges Friday against a free-lance journalist
who was arrested for allegedly trying to steal information from the *computers*
of Fox Television's tabloid show "A Current Affair," but hours later he faced
similar "computer hacking" charges in state court.

    Stuart Goldman, 44, pleaded not guilty at his arraignment in Los Angeles
Municipal Court and was released on his own recognizance.

    Goldman was arrested March 8 at his Studio City apartment, where Los
Angeles police confiscated his personal computer and floppy disks.

    The next day, federal and state officials announced that Goldman had
attempted to steal sensitive information from Fox computers in New York and Los
Angeles.

    Fox officials told authorities that someone had been trying to gain access
to their computers and that the hacker used the same computer password in both
cities.

    Goldman had worked briefly for "A Current Affair," a show that offers a mix
of gossip and news. Goldman also worked for a competing show called "Hard
Copy."

    Federal prosecutors filed an affidavit in U.S. District Court in New York
last month stating that Goldman had attempted to gain access to sensitive files
regarding news stories worked on by Fox journalists.

    Neither law enforcement nor Fox officials have said what information they
believe Goldman was seeking.

    In both cases, company officials told authorities, the hacker used the same
computer password.

    Police then traced the telephone calls used to gain entry to the Los
Angeles computer to Goldman's Moorpark Avenue apartment, Lt. Reno said.
Goldman was arrested at the apartment when his computer equipment was seized
Thursday.

    In years past, Goldman has written free-lance articles for the Calendar
section of The Los Angeles Times and for other publications, including the
National Review. The last piece he wrote for the Times--a feature on Elvis
Presley fans--appeared in January, 1985.

    In a 1988 National Review article, titled "I was a hit man for the L.A.
Times," he claimed to have written letters to the newspaper's editors under
phony names--and then responded to himself in print with more phony letters.

    John Lindsay, editor of the Times' Sunday Calendar section, said that while
he has never worked with Goldman, the free-lancer had for the past several
months been trying to sell him a story about television tabloid shows.

    "It was all very mysterious, but he said he wanted to do an inside story on
these tabloid TV shows he worked on," Lindsay said. "He said he had worked for
these two tabloid TV shows, and he wanted to do an inside story about how they
do their business."

    Lindsay, however, said he thought Goldman sounded a little strange,
especially since he initially identified himself by a different name. "It was
so weird that I just didn't want to deal with the guy," he said.

    Lindsay said Goldman made his last pitch Wednesday--the day before police
arrested him.

    Goldman recently tried to sell an inside story on so-called tabloid
television shows to the Los Angeles Times. On Friday, Goldman said the research
on his article was complete, but declined to say if he had found someone to
publish it.
    Goldman's attorney, Alan Rubin of West Los Angeles, said Friday morning
that he had persuaded the U.S. attorney's office in New York to drop the
federal charges there.

    Federal prosecutors would not comment on why the charges in New York were
dropped. Fox spokesman Dennis Petroskey also declined any comment on the case.

    Friday afternoon, the district attorney's office charged Goldman with seven
felony counts of violating the California Penal Code section prohibiting
unauthorized access to computers. Goldman used another person's access code to
gain entry to a Fox television computer at Channel 11 in Hollywood, according
to Sandi Gibbons, a spokeswoman for the district attorney's office. She said
Goldman used telephone lines to extract material from Fox computers and place
it into his home computer.

    Goldman, who has written articles for National Review magazine and the Los
Angeles Times, among other publications, faces a maximum six-year prison term
if convicted on all charges, Gibbons said.

                  :::: Information provided by Pain Hertz ::::
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COMPUTER STUDENT GETS FINE, PROBATION FOR ROGUE PROGRAM         TSR

    A computer expert who created a "worm" program that paralyzed thousands of
*computers*nationwide was placed on three years probation Friday and fined
 $10,000 for the*crime.*
     U.S. District Judge Howard Munson also ordered 25-year-old Robert Morris,
 a Cornell University graduate student, to perform 400 hours of community
 service.
       Prosecutors had asked Munson to order the maximum sentence of five years
 in prison and a $250,000 fine.
     Morris, convicted in January, did not speak at the sentencing or talk to
 reporters after the hearing. He remained grim-faced through most of the
Press (return) to continue...->
 hearing, then cracked a wide smile and hugged his mother when the sentence was
 announced.
     Morris' parents said they were pleased with the sentence.
     "We love our son, he's a great kid," Anne Morris said.
     He created the "worm" program while at Cornell University in Ithaca on
 Nov. 2, 1988. The rogue program immobilized an estimated 6,000*computers*
 linked to the Internet research system, including ones at the National
 Aeronautics and Space Administration, military bases and major universities.

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  ::::::::::::::::::::::: SYNDICATE REPORT BRIEF NOTES :::::::::::::::::::::::
 
// New Cell Fone Size of Wallet //

  Motorola has introduced the Micro TAC, a tiny telephone weighing 10.7 ounces
that industry watchers say has created a new product category - the personal
telephone, reports the January issue of Frequent Flyer magazine. Folded, it
fits loosely into a shirt pocket. Open, it has full features like 120-number
autodial memory, mute and call screening. Cost: a mere $2,995.
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// Virus Infects Census Computers //

   During Census month, A computer virus infected 350 floppy disks used to read
computerized versions of the U.S. Census Bureau's 1989 County and City Data
Book. An advisory to destroy the disks was sent out, but the problem spurred
concerns over this years 1990 data accuracy. The bureau, gearing up for an
April national count, is taking caution to check for viral infection.
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// Erotic Mix-up Occurs With 900 Numbers //

   The Federal Elections Commission approved 900 lines as a fund-raising method
in March. All the bugs are not out of the system yet. When Louisiana state Rep.
David Duke's $25 line was launched, a mix-up in messages occurred at Fourth
Media, the Atlanta-based 900-line vendor under contract to the campaign.
Instead of getting David Duke, 138 callers got a "soft porn" message.

     [ Not much of a difference in spending your money this way, anyway.]

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                     This Concludes This Transmittal No. 28
                                 (Part 2 of 2)

                          Released September 5th, 1990

                                 by The Sensei
                         Editor of The Syndicate Report
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