People urged to be especially wary during holiday season
Friday, Nov. 26, 1999 | 8:59 a.m.
Credit card fraud is a growing, profitable concern to the tune of $2 billion a year worldwide, according to Secret Service Agent George Mitchell in Reno.
While he called California "the fraud capital of the world," he warned that northern Nevada is far from being immune.
And the really bad guys do far more with their pilferage than line their pockets - like terrorism, arms dealing, smuggling and drug trafficking, he said.
"The World Trade Center bombing was financed by credit card fraud," he said.
Be wary when purchasing on the Internet, said Kevin Higgins of the Nevada Attorney General's Office. "Do business with a company that has an established, national reputation," he said.
But credit card fraud also happens in stores and restaurants - like a case discovered by the Washoe County sheriff's office last year and prosecuted successfully by the U.S. Attorney's office.
Shao Ziong Wu, the manager of Sumo Sushi restaurant in Incline Village, was convicted of running cards through a skimming device next to the cash register and using the numbers for purchases. Losses were estimated at $100,000-$500,000.
Consumers can lose only $50 if they report fraud within 30 days of receiving their credit card statement, said Michael Garduno, regional director for security and risk management for MasterCard International.
Also, be careful of access to credit cards and billing in mailboxes, Mitchell said. "People cruise neighborhoods and pull mail out of mailboxes."
Merchants need to report fraud to area law enforcement, said Reno police detective Sgt. Todd Shipley. Even small incidents can be linked to much larger ones.
Despite the threat of fraud, Garduno said a credit card is a safe way to shop if common-sense precautions are taken.
"It's still safer to shop on the Internet than in your local mall," he said.
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