AT&T loses dismissal of lawsuit
A United States Judge rejected the request of the telecommunications company, which sought to set aside the accusation of negligence
The AT&T company lost the request to dismiss a lawsuit alleging that the company was negligent for failing to prevent the theft of $ 1.8 million in cryptocurrency from investor Seth Shapiro.
The United States District Judge, Consuelo Marshall, thus allowed the judicial process requested by Shapiro to continue its advance.
Shapiro, an Emmy-winning media technology consultant who has previously worked for companies like Disney and Showtime, filed the lawsuit against AT&T in December 2019, alleging that the company’s security flaws resulted in multiple thefts attacks.
For such attacks to occur, the participation of an employee of the telecommunications company is required. The telecommunications employee deliberately or involuntarily reassigns the victim’s account to a SIM card controlled by a malicious actor, who in turn can access the information or accounts belonging to the target.
The first attack suffered by the consultant was generated in May 2018, when a company employee observed a SIM exchange on Shapiro’s account.
“AT&T did not implement sufficient data security systems and procedures and did not supervise its own staff. Instead, it stood by while its employees used their position in the company to gain unauthorized access to Mr. Shapiro’s account. in order to steal, extort and threaten this in exchange for money,” according to the complaint from the Emmy winner.
K. Tovar
Source: Cointelegraph
