                               ==Phrack Inc.==

                    Volume Two, Issue 12, Phile #10 of 11

             PWN PWN PWN PWN PWN PWN PWN PWN PWN PWN PWN PWN PWN
             PWN                                             PWN
             PWN    >>>>>=-*{ Phrack World News }*-=<<<<<    PWN
             PWN                 Issue XII/1                 PWN
             PWN                                             PWN
             PWN       Created, Compiled, and Written        PWN
             PWN             by Knight Lightning             PWN
             PWN                                             PWN
             PWN PWN PWN PWN PWN PWN PWN PWN PWN PWN PWN PWN PWN

Local News                                                      March 20, 1987
~~~~~~~~~~
        This issue of PWN marks the anniversary of Metal Shop Brewery.

Things are looking up.  Metal Shop Private is back and all previous members
are asked to call back.  The same passwords and logons still work and even
better, the old posts have been saved despite the hard drive crash a few
months ago.

       Phrack XIII will be released on April 1, 1987; April Fool's Day!

It features joke files, fiction files, humorous files, and of course, rag
files.  With all the seriousness of the regular issues of Phrack, this is a
chance to release some building flashes of comedy.  Please note that files for
Phrack XIII can only be submitted by members of Metal Shop Private.  This does
not apply to other issues of Phrack.  Don't miss it!

                                SummerCon 1987
                                ~~~~~~~~~~~~~~
For those that don't already know, TeleComputist Newsletter and Phrack Inc.
are sponsoring this year's big phreak gathering in St. Louis, Missouri.  As
many of you may note, St. Louis is the home of Metal Shop Private, Phrack
Inc., and TeleComputist Newsletter.  We all hope that since St. Louis is in
the middle of the country that it will be easy for people to attend.  We
extend an invitation to anyone who wants to come.  We will have a conference
room and two suites in a hotel in St. Louis.

The official date for SummerCon 1987 is June 19,20.  This is far enough into
the summer that everyone of the younger generation should be out of school and
early enough that no one has to worry about facing reality right away.  This
date has also been chosen specifically as to not interfere with the St. Louis
VP Fair (Vale Profit).

If you are going to attend SummerCon, we ask that you contact Knight
Lightning, Taran King, or Forest Ranger for more details.  The TeleComputist
Information Line is (314) 921-7938.  The names of those attending will be kept
confidential so as to not cause anyone discomfort, however we do ask that you
identify yourself at the conference by means of a name tag or some form of
identification.  Security personal is welcome to attend, but we request that
you let us know ahead of time.  If anyone, especially security personnel,
would like to speak at SummerCon please also let us know and we will schedule
you in.

:Knight Lightning
______________________________________________________________________________

Hackers Caught Using Credit Card To Buy More Equipment       February 20, 1987
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
By Ben L. Kaufman of The Cincinnati Enquirer

                       "I was uneasy about the pickup."

Two young "hackers" in Milford using an electronic bulletin board to get
stolen credit card numbers and buy hardware to expand their computers.  Now
they're in big trouble because unauthorized use of a credit card is a federal
offense and the Secret Service caught them.  "Computer-aided credit card fraud
is increasingly common, said special agent in charge, James T. Christian on
Tuesday, "but using the filched name and number to enhance computer clout was
a unique touch."

The two youths had a $1,300 order sent to an abandoned house on Ohio 131E,
Christian said, but when they picked it up an agent was waiting with the UPS
deliveryman.

John Martin Howard, 21, 5788 Meadowview Drive, Milford was cited before U.S.
magistrate J. Vincent Aug Jr., who accepted his plead to guilty Monday and
released him on his promise to return when summoned.

"I was uneasy about the pickup," Howard recalled in a telephone interview. The
risk of getting caught "was in the back of my mind."  And it was an awful
moment when the Secret Service agent confronted him and his juvenile buddy,
Howard added.  "I think they were surprised," Christian said.  Howard was
charged with attempted use of an unauthorized credit card.  His juvenile
partner -- who refused to comment Tuesday -- was turned over to his parents.

Christian said the youths ordered equipment from Computer-Ability in suburban
Milwaukee paying with the stolen credit card.  A sharp-eyed store employee
noted purchases on that credit card were coming in from all over the country
and called the Secret Service.  Within two weeks the trap in Milford was set.

Howard said his young friend knew the Cincinnatian who led them to the
bulletin board filled with the names and the numbers of stolen credit cards.
"We got it from somebody who got it from somebody who got it from somebody on
the east coast," Howard recalled.  That new acquaintance also boasted of using
stolen card numbers from electronic bulletin boards to buy expensive
accessories and reselling them locally at bargain process.

He and his friend used the stolen credit card to upgrade his Atari 800 system,
Howard said.  "We ordered a bunch of hardware to use with it."  In addition to
the purchase that drew the secret service to them, Howard said they "ordered
other stuff, but before we received anything, we were picked up."  Howard said
he'd had the Atari about two years and was getting bored with it and home
computers in general.

He had taken computer programming for eight months after high school, he said,
but hadn't used it.  He would like to try computer-aided design and
engineering, but right now, he's working in a pizza parlor.  Christian said
Howard's parents had been enthusiastic about his computer interests and
friends who shared them.  "They though it would keep them out of trouble."

Assistant U.S. attorney Kathleen Brinkman and Christian said the Cincinnati
area investigation was continuing and numerous juveniles, some quite young,
may be involved.
                              Thanks to Grey Elf

             Re-typed for PWN into lowercase by Knight Lightning
______________________________________________________________________________

Hang On...  Phone Rates Are Falling Again!                          March 1987
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
>From Changing Times Magazine March 1987 Issue

No news that long-distance rates are still headed down, but now local rates
are poised to follow, at least in some areas.

Competing long-distance carriers have already been forced to react to AT&T's
January rate cut, which averaged 11.2%, with cuts of their own.  Now the
Federal Communications Commission [FCC] may propose that an additional $1 or
$2 be added to the subscribers line charge, the $2-a-month access charge that
every residential customer pays.  If that happens it would compensate.

Since AT&T's divestiture in January 1984, the telephone services component of
the consumer price index has risen 17.4%, reflecting a 36.7% increase in local
rates at the same time long-distance charges were falling.  But price
increases for overall service have moderated each year, falling 2.7% in 1986
from 4.7% in 1985 and 9.2% in 1984.  That trend should continue as local rates
stabilize and even fall.  Wisconsin and Vermont, for example, have ordered
local companies to make refunds, and a number of states - New York,
Pennsylvania, Washington - are considering lowering rates to reflect the
improved financial position of local phone companies.  Those companies will
benefit from tax reform, and lower inflation and interest rates have resulted
in lower expenses in several other areas.

Things are not looking good for some of AT&T's competitors in the long
distance business, however.  Forced to follow AT&T's rate cuts, both MCI and
US Sprint are hard-pressed financially, and analysts don't rule out the
possibility that one or both could get out of the long-distance business,
potentially leaving AT&T a monopoly again.  But that would be "politically
unacceptable," says analyst Charles Nichols of E.F. Hutton.  Some
alternatives:  allowing regional phone companies to enter the long-distance
business or allowing AT&T to keep more of the profits it earns from increased
efficiency instead of forcing the company to cut rates.  That would take some
pressure off competitors.

                          Special Thanks to Stingray
______________________________________________________________________________

Police Arrest Computer "Hacker" Suspect                         March 15, 1987
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
>From the St. Louis Post-Dispatch

   "MCI told police it was losing $2.7 million a month to such 'hackers.'"

A computer software engineer [Robert Wong] has been arrested at his home in
Maryland Heights, Missouri on suspicion of trying to get into the computer
system of MCI Telecommunications Corporation.

The case is the fourth in this area involving computer "hackers" who have
tried in recent months to get into MCI's computer system, police say.

Detective John Wachter of the Maryland Heights Police Department said the
department would seek a warrant today charging the suspect with "tampering
with computer users," a felony.

The charge is being sought under a state law enacted last year to deal with
hackers - people who try illegally to tap into other computer systems.

The suspect is Robert Wong, 23, of the 2000 block of Maverick Drive, Maryland
Heights, Missouri. Police tracked down Wong by a court-sanctioned "trap" on
his phone after MCI learned that someone was trying to tap into its
long-distance lines.

In a written statement to police, Wong said he "came across" MCI's programs
and access codes.  He said he was "amazed" when he got into the system. "I
know it was illegal, but the urge of experimenting was too great," he told
police.

                         Typed For PWN by Taran King
______________________________________________________________________________

PWN Quicknotes
~~~~~~~~~~~~~~
In upcoming months P-80 will be moved from her ole TRS Model 1 to an IBM PC
compatible.  In addition to a boost in storage capacity (amount still
undecided), P-80 will be adding a new "user to user" direct file/program
transfer thus allowing the membership the ability to privately send text or
programs directly to another user.  There will also be the ability to forward
a message with text/program attached) to another user after receipt. (2/26/87)

                               Information from
              <S><C><A><N> <M><A><N> & P-80 Information Systems
------------------------------------------------------------------------------
If you consider yourself a phreaker or a hacker in any way, shape or form,
then read on!  The Telecom Security Group is sponsoring the first on-line
hack/phreak survey.  It consists of about 30 minutes work of answering
questions (or until you want to stop) that pertain to phreaking, hacking, the
security, and the attitudes surrounding it all.

You are allowed to identify yourself during the survey if you wish or you may
remain totally anonymous.  It's really just the general answers that will
count.  Call now:  914-564-6648 (914-LOG-ON-IT) and type SURVEY at the main
prompt to get the survey.  Thanks for your involvement, and do spread the word
to any board that considers itself phreak/hack oriented.

                   Information by Taran King & Tuc (2/6/87)
------------------------------------------------------------------------------
Telecommunications giant AT&T is lying in its advertisements that claim it has
an exclusive toll-free number for foreign clients to reach U.S. businesses,
its competitor says in a lawsuit.

Worldwide 800 Services Inc. says that it has filed suit against AT&T with the
FCC, charging AT&T with false advertising.  The ads by AT&T claim that it can
provide a global telephone network that would allow clients in foreign
countries to call a toll-free number to reach businesses in the United States.
AT&T claimed that "You won't find this type of service anywhere else."

Worldwide 800 says that their company provides toll-free service from any
foreign city to the U.S., whereas AT&T can only provide toll-free service on a
countrywide basis.  An AT&T spokeswoman denied all of the charges, stating
that the advertisement in question was neither fraudulent or deceptive.  If
Worldwide 800 Services wins the case, they state that they will demand
corrective advertising and seek monetary damages.

                    Information from Lucifer 666 (3/1/87)
______________________________________________________________________________
