Posts with «society & culture» label

Apple Store employees in St. Louis file for a union election

A group of Apple Store employees in St. Louis, Missouri has filed for a union election. On Wednesday, the International Association of Machinists and Aerospace Workers (IAM), the union that hopes to represent the workers, said it filed a petition with the National Labor Relations Board to hold a unionization vote. IAM says it hopes to represent about 82 employees in the effort.

The union previously filed a complaint with the NLRB accusing Apple of subjecting it workers to captive audience meetings where management presented anti-union talking points. In June, IAM helped employees at the company’s Towson Town Center location in Maryland become the first Apple Store union in the US to unionize.

Apple did not immediately respond to Engadget’s request for comment. The petition comes as more of the company’s retail workers look to organize their workplace. Earlier this month, Apple Store employees in Glasgow overwhelmingly voted in favor of joining the GMB Union. In doing so, Apple Glasgow is now on track to form the first unionized Apple Store in the United Kingdom. Stateside, the company has so far seen two retail locations vote to unionize, with a handful more working to organize. Employees at those stores have accused the company of employing union-busting tactics, including limiting access to pro-union fliers. In the case of Towson Town Center, organizers say the company is also withholding new benefits from union members.

FBI reportedly considered using Pegasus spyware in criminal investigations

As recently as early last year, the Federal Bureau of Investigation was considering using NSO Group’s infamous Pegasus spyware in criminal investigations, reports The New York Times. Between late 2020 and early 2021, agency officials were in the “advanced” stages of developing plans to brief FBI leadership on the software, according to internal bureau documents and court records seen by The Times. Those documents also reveal the bureau had developed guidelines for federal prosecutors detailing how the FBI’s use of Pegasus would need to be disclosed during court cases.

Based on the documents, it’s unclear if the FBI had considered using the spyware against American citizens. Earlier this year, The Times found that the agency had tested Phantom, a version of Pegasus that can target phones with US numbers.

By July 2021, the FBI eventually decided not to use Pegasus in criminal investigations. That’s the same month that The Washington Post published an investigation that claimed the software had been used to compromise the phones of two women close to murdered Saudi journalist Jamal Khashoggi. A few months later, the US placed Pegasus creator NSO Group on the Commerce Department’s entity list, a designation that prevents US companies from conducting business with the firm. Despite the decision not to use Pegasus, the FBI indicated it remains open to using spyware in the future.

“Just because the FBI ultimately decided not to deploy the tool in support of criminal investigations does not mean it would not test, evaluate and potentially deploy other similar tools for gaining access to encrypted communications used by criminals,” states a legal briefing filed by the FBI last month.

The documents appear to present a different picture of the agency’s interest in Pegasus than the one FBI Director Chris Wray shared with Congress during a closed-doors hearing this past December. “If you mean have we used it in any of our investigations to collect or target somebody, the answer is - as I’m assured - no,” he said in response to a question from Senator Ron Wyden. “The reason why I hedge, and I want to be transparent, that we have acquired some of their tools for research and development. In other words, to be able to figure out how bad guys could use it, for example.”

Alleged LockBit ransomware gang member arrested in Canada

Authorities in Canada have arrested an alleged member of the LockBit ransomware gang, according to the Department of Justice. Mikhail Vasiliev, a dual Russian-Canadian citizen, is awaiting extradition to the US, where he is charged with conspiracy to intentionally damage protected computers and to transmit ransom demands. Vasiliev faces a prison sentence of up to five years and a fine of up to $250,000 if he is convicted.

According to the complaint, the LockBit ransomware first emerged around January 2020, and the FBI has been investigating those behind it since March of that year. The DOJ claims LockBit is "one of the most active and destructive ransomware variants in the world," having claimed at least 1,000 victims, including a Holiday Inn hotel in Turkey. The agency added that members of the LockBit gang have demanded at least $100 million in total ransom payments. The gang has claimed tens of millions of dollars from victims, according to the DOJ.

“This arrest is the result of over two-and-a-half years of investigation into the LockBit ransomware group, which has harmed victims in the United States and around the world,” deputy attorney general Lisa O. Monaco said in a statement. “Let this be yet another warning to ransomware actors: working with partners around the world, the Department of Justice will continue to disrupt cyber threats and hold perpetrators to account. With our partners, we will use every available tool to disrupt, deter and punish cyber criminals.”

Feds charge former MoviePass execs with securities and wire fraud

The former executives in charge of MoviePass have been indicted in what the Justice Department calls "a scheme to defraud investors." Ex-MoviePass CEO J. Mitchell Lowe and Theodore Farnsworth, who used to be the chairman of the service's former parent company Helios and Matheson Analytics (HMNY), have been charged with one count of securities fraud and three counts of wire fraud. Federal authorities accuse them of making materially false and misleading claims regarding MoviePass' business in press releases, interviews and even SEC filings in a bid to artificially inflate HMNY's stocks and entice new investors. 

According to the newly unsealed court documents, Farnsworth and Lowe allegedly knew from the start that the business' $9.95 "unlimited" plan was a temporary gimmick to attract new subscribers and, hence, artificially inflate HMNY's stock prices. They also falsely claimed that the business model was tested to be sustainable and that it was possible to become profitable on subscription fees alone, the feds said. 

In addition, the executives allegedly claimed that HMNY had "big data" and AI technologies that could be used to generate revenue for the company by analyzing data collected from MoviePass subscribers. The indictment accuses them of making the claim even though they knew that HMNY did not have the technology or the capability to monetize subscriber data. 

Another allegation against the executives is that they'd made false representations that MoviePass was earning considerable money from multiple revenue streams. The business did not have a non-subscription revenue stream that would make it self-sufficient or offset its losses, according to authorities. Farnsworth and Lowe were also accused of implementing various tactics to prevent certain subscribers from being able to use their "unlimited" service. If you'll recall, MoviePass had to settle with the FTC in 2021 over allegations that it invalidated subscriber passwords on purpose to give it sufficient reason to freeze accounts of frequent users. 

In a statement made to The Verge, the spokesperson for Farnsworth said: "The indictment repeats the same allegations made by the Securities and Exchange Commission in the Commission's recent complaint filed on September 27th against Mr. Farnsworth, concerning matters that were publicly disclosed nearly three years ago and widely reported by the news media. As with the SEC filing, Mr. Farnsworth is confident that the facts will demonstrate that he has acted in good faith, and his legal team intends to contest the allegations in the indictment until his vindication is achieved."

The SEC sued MoviePass for fraud back in September and also accused the executives of misleading investors about the viability of the company's $9.95-per-month business model. Despite its tumultuous past and all the accusations the former people in charge still have to face, MoviePass is back. Stacy Spikes, its original co-founder, purchased it back after HMNY filed for bankruptcy. The service relaunched in September 5th and now charges subscribers $10 a month for up to three movies, $20 a month for up to four and $30 for a maximum of five movies a month. 

As for Farnsworth and Lowe, they're now facing a maximum penalty of 20 years in prison for each count of securities and wire fraud.

The NYPD is joining Ring's neighborhood watch app amid privacy and racial profiling concerns

One of the most recognizable police forces is joining Ring's Neighbors app. The New York Police Department has announced that it will participate in Ring's neighborhood watch tool. Officers won't look for posts "around the clock," but they will respond to users' crime and safety concerns, post notices and ask for help with "active police matters."

The move potentially gives the NYPD another way to interact with the community. It may also obtain footage of criminal activity that it wouldn't otherwise have, with maps and timelines that could help pinpoint crime sprees and trends.

There's already opposition to the NYPD's participation, however. The New York-based Surveillance Technology Oversight Project (STOP) is concerned support for Neighbors will lead to more police violence, racial profiling and vigilantes. The technology "isn't keeping people safe" and even puts people in danger, Executive Director Albert Fox Cahn claims. He cites an incident in October where a father and son shot at a woman in response to a Ring doorbell notification. The woman delivered a package sent to the wrong address.

Ring has previously stressed that device users aren't required to share footage, and it has addressed some worries about enabling police surveillance by requiring public, narrowly focused requests within 12 hours of incidents. There are still fears Ring cameras and doorbells are collecting footage of innocent passers-by, though, and that Neighbors users may be racially biased when reporting suspicious behavior. The company has also grappled with a number of security flaws, including a bug that exposed precise locations.

Apple Store employees in Glasgow vote to unionize

Workers at an Apple Store in Glasgow, Scotland, voted on Wednesday to unionize. The vote came after “several” months of negotiations that eventually saw Apple agree to recognize the ballot voluntarily. According to The Herald, employees at the company’s Buchanan Street location, one of two stores Apple operates in Scotland’s most populous city, voted “overwhelmingly” in favor of joining the GMB Union. With the historic vote, the retail location is now on track to become the first unionized Apple Store in the United Kingdom.

Apple did not immediately respond to Engadget’s request for comment. “We have long been committed to providing an excellent experience for our customers and teams,” the company told The Herald. "Apple is one of the highest paying retailers in Scotland and we’ve regularly made enhancements to our industry-leading benefits as a part of the overall support we provide to our valued team members.”

Today Apple Glasgow have made history by voting overwhelmingly for union recognition! ✊ Thanks to all those who have voted, all those have shown solidarity and all who have made this moment possible. 🍎 https://t.co/r67e8sqh2E

— Apple Retail Workers Union (@ARWUnion) November 2, 2022

The outcome is expected to prompt Apple Store workers at other retail locations across the UK to push forward with their own labor drives. “This is an absolutely historic vote and is a tribute to the hard work of activists and workers in Apple Glasgow,” said GMB Organizer John Slaven.

According to The Herald, organizers in Glasgow described negotiations with Apple as “consistently positive.” In the US, the company has been accused of employing union-busting tactics. In October, the National Labor Relations Board issued a complaint against the company, saying it had found merit in claims from the Communications Workers of America. The union accused Apple of interrogating staff at its World Trade Center store in New York City and subjecting them to mandatory anti-union meetings. More recently, organizers at the company’s Towson Town Center location, the first Apple Store in the US to unionize, said the company was withholding benefits from its I AM CORE members.

Former Apple employee admits to defrauding the company out of $17 million

A former Apple employee has pled guilty to defrauding the company out of over $17 million. Dhirendra Prasad, who spent most of his decade at Apple working as a buyer in the Global Service Supply Chain department, admitted to "taking kickbacks, inflating invoices, stealing parts and causing Apple to pay for items and services never received,” according to the US Attorney's Office for the Northern District of California. Prasad started these schemes in 2011 and continued them until 2018. 

In one scam, Prasad shipped motherboards from Apple's inventory to CTrends, a company run by a co-conspirator, Don M. Baker (who previously admitted to taking part in the fraudulent schemes). Baker harvested components from the motherboards, then Prasad organized purchase orders for those parts. After Baker shipped the components back to Apple, CTrends filed invoices for which Prasad arranged payment. In the end, the pair got Apple to pay for its own components and they split the proceeds of the scam.

In addition to fleecing Apple, Prasad confessed to engaging in tax fraud. He directed payments from Robert Gary Hansen (another co-conspirator who has admitted to taking part in the schemes) straight to his creditors. In addition, Prasad arranged for a shell company to send sham invoices to CTrends with the aim of covering up illicit payments Baker made to him. This enabled Baker "to claim hundreds of thousands of dollars of unjustified tax deductions," the US Attorney's Office said. All told, prosecutors claim that the scams resulted in the IRS losing over $1.8 million.

Prasad will be sentenced in March. He pled guilty to one count of conspiracy to commit mail fraud and wire fraud, which carries a maximum prison sentence of 20 years. Prasad also pled guilty to one count of conspiracy to defraud the United States, which has a maximum sentence of five years' imprisonment. Moreover, Prasad agreed to forfeit around $5 million worth of assets he accrued as a result of his criminal actions, including real estate properties.

YouTube Music contractors vote to unionize

A group of workers at YouTube Music Content Operations, an Alphabet subcontractor, have filed with the National Labor Relations Board for union recognition and bargaining power after a supermajority of the 58-strong group signed union cards. "As a part of the YouTube Music Content Operations team, workers ensure music content is available and approved for YouTube’s 2.1 billion monthly active users worldwide," the Alphabet Workers Union-Communications Workers of America (AWU-CWA) said in a statement.

The workers, who are based in Austin Texas, were already paying AWU-CWA dues and are now seeking bargaining rights. The AWU-CWA says those rights would force Alphabet to recognize the union as the workers' bargaining unit. The NLRB has scheduled a hearing for November 14th. The union, which was formed in January 2021, now counts nearly 1,200 Alphabet workers as members, including full-time employees as well as temporary, vendor and contract workers.

The AWU-CWA says it "won't stop organizing until all Alphabet workers (full-time, temporary, vendor and contract workers) have dignity on the job, the pay and benefits we deserve, and a seat at the table." Earlier this year, a group of Google Fiber workers in Kansas City voted to unionize with the AWU-CWA. This month, the AWU filed complaints with the NLRB, accusing the company of firing Google data center workers in retaliation for union activity. The union says Google fired two workers who attempted to discuss pay and working conditions.

“We are honored to welcome the workers of the YouTube Music Content Operations team as members of the Alphabet Workers Union-CWA," Google software engineer and AWU-CWA executive chair Parul Koul said. "Google platforms like YouTube have largely been a success thanks to the labor and efforts of the thousands of contract workers that ensure quality content while being denied their fair share. We’re excited to see these workers bring Alphabet to the bargaining table and use their power to win the quality pay, benefits and rights on the job they deserve.”

Engadget has contacted Google for comment.

Justice Department alleges Chinese spies tried to disrupt a criminal investigation into Huawei

Two spies from the People's Republic of China attempted to interfere in a criminal investigation by the US Department of Justice into a prominent Chinese telecommunications company, US Attorney General Merrick Garland announced on Wednesday. The two agents, Guochun He and Zheng Wang, were working for the benefit of Huawei, reports Bloomberg. According to a complaint seen by the outlet, He and Wang attempted to bribe a law enforcement employee to provide them with information on the Justice Department's investigation.     

Developing...

A hacker who stole and sold Ed Sheeran songs for crypto gets prison time

Adrian Kwiatkowski, a hacker from Ipswich in England who stole two unreleased songs by Ed Sheeran, has been sentenced to 18 months in prison, according to the BBC. Kwiatkowski sold Sheeran's tracks, along with 12 other songs by American rapper Lil Uzi Vert, for cryptocurrency worth £131,000 (US$148,000) on the dark web. UK prosecutors said Kwiatkowski got his hands on the unreleased tracks by hacking into their cloud-based accounts. They didn't specify which cloud services those were, but he stole from a lot more artists, because authorities found 1,263 unreleased songs in his possession. 

American authorities launched an investigation back in 2019 after several musicians reported to the New York District Attorney's office that someone using the name Spirdark had hacked their accounts and was selling their content online. Investigators eventually linked Kwiatkowski to the email address Spirdark used with the cryptocurrency account involved in the case. Further, his UK address was linked to an IP address that was found in relation to one of the hacked devices. 

When he was arrested, London police found seven devices that contained 1,263 unreleased songs by 89 different artists. Authorities found more incriminating files in his hard drive, including a document where he detailed the method he used to hack into the victims' accounts. They also found his Bitcoins, which he admitted to receiving in return for the songs. In all, he pled guilty to 19 charges that included copyright infringement and possessing criminal property, enough to put him away for a year-and-a-half.