A couple of big [unnamed] US tech companies were scammed out of $100 million

The Department of Justice just unsealed an indictment against a Lithuanian scammer who managed to trick two American tech companies into wiring him $100 million. The scammer, 48-year-old Evaldas Rimasauskas, did so by masquerading as a prominent Asian hardware manufacturer, according to court documents, and tricking employees into depositing tens of millions of dollars into bank accounts in Latvia, Cyprus, and numerous other countries. Rimasauskas was first indicted back in December, but the DOJ only unsealed the documents after arresting the man last week.

What makes this remarkable is not Rimasauskas’ particular phishing scam, which sounds rather standard in the grand scheme of wire fraud and cybersecurity exploits. Rather, it’s the amount of money he managed to score and the industry from which he stole it.

The indictment specifically describes the companies in vague terms. The first company is “multinational technology company, specializing in internet-related services and products, with headquarters in the United States,” the documents read. The second company is a “multinational corporation providing online social media and networking services.” Both apparently worked with the same “Asia-based manufacturer of computer hardware,” a supplier that the documents indicate was founded some time in the late ‘80s…

What’s more important is that representatives at both companies with the power to wire vast sums of money were still tricked by fraudulent email accounts. Rimasauskas even went so far as to create fake contracts on forged company letterhead, fake bank invoices, and various other official-looking documents to convince employees of the two companies to send him money.

Rimasauskas has been charged with one count of wire fraud, three counts of money laundering, and aggravated identity theft…

I can’t believe someone as detail-oriented as this dude appears to be didn’t plan on leaving home and establishing another identity on a planet in a galaxy far, far away. Did he think no one would come looking for the $100 million? At least move someplace without an extradition agreement with the USofA.

Thanks, Barry Ritholtz

Coal Industry has a pulse — Someone tell Trump job prospects still suck


Click to enlargeLuke Sharrett/Bloomberg News

❝ The battered U.S. coal industry is showing flickering signs of life. Yet the prognosis for Big Coal remains dim.

Coal prices are about double what they were a year ago. Rail car deliveries of coal are up 16 percent this year. The more than 50 coal mining companies that went bankrupt over the past couple of years have unloaded billions of dollars of debt. And President Trump has vowed to roll back environmental regulations that the industry says are part of a “war on coal.”

❝ But the obstacles on the other side of the ledger remain daunting: Coal-fired power plants continue to shut their doors. Bountiful supplies of U.S. shale gas are keeping natural gas prices low and competitive, and renewable sources of power generation are growing rapidly. Though most experts expect U.S. coal sales and output to top last year’s levels, they also expect the decline to resume in 2018.

“The coal industry is saying it’s back. It’s not back,” said Tom Sanzillo, director of finance at the Institute for Energy Economics & Financial Analysis. “This is a fool’s errand.”

…Metallurgical coal will be needed to make steel in India and China and in the United States, especially if there is a boost in infrastructure spending. And thermal coal will still be used to generate electricity for years, even if at lower rates.

But to show profits, coal operators will have to trim output from the oldest, least-efficient mines in Appalachia (where Trump garnered crucial votes in the election) and shift their focus to the Illinois Basin and the Powder River Basin in Wyoming.

Those big open-pit mines need fewer workers — doing nothing to help Trump bring back jobs for “our great miners.”

And if you’re shipping open-pit coal to China and India, there are operations in existence – and/or getting ready to come onstream in Australia – that will have a lot less freight added into costs than the black stuff from North America.