Tough Penalties For Botnets And Spyware Coming

Around 30 percent of malicious internet activity took place or originated in the United States in the second half of last year, according to information from Symantec. China was second at 10 percent. Prominent among today's threats are bots -- a type of malicious software that secretly puts a vulnerable PC under the control of an attacker, who can direct thousands of computers at once. Organized cybercriminals routinely use networks of bots to launder spam, steal passwords for online banking and launch denial-of-service attacks like those that recently plagued the small European nation of Estonia after it angered Russian nationalists.

"You're looking at a new species of criminal conduct," says Roma Theus, a white-collar crime expert at the Defense Research Institute and a former federal prosecutor. "We have to look beyond where we are today and think about where we might be ten years from today."

The Cyber-Security Enhancement Act, introduced by Rep. Adam Schiff (D-California), would do just that, stiffening penalties and sentencing times for cybercriminals by classifying computer-fraud offenses as a predicate offense for the Racketeer Influenced and Corrupt Organizations, or RICO, law. Authorities could also seize any ill-gotten gains a crook may have obtained through online rackets.

The measure also adjusts the damage threshold that qualifies a cybercrime receive FBI attention. Currently, a financial loss of $5,000 spread out among victims makes an intrusion into a federal case; under the bill, damaging 10 or more computers in a year would automatically qualify, even with no financial harm.