U.K. e-business calls for tougher fraud penalties

Despite the Fraud Act 2006, which came into force at the beginning of this year in the U.K., several factors including difficulties in the collation of evidence and the broad scope of the Act, means that cyber fraudsters are still able to get away with limited sentences or discharges. Lost revenue in the U.K. currently stands at around $1.2 billion a year.

“Retailers are doing their utmost to tackle e-fraud and have been quick to adopt any anti-fraud measures they can put in place without damaging the customer journey,” said Andrew McClelland, director of projects and marketing at the IMRG. "But they need more support from government in the shape of tighter and tougher penalties and backing for anti fraud innovations which do not detract from a seamless sales process.”

Globally, cyber crime is exceeding worldwide illegal drug sales. Addressing the InformationWeek500 conference, McAfee CEO David DeWalt highlighted the extent to which international law has failed to keep up with technology. "If you rob a 7-Eleven you'll get a much harsher punishment than if you stole millions online, the cross-border sophistication in tracking and arresting cyber criminals is just not there."

Tags: cyber criminal, e-fraud, McAfee, online fraud, U.K.