During a recent anticorruption investigation, Loto-Quebec released a major security breach update detailing an occurrence of fraud at the company.
Loto-Quebec’s unit designed to sniff out corrupt practices at the company has recently released an important security breach update. The investigation identified Martin Raymond, a 37-year-old computer analyst from Terrebonne, as having a clear connection with the case. Raymond took advantage of his previous job role at the company to access user accounts and skim money over several years.
Raymond was officially charged on Wednesday at the Saint-Jérôme courthouse for his illegal dealings and breach of trust. The charge sheet includes breach of trust, possession of personal information, unauthorised computer usage, and fraud.
Security Breach Update Discusses Allegations of Fraud
According to evidence, Martin Raymond used his access to player accounts to gather information and defraud Loto-Quebec’s online gambling platform users. These activities date back to 2017, although most evidence is from 2020. The defendant was not present at court for this week’s hearings and was represented by his lawyer, Christine Brosseau, who avoided any comments.
The investigation has uncovered the misappropriation of funds amounting to approximately C$20,000. The investigation has determined that the gambling accounts of about 30 players have been compromised. The long-term inactivity of some user accounts allowed Raymond to access these and make transfers without attracting too much attention.
Court documents suggest that the latest security breach update issued by the company stems from an ongoing yearlong investigation. On 19 August 2020, the police department received a warrant to investigate Raymond, who left Loto-Quebec in May 2020. The criminal activity stopped the very next day, which is a strong indication that the defendant is likely involved in illegal doings.
Marisol Schnorr, Loto-Québec’s head of public relations, explained that no clients of its online platform had been harmed by this security breach. According to Schnorr, thanks to Loto-Quebec’s many control mechanisms and verification systems, the security of its online platform was quick to detect suspicious activities from Raymond’s account. After receiving reports about the breaches, the Crown corporation immediately contacted the police.
History of Security Breaches at Loto Quebec
Over the years, Loto-Quebec has suffered several security breaches, some of which have exposed sensitive information and caused financial losses.
In 2008, Loto-Quebec was hit by a significant security breach that compromised the personal information of over 9,000 customers. The breach occurred when a third-party service provider employee for Loto-Quebec copied confidential information, including names, addresses, and credit card numbers, onto a USB drive. The data was later sold to a criminal organisation, which used it for fraud.
In 2011, Loto-Quebec was hit again by a security breach that exposed the personal information of 2,000 customers. The security breach update at the time noted that a third-party printing company employee for Loto-Quebec accidentally sent an email containing sensitive information to the wrong recipient. The information included names, addresses, and social insurance numbers.
In 2014, Loto-Quebec was once again the target of a breach in casino security when a hacker gained access to its online gaming platform. The hacker obtained the login credentials of over 1,200 customers and made unauthorised withdrawals from their prize claims accounts. The breach resulted in losses of approximately $10,000.
In 2018, Loto-Quebec suffered another data breach that exposed the personal information of over 2 million customers. The breach occurred when a database containing customer information was left exposed on a server accessible to the internet. The information included names, addresses, dates of birth, and email addresses.
Loto-Quebec has since improved its security protocols, including conducting regular security audits, implementing new security measures to protect customer data, and issuing immediate security breach updates to the public to keep them up-to-date with related issues.
However, Loto-Quebec’s history of security gaps underscores the importance of implementing robust security measures to protect sensitive information from cyberattacks.
Steps Taken by Loto-Quebec to Prevent Future Security Breaches
Loto-Quebec takes security very seriously to prevent security breaches. Some of the measures it implements include:
- Access Control: Loto-Quebec implements access control measures, including restricted access to areas where sensitive information is stored. Employees must wear identification badges, and access to sensitive areas is granted on a need-to-know basis.
- Network Security: Loto-Quebec uses advanced firewalls, intrusion detection systems, and other security measures to prevent unauthorised access to its network. It regularly monitors network activity and generates likely security breach updates and reports to detect suspicious behaviour.
- Data Encryption: All sensitive information, including customer data, is encrypted both in transit and at rest to prevent unauthorised access.
- Employee Training: Loto-Quebec provides regular security training to employees to ensure they are aware of the latest security threats and know how to generate quick security breach updates and respond in case of a breach.
- Physical Security: Loto-Quebec has implemented physical security measures, such as CCTV cameras, to monitor its premises and prevent unauthorised access.
- Compliance with Regulations: Loto-Quebec is subject to various regulations and standards, including the Quebec Personal Information Protection Act, which sets strict rules for handling personal information. The corporation ensures compliance with these regulations to maintain data security.
By implementing these measures, Loto-Quebec strives to prevent security breaches and protect its customers’ personal and financial information, both locally and across Canada.
Battling Illegal Casino Ads
Recently, Loto-Quebec commenced a campaign to eliminate illegal online casino ads currently promoted across several TV channels. These ads tend to attract a significant number of the company’s customers. Reportedly, the ads confuse the players who believe these to be part of Loto-Quebec’s officially regulated offering, which is not the case.
