How Do You Deal With Internet Fraud - But this type...
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But this type of fraud could be avoided by legislating to bring web site name registration into line with company registration rules, where similar names and "passing off " are already dealt with. The methods for obtaining web site names that are primarily for 'trade' could also be addressed to ensure that they can only be obtained by registered businesses, and that the link between the domain name and the registered business is a matter of public record.
Some less obvious frauds
The Internet uses a technology called TCP/IP in order to send information between one point on the Internet and another. Unfortunately it was not designed to be secure, it was designed to be resilient. As a result it is possible to read information that travels around the Internet, and also to alter it. Therefore, it is possible both to read information that is not protected and copy information that has been protected using cryptography, (a technique that makes information unreadable to the unauthorized) and to change the unprotected information without being detected.
The effect of this is to create a situation where fraud can be carried out even when a genuine transaction is taking place. Fraud might include putting other recipient's names on the distribution list to make you believe they are also involved or in agreement with what is going on. (This can happen in the physical world - processing a credit card transaction multiple times on paper and forging the signature from the valid bill.)
The fraud is subtle because it is impossible for either party to detect. It is effective because the fraudster may have gathered information that allows them to completely impersonate both parties in the future.
Solutions for technical problems
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