[iwar] [fc:Computer.Programmer.Sentenced.in.NJ.Sabotage.Case]

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Date: 2002-02-28 18:35:37


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Date: Thu, 28 Feb 2002 18:35:37 -0800 (PST)
Subject: [iwar] [fc:Computer.Programmer.Sentenced.in.NJ.Sabotage.Case]
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Computer Programmer Sentenced in NJ Sabotage Case

Reuters, 2/26/02
<a href="http://story.news.yahoo.com/news?tmpl=story&cid=581&u=/nm/20020226/tc_nm/crime_computers_dc_1">http://story.news.yahoo.com/news?tmpl=story&cid=581&u=/nm/20020226/tc_nm/crime_computers_dc_1>

NEWARK, N.J. (Reuters) - A computer programmer was sentenced in federal
court on Tuesday to more than three years in prison for sabotaging his
former company's computers, causing a loss of more than $10 million, in
the first such case to be tried under a new federal law, prosecutors
said.

Timothy Lloyd, 39, of Wilmington, Delaware, also was ordered to pay $2
million in restitution to Omega Engineering Corp., a Bridgeport, New
Jersey, defense contractor with offices in Stamford, Connecticut.

Lloyd was a "disgruntled employee" demoted after 11 years as the
company's chief programmer who retaliated by setting off a computer
"time bomb" that deleted the company's most critical software programs,
said Assistant U.S. Attorney Grady O'Malley.

The "time bomb" program went off without warning on July 31, 1996, when
an employee randomly logged on, he said. The company claimed to have
lost more than $10 million in sales and future contracts as a result.

The programs that were deleted had been "the lifeblood of the company"
that instructed robotic machines to build Omega's measurement and
control instruments, O'Malley said.

Lloyd, who faced a maximum possible sentence of five years in prison on
the single count of computer fraud, was sentenced to three years and
five months by U.S. District Court Judge William Walls.

Lloyd was originally convicted in May 2000. That decision was overturned
and then upheld in December 2001 by a federal appeals court.

Lloyd told the court on Tuesday he was the victim of "a conspiracy"
between the company and government, said his attorney, Edward Crisonino,
who said he will appeal.

Crisonino said the government's evidence, including a hard drive found
by Secret Service agents in Lloyd's garage containing time bomb computer
code, was insufficient proof of Lloyd's guilt.

"It could have been a computer failure or, even if it was a time bomb,
we don't feel they proved it was him," Crisonino said. Other employees
had easy access to the company's network system and could have committed
sabotage, he said.

The case is the first to be tried under a relatively new federal law --
Fraud and Related Activities In Connection With Computers -- set up in
1994 amid a growing wave of computer hacking, O'Malley said.

Others have committed crimes covered by the law but have pled guilty and
not gone to trial, the prosecutor said.

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