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Pump-and-dump stock phishing spam up 400% in 2006

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Pump and dump fraud reportedly cost online broker E*Trade at least $18 million in the third quarter of 2006 alone. TD Ameritrade has also been hit by the scams but specific details of losses have not been disclosed.

Gleb Budman, senior director of e-mail security at SonicWall, says: "Online theft has become more sophisticated, more "stealthy" and more universal: rather than targeting large organisations, scammers are making substantial profits by focusing on individuals."

The SonicWall data also shows a 64% increase in the numbers of definite phishing e-mails. The top ten institutions whose names were spoofed by e-mail spammers were all banks.

Phishing attempts are becoming more ingenious and fraudsters are also sending more spam messages for each attack, says SonicWall.

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