Microsoft has filed a formal complaint against a Chinese gaming website that has been stealing Xbox account information and selling in-game items/currency with the hacked information.
Microsoft's complaint was made to "protect its customers’ Microsoft Accounts" and to seek reimbursement for the customer refunds, as well as reimbursement for chargebacks from the credit card issuing banks for all of the unauthorized and fraudulent purchases.
“Microsoft is committed to providing customers with safe and secure online experiences," said a Microsoft spokesperson. "We filed these lawsuits to protect our Xbox customers from the illegal trafficking of stolen property.”
According to the complaint, Microsoft investigators became aware of iGSKY selling virtual currency for "suspiciously low prices" for both Microsoft and third-party games, such as:
ArcheAge, Black Desert, Blade and Soul,CSGO, Dofus, Dofus Touch, FIFA 14, FIFA 15, FIFA 16, FIFA 17, Forza Horizon 3, Grand Theft Auto V, Mabinogi, Madden NFL 17, Maple Story, MU Legend, MU Origin, NBA 2K17, NBA Live Mobile, NHL 17, Pokémon GO, Revelation Online, Riders of Icarus, Rocket League, TERA, Tree of Savior, Trove, Twin Saga, and Wildstar.
Between December 5th, 2016 and January 19th, 2017, Microsoft made six test purchases from iGSKY and each test yielded the same result. IGSKY "sold the investigators access to hijacked Microsoft Accounts with virtual gaming currencies fraudulently purchased with the authorized Microsoft Account holders’ credit cards."
Microsoft's senior investigator Jeremy Beckley detailed one of the test purchases, saying that Microsoft paid iGSKY $59.79 for 11,000 FIFA Points through PayPal (for comparison, 12,000 FIFA Points costs $99.99 on the Microsoft Store). The PayPal account was not identified as iGSKY, but as Gameest International Network Sales, Co. Ltd. (“Gameest”).
On the same day as the purchase, Microsoft received an email from [email protected] containing a new log-in and password information for a stolen Microsoft Account, which went on to purchase 11,000 FIFA points for $127.54.
iGSKY then sent the points to Microsoft's investigators and told them to spend them as quickly as possibly. Following that, Microsoft received a complaint from the actual owner of the stolen account who claimed to have been locked out of their account and that unauthorized purchases were made.
Based on the evidence discovered in the investigations, Microsoft has brought charges of fraud, trademark infringement, conversion, CFAA violations, and racketeering conspiracy under RICO, naming alleged parent company Gameest and alleged proprietor Weiwei Chu.
[Updated to include quote]
[Verge]
