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Bridgeport, Waterbury grocery stores targeted by payment card thieves - CTPost

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Hackers got access to customer payment card numbers over several months at two Gala Foods Supermarket stores in Bridgeport, with Gala’s parent entity reporting an extended breach at a Key Food store in Waterbury as well.

Key Food Stores Co-Operative first reported the breach in March, and is now releasing specific locations where customer information may have been compromised between April 2019 and this past January. The Mahwah, N.J.-based co-op found no evidence of any system breaches at Key Food grocery store locations in Bridgeport and Norwalk.

Thieves installed malware to pick off card numbers from point-of-sale readers at checkout, with Key Food Stores stating not all lanes had POS readers compromised.

For shoppers who paid using EMV-enabled chips, the breach would have been limited to card numbers and expiration dates, Key Food Stores indicated. For cards that were swiped through magnetic readers at payment, the breach could have included cardholder names and card verification codes as well.

Key Food Stores is posting information about the incident online at www.keyfood.com/store/protectingourcustomers, with the company also staffing a call center at 1-855-907-2134 weekdays between 9 a.m. and 9 p.m. The company is advising customers to contact their card issuer if they spot any unauthorized purchase activity on their payment card accounts.

A Key Food Stores representative could not be reached immediately Monday for any additional details on malware breach the company discovered in its payment card systems in Connecticut and elsewhere.

Elizabeth Benton, a spokesperson with the Connecticut Office of the Attorney General, indicated victims of credit card fraud who are unable to get refunds after contacting their payment card company can reach out to the AG or the Connecticut Department of Consumer Protection. She added that companies are not required to offer free credit monitoring unless a breach involves Social Security Numbers.

“For a credit card breach, they are required to notify consumers and our office of the data breach without unreasonable delay,” Benton stated in response to an email query.

The Federal Trade Commission reported receiving more than 22,000 complaints from Connecticut residents of being targeted by fraudulent schemes, with more than 1,700 involving illicit credit card purchases.

In March and April, credit card complaints were dominated by shoppers who did not receive items they ordered, whether the result of besieged retailers unable to keep up with demand in the early days of the coronavirus pandemic, or people being hoodwinked into placing orders on bogus websites set up to capture their credit card numbers.

POS breaches at brick-and-mortar stores accounted for less than 1 percent of digital breaches in 2019 analyzed by Verizon in its annual Data Breach Investigations Report. The Midwest supermarket chain Hy-Vee reported a breach last August that similarly involved malware lodged in payment systems for several months, though with thieves bypassing grocery register lanes and targeting instead Hy-Vee fuel pumps, drive-through coffee windows and restaurants.

The Krebs on Security newsletter reported last month that while the coronavirus pandemic triggered a significant drop in card fraud on the premises of stores — sparser crowds have made bad actors nervous about being spotted — “card not present” fraud continues through thieves operating remotely.

Alex.Soule@scni.com; 203-842-2545; @casoulman

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