Swede gets 4-3/4 years in U.S. prison over BlackShades software

Reuters
Journalists take photographs of a display referring to "BlackShades" malware during a news conference by the U.S. Attorney for the Southern District of New York to announce law enforcement action to target creators and purveyors of malicious computer software, in Lower Manhattan, New York May 19, 2014. REUTERS/Adrees Latif

NEW YORK (Reuters) - The leader of an organization called BlackShades was sentenced to 4-3/4 years in a U.S. prison on Tuesday for distributing software that authorities say was used to hack into half a million computers worldwide. Alex Yucel, a 25-year-old Swede, was sentenced by U.S. District Judge Kevin Castel in Manhattan after pleading guilty in February to distribution of malicious software. "The message must go forth that this is a serious crime worthy of a serious punishment," Castel said. Prosecutors had sought up to 7-1/2 years in prison for Yucel, who was arrested in November 2013 in Moldova and later extradited to the United States. His case was announced in May 2014 after a sweep by U.S. and European authorities that resulted in about 100 people being arrested in connection with BlackShades. Prosecutors said that Yucel ran the BlackShades organization under the alias "marjinz" and acted as its primary software engineer. The organization's flagship product was the "BlackShades Remote Access Tool," which gave hackers remote control of other people's computers and allowed them to record keystrokes, steal passwords and gain access to personal files. The software, which could be bought for $40, was used in some cases to take over computers' cameras to spy on their owners or to freeze people's computers in exchange for a ransom, prosecutors said. BlackShades had more than 6,000 customer accounts in more than 100 countries and generated at least $350,000 in revenue by selling the software from September 2010 to April 2014, prosecutors said. Yucel, appearing in court on Tuesday in blue jail clothing, offered his "heartfelt apology" and urged the judge to be lenient in imposing sentence. "I deeply regret starting this whole project, which obviously went out of control," he said. The investigation grew out of a separate FBI sting in which authorities created a fake website to ensnare criminals seeking to buy and sell credit card numbers. Among those charged was Michael Hogue, an Arizona resident who turned out to be the co-creator of BlackShades' software and agreed to cooperate authorities as part of a plea deal. He is scheduled to be sentenced on July 24. The case is U.S. v. Yucel, U.S. District Court, Southern District of New York, No. 13-cr-00834. (Reporting by Nate Raymond in New York; Editing by Richard Chang and Andrew Hay)