Securing A Mobile Telecommunications Network From Internal Fraud

The mobile telecommunications industry faces numerous challenges protecting their networks from internal and external fraud. It has been estimated that the combined financial loss to mobile companies from fraud may be in excess of $25 billion dollars. The largest portion, external fraud, is the easiest to detect because a company's switching systems capture the usage, which can be analyzed to identify the perpetrator. Internal fraud, however, is more difficult to detect because confidential corporate information can be used to alter internal systems and prevent the recognition of fraudulent activity. Protecting against internal fraud will be the focus of this discussion. Starting with the switch, this system's filtering mechanism, VMS (Voicemail System), and HLR (Home Location Registry) can be modified to hide employee fraud. The next system in the process chain, mediation, can also be reconfigured at its filtering mechanism to disguise fraud. Finally, the billing system is explored to show how its consumer rate tables can be changed to affect the pricing scheme of a fraudulent employee's bill. These specific areas of a mobile company's systems constitute the high risk areas for internal mobile fraud.