The clients of Morgan Stanley were duped into divulging confidential financial information through a dummy Discover Bank Web site that resulted in fraudulent credit card charges, according to a Morgan Stanley broker whose own client was snared in the fraud.
In all, nearly 100 cardholders were tricked into divulging confidential financial data by the fake site, according to the Illinois-based Discover company. As a result, Morgan Stanley’s Discover Bank card division has filed a lawsuit, alleging fraud. "The dummy Website was strikingly similar to the actual Discover site," says the Morgan Stanley rep.
The site has since been shut down.
The rep says his client revealed account numbers and passwords, as did other cardholders, enabling the operators of the dummy site to make purchases in cardholders' names. The amount of money fraudulently obtained is unknown, the company says.