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Bookstore Reports PIN Pad Tampering

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Barnes & Noble says devices used by customers to swipe credit and debit cards have been tampered with in 63 of its stores in nine states, including, in Illinois, two stores in Chicago and five in the north and northwest suburbs. The company warned customers to check for unauthorized transactions and to change their personal identification numbers, or PINs. It didn't say how many accounts may have been compromised. The bookseller did say in a statement that only one PIN pad, was tampered with in each of the 63 stores. The other states are California, Connecticut, Florida, Massachusetts, New Jersey, New York, Pennsylvania and Rhode Island.

All the PIN pads in its nearly 700 stores nationwide were disconnected on September 14 after the company learned of the tampering. Federal authorities are assisting in the investigation.

News Release:

10/24/2012
 
Barnes & Noble Detects Tampering with PIN Pad Devices at Stores  

October 24, 2012; New York – Barnes & Noble has detected tampering with PIN pad devices used in 63 of its stores. Upon detecting evidence of tampering, which was limited to one compromised PIN pad in each of the affected stores, Barnes & Noble discontinued use of all PIN pads in its nearly 700 stores nationwide. The company also notified federal law enforcement authorities, and has been supporting a federal government investigation into the matter.

Barnes & Noble has completed an internal investigation that involved the inspection and validation of every PIN pad in every store.  The tampering, which affected fewer than 1% of PIN pads in Barnes & Noble stores, was a sophisticated criminal effort to steal credit card information, debit card information, and debit card PIN numbers from customers who swiped their cards through PIN pads when they made purchases.  This situation involved only purchases in which a customer swiped a credit or debit card in a store using one of the compromised PIN pads.

The company emphasized that its customer database is secure. Purchases on Barnes & Noble.com, NOOK and NOOK mobile apps were not affected. The member database was also not affected. None of the affected PIN pads was discovered at Barnes & Noble College Bookstores.

Barnes & Noble is continuing to assist federal law enforcement authorities in this matter. In addition, the company is working with banks, payment card brands and issuers to identify accounts that may have been compromised, so banks and issuers can employ enhanced fraud security measures on potentially impacted accounts.

The criminals planted bugs in the tampered PIN pad devices, allowing for the capture of credit card and PIN numbers.  Barnes & Noble disconnected all PIN pads from its stores nationwide by close of business September 14, and customers can securely shop with credit cards through the company's cash registers.  Barnes & Noble said it is committed to providing customers with a safe shopping environment.

Tampered PIN pads were discovered from stores in the following states: CA, CT, FL, IL, MA, NJ, NY, PA, RI

Specific list of locations click here:

http://www.barnesandnobleinc.com/press_releases/10_23_12_Important_Customer_Notice.html 

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