Google sues alleged China-based phishing network tied to scam texts and stolen cards

Federal lawsuit in Manhattan says “Outsider Enterprise” used Gemini AI, Telegram and Google services in a phishing-as-a-service operation the FBI linked to 3.87 million compromised cards and $1.9 billion in losses since July 2023.

Summary

Google has filed a federal lawsuit in Manhattan against a China-based cybercrime network it calls “Outsider Enterprise,” alleging it ran a phishing-as-a-service operation that used Gemini AI, Telegram, and Google services to send mass scam texts and steal payment-card data. Google says the group was tied to millions of scam texts, including reports from Android users and links delivered to 2.5 million devices, while the FBI linked the network to about 3.87 million compromised credit card numbers and estimated losses of $1.9 billion since July 2023, with Brett Leatherman saying the true losses are “much higher.” The complaint includes RICO, trademark, and Google service misuse claims and is part of a broader takedown effort with the FBI and Black Lotus Labs.

Terms & Concepts
  • phishing-as-a-service: A subscription-based cybercrime model that provides tools, templates, and infrastructure for running phishing attacks.
  • RICO: The U.S. Racketeer Influenced and Corrupt Organizations Act, an anti-racketeering law used in cases involving alleged organized criminal enterprises.
  • Gemini AI: Google’s artificial intelligence system, which Google alleges was misused to help create convincing phishing pages and related content.