From the Des Moines Register - the ICN is a fiber optic network put up by the state of Iowa to connect all of the schools in the state for TV / internet classes and internet access.

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Hackers found a 'hole' in Iowa network A sophisticated group saddled Iowa with a $155,000 phone bill, ICN officials say. By JENNIFER DUKES LEE Register Staff Writer 10/23/2001

-------------------------------------------------------------------------------- The hackers who made thousands of dollars' worth of illegal phone calls using the state's fiber-optic network appear to be part of a highly organized and sophisticated organization, state officials said Monday.

On Oct. 10, the hackers detected a "hole" in the Iowa Communications Network. By the following morning, callers from all over the eastern part of the United States and Canada were illegally making international phone calls using the state-owned system, said Harold "Tommy" Thompson, executive director of the Iowa Communications Network.

By the time the calls stopped five days later, the state was stuck with a $155,000 bill. Most of the calls were made to Pakistan, but calls also were placed to about 90 other foreign countries.

"It looks to me like a very organized group of people," Thompson said. "They had to be highly qualified to do what they did."

The illegal calls come as the nation is on alert following the Sept. 11 terrorist attacks in New York City, Washington, D.C., and Pennsylvania. Authorities, however, aren't saying whether they believe the calls were related to terrorist activity.

The ICN is widely known for its two-way video system that links students and teachers in Iowa schools, community colleges and universities. The network, however, has other uses, including serving as a telephone and Internet service provider for state government agencies, some high schools and colleges.

Thompson raised the possibility that foreign college students living in the United States illegally used the phone lines to call back to their home countries. He said some phone companies have dealt with similar schemes.

The incidents were reported to the Iowa Division of Criminal Investigation. Steve Conlon, DCI spokesman, said the investigation had been turned over to the FBI.

FBI authorities declined comment. No arrests have been made.

Thompson said a sophisticated hacker or hackers managed to detect vulnerabilities in the ICN system and then communicate quickly with many others. Somehow possibly through a mass e-mail - the hacker told numerous other people that they could dial a number, punch in an access code and make calls, Thompson said.

Gov. Tom Vilsack said Monday that phone cards also were used in the scheme.

Thompson said the calls did not appear to have any pattern. Some calls were 30 minutes long while other calls lasted two hours.

Thompson said ICN officials spotted a spike in international traffic Oct. 11, a day after the calls began. By Oct. 12, officials began shutting down ICN portals through which suspicious calls were being made.

"At first we didn't know how wide it was," Thompson said.

Over the next few days, it became clear that calls were being made through other ICN portals. All of the suspicious calls had been stopped by Oct. 15, he said.

Thompson said the ICN has safeguards in place to protect against telephone fraud. However, unlike major long-distance carriers, the ICN does not have a fraud-detection unit.

He said he plans to form a unit within the ICN, using employees already on staff. "This has raised our awareness. We've got to tighten our ship," Thompson said.

The state is self-insured, which means state money probably will end up paying for the phone calls.

-- Anonymous, October 23, 2001