Fraud

It seems a security hole in Paypal's iPhone app has been discovered that would allow hackers to access user's Paypal username and passwords over Wi-Fi. The "man-in-the-middle attack" let's the hacker come between the user input information and Paypal's servers. Although this is dangerous, it does require the hacker to be on the same Wi-Fi connection as the user in order to steal their information.

Apple has responded to that bizarre incident over the weekend involving a glut of Vietnamese, copyright-infringing book apps rocking to best-seller status on the backs of hacked iTunes accounts.

The developer Thuat Nguyen and his apps were removed from the App Store for violating the developer Program License Agreement, including fraudulent purchase patterns.

There's no technology that's 100% safe from fraud or social engineering. Those are predators that walk the cyber landscape, and just like hunter gatherers had to watch out for saber-toothed tigers and dire wolves, modern consumers have to keep an eye out for scammers and spammers.

So, it comes as little surprise that Fox New York (via Consumerist) reports iTunes is among the many attack vectors Bad Guys use when committing their fraud.