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November 16, 2015

Swiss Cleaners identifies credit card fraud

Rockville-based Swiss Cleaners was able to stop ongoing credit card fraud at its locations. The fraud was brought to its attention by banks it does business with. The company did not reveal the amount of detected fraud.

Bruce Kloter, president, Swiss Cleaners, said in an email, "Based on the investigation we do not know the specific number of cards affected or the dollars involved. Investigation still ongoing."

Banks had identified a pattern of unauthorized charges on payment cards after those cards were used in Swiss Cleaners stores. Based on the investigation, Swiss Cleaners believes that an unauthorized person was able to install a program on a server in its payment card system that was designed to make a copy of payment card data as it was being routed through Swiss Cleaners' system to the payment processor.

The investigation determined that this incident potentially affected payment cards used at the Swiss Cleaners store located at 35 Windsor Ave., in Vernon during the period from Dec. 30, 2014 through Oct. 26, 2015, as well as any of Swiss Cleaners' other stores during the period from Dec. 30, 2014 through Oct. 23, 2015. The Company's Swiss Uniform Services were not affected by this incident.

The program searched for data found in the magnetic strip on payment cards, which includes the cardholder name, card number, expiration date, and a verification code. To help prevent this from happening again, Swiss has been working with a computer security firm to review its security measures, ensure that this issue has been fully remediated, and look for ways to enhance its security measures.

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