Consumer protection

Legal aid data breach affects UK applicants

The UK Ministry of Justice has confirmed a serious cyber-attack on its Legal Aid Agency, first detected on 23 April and revealed to be more extensive on 16 May. Investigators found that a wide range of personal details belonging to applicants dating back to 2010 were accessed.

The breach has prompted urgent security reviews and cooperation with the National Cyber Security Centre. Stolen information may include names, addresses, dates of birth, national ID numbers, criminal histories, employment records and financial data such as debts and contributions.

While the total number of affected individuals remains unconfirmed, publicly available figures suggest hundreds of thousands of applications across the last year alone. Victims have been urged to monitor for suspicious communications and to change passwords promptly.

UK Legal aid services have been taken offline as contingency measures are put in place to maintain support for vulnerable users. Jane Harbottle, CEO of the Legal Aid Agency, expressed regret over the incident and reassured applicants that efforts are underway to restore secure access.

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Criminals exploit weak mail security in new fraud surge

Check washing fraud is making a worrying comeback in the US, fuelled by both AI-powered identity theft and lax mail security. Criminals are intercepting posted cheques, erasing original details using chemicals, and rewriting them for higher amounts or different recipients.

The rise in such fraud, often unnoticed until the money is long gone, is prompting experts to warn the public to take immediate preventative steps. Reports show a sharp increase in cheque-related scams, with US financial institutions flagging over 665,000 suspicious cases in 2023 alone.

Organised crime groups are now blending traditional cheque theft with modern techniques, such as AI-generated identities and forged digital images. The fraudsters are also using mobile deposits, phishing emails, and business email compromise to trick individuals and companies into transferring funds.

For added protection, individuals and businesses are advised to invest in fraud monitoring, use cheques with security features, and report any suspicious activity without delay. With losses running into hundreds of millions, the growing threat of cheque washing shows no signs of slowing down.

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Hong Kong breaks up cross-border crypto laundering ring

Hong Kong authorities have busted a cross-border crypto laundering network that processed around HK$118 million (US$15 million) in illicit funds. The crackdown led to a dozen arrests amid efforts to stop people from monetising personal banking credentials.

Raids led by the Commercial Crime Bureau on Thursday detained nine men and three women aged between 20 and 40 across several districts. Officials seized HK$1.05 million in cash, over 560 bank cards, multiple devices, and financial documents.

Investigators found the network had recruited mainland Chinese citizens since mid-2023 to open fraudulent bank accounts in Hong Kong. These accounts were used to channel criminal proceeds from scams, with cash withdrawn and converted into cryptocurrency.

Two Hong Kong residents were arrested as primary organisers, alongside ten mainland Chinese nationals who served as account fronts. The operation reportedly used more than 550 domestic bank accounts to launder about HK$118 million.

So far, authorities have linked HK$10 million of the laundered money to 58 fraud cases. Victims reported losses totalling HK$43.2 million. The network operated from a Mong Kok apartment, where recruits stayed while processing fraudulent transfers.

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JP Morgan backs Bitcoin’s upside over gold

JP Morgan analysts believe Bitcoin holds more upside potential than gold for the remainder of 2025, citing a range of crypto-specific catalysts. The bank highlighted corporate treasury allocations, state crypto laws, and a growing derivatives market as key growth drivers.

Bitcoin recently surged past $104,500—just shy of its January peak—leading a broader return to risk assets. While some still view it as a safe-haven investment, JP Morgan analysts stressed that Bitcoin continues to behave more like a risk-on asset, closely tracking equities.

The investment bank also highlighted major acquisitions signalling crypto’s evolution. Coinbase’s Deribit takeover, Kraken’s acquisition of NinjaTrader, and Gemini’s new EU derivatives licence show growing regulatory oversight and institutional interest.

Analysts expect this will boost confidence and participation from traditional investors.

Despite gold climbing amid tariff uncertainty with China, Bitcoin has consistently outperformed over the past year. ETF inflows reflect this trend, with Bitcoin ETFs now outpacing gold alternatives as interest shifts to digital assets.

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FBI warns against AI-powered text scams

The FBI has issued a fresh warning urging the public not to trust unsolicited texts or voice messages, even if they appear to come from senior officials. A new wave of AI-powered attacks is reportedly so convincing that traditional signs of fraud are almost impossible to spot.

These campaigns involve voice and text messages crafted with AI, mimicking the voices of known individuals and spoofing phone numbers of trusted contacts or organisations. US victims are lured into clicking malicious links, often under the impression that the messages are urgent or official.

The FBI advises users to verify all communications independently, avoid clicking links or downloading attachments from unknown sources, and listen for unnatural speech patterns or visual anomalies in videos and images.

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Valve denies Steam data breach

Valve has confirmed that a cache of old Steam two-factor authentication codes and phone numbers, recently circulated by a hacker known as ‘Machine1337’, is indeed real, but insists it did not suffer a data breach.

Instead of pointing to its own systems, Valve explained that the leak involves outdated SMS messages, which are typically sent unencrypted and routed through multiple providers. These codes, once valid for only 15 minutes, were not linked to specific Steam accounts, passwords, or payment information.

The leaked data sparked early speculation that third-party messaging provider Twilio was the source of the breach, especially after their name appeared in the dataset. However, both Valve and Twilio denied any direct involvement, with Valve stating it does not even use Twilio’s services.

The true origin of the breach remains uncertain, and Valve acknowledged that tracing it may be difficult, as SMS messages often pass through several intermediaries before reaching users.

While the leaked information may not immediately endanger Steam accounts, Valve advised users to remain cautious. Phone numbers, when combined with other data, could still be used for phishing attacks.

Instead of relying on SMS for security, users are encouraged to activate the Steam Mobile Authenticator, which offers a more secure alternative for account verification.

Despite the uncertainty surrounding the source of the breach, Valve reassured users there’s no need to change passwords or phone numbers. Still, it urged vigilance, recommending that users routinely review their security settings and remain wary of any unsolicited account notifications.

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Apple opens NFC chip, PayPal taps into it

PayPal has launched its tap-to-pay feature for iPhone users in Germany, allowing contactless payments at terminals that support Mastercard.

The rollout follows pressure from the European Union under the Digital Markets Act, which forced Apple to open up its NFC chip to third-party apps.

Currently, the feature is exclusive to iPhones and does not support Apple Watch. It mirrors earlier moves by other apps like Norway’s Vipps, which began using Apple’s newly accessible NFC hardware late last year.

Apple has also started expanding NFC access globally, enabling developers to integrate in-app payments and allowing businesses to accept contactless payments via iPhones using third-party apps like Venmo and PayPal Zettle.

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Android adds new scam protection for phone calls

Google is introducing new protections on Android devices to combat phone call scams, particularly those involving screen-sharing and app installations. Users will see warning messages if they attempt to change settings during a call and Android will also block the deactivation of Play Protect features.

The system will now block users from sideloading apps or granting accessibility permissions while on a call with unknown contacts.

The new tools are available on devices running Android 16 and select protections are also rolling out to older versions, starting with Android 11

A separate pilot in the UK will alert users trying to open banking apps during a screen-sharing call, prompting them to end the call or wait before proceeding.

These features expand Android’s broader efforts to prevent fraud, which already include AI-based scam detection for phone calls and messages.

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Instagram calls for EU-wide teen protection rules

Instagram is calling on the European Union to introduce new regulations requiring app stores to implement age verification and parental approval systems.

The platform argues that such protections, applied consistently across all apps, are essential to safeguarding teenagers from harmful content online.

‘The EU needs consistent standards for all apps, to help keep teens safe, empower parents and preserve privacy,’ Instagram said in a blog post.

The company believes the most effective way to achieve this is by introducing protections at the source—before teenagers download apps from the Apple App Store or Google Play Store.

Instagram is proposing that app stores verify users’ ages and require parental approval for teen app downloads. The social media platform cites new research from Morning Consult showing that three in four parents support such legislation.

Most parents also view app stores, rather than individual apps, as the safer and more manageable point for controlling what their teens can access.

To reinforce its position, Instagram points to its own safety efforts, such as the introduction of Teen Accounts. These private-by-default profiles limit teen exposure to messages and content from unknown users, and apply stricter filters to reduce exposure to sensitive material.

Instagram says it is working with civil society groups, industry partners, and European policymakers to push for rules that protect young users across platforms. With teen safety a growing concern, the company insists that industry-wide, enforceable solutions are urgently needed.

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iOS 18.5: Satellite SOS, Screen Time alerts, and bug fixes

Apple has released iOS 18.5, bringing its life-saving satellite emergency features to iPhone 13 models for the first time. Previously available only on iPhone 14 and newer, the feature allows users to connect with emergency services via satellite when cellular or Wi-Fi networks are unavailable.

The update expands access to satellite services provided by mobile carriers, including those like T-Mobile working with Starlink. iPhone 13 users can check for availability by visiting the Cellular menu in Settings.

The satellite feature has already been credited with multiple life-saving interventions, including rescuing hikers, wildfire victims, and others in remote areas. With this update, a wider group of users can now benefit from the added layer of safety.

Alongside the satellite expansion, iOS 18.5 introduces several smaller but notable features. Screen Time now alerts parents if a child successfully guesses the parental passcode to override restrictions. The Mail app has been updated with a dedicated ‘All Mail’ tab for easier navigation.

Other changes include a new Pride wallpaper, a simplified method for subscribing to Apple TV content on smart TVs, and a fix for a bug that caused Apple Vision Pro to launch with a black screen. The update also resolves issues with Siri, enterprise app performance, and other minor bugs.

iOS 18.5 launched alongside updates for iPadOS (18.5), watchOS (11.5), visionOS (2.5), and security patches for macOS Ventura and Sonoma.

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