Now, a New Jersey federal judge has ruled that the defendants could be charged with fraud for their actions. Find out more about this case after the break.
According to prosecutors:
"They lied about their business model. They lied when they impersonated thousands of individual ticket buyers. And they lied when they established thousands of false email addresses and domain names."
The operation, which was no small feat, used programmers in the US and Bulgaria to create programs accessing some of the most sought-after events; concerts from Miley Cyrus and Bon Jovi, and sporting events like baseball playoffs and the Rose Bowl. They used specially-designed computer software to impersonate individual ticket buyers by purchasing IP addresses and using a network of servers. They were able to bypass CAPTCHA codes, and later, even the more advanced reCAPTCHA codes, which use a third party to transmit CAPTCHA images and add a level of security.
This decision is another step in further defining online security and impersonation laws, which are often gray areas. The case will go to trial March 1.
Source: Flickr User rick