Grocer Confirms Card Fraud

Modesto, Calif.-based grocer Save Mart Supermarkets confirms that at least 80 employees and customers have reported account compromises linked to a data breach discovered Nov. 23. [See Fraud Scheme Hits Grocer.]

According to a Dec. 5 statement issued by Save Mart, reports of compromised bank account data or attempts to access bank account data escalated over the weekend. Tampered-with card readers are suspected of affecting self-service checkout terminals in 23 Save Mart and Lucky Supermarkets, which also are owned and operated by Save Mart. Save Mart owns and operates more than 233 stores in Northern California.

"We strongly recommend our customers who used a self check-out lane in the affected stores contact their financial institution to close existing accounts and seek further advice," Save Mart states. "We continue to work with local, state, and federal law enforcement to find those responsible."

Save Mart reportedly discovered the tampered card readers during routine maintenance. When the tampering occurred and the types of devices or methods used to compromise the terminal readers have not been explained. But in a separate Dec. 5 statement posted on Save Mart's website, chief financial officer Stephen Ackerman says the company this week expects to determine the timeline of the card-reader tampering.

Posted in: Debit Card Fraud Credit Card Fraud Collusive Networks