End User Sues ADT/Tyco For $42 Million

Author: Carlton Purvis, Published on May 06, 2013

It was the biggest drug heist in American history. Burglars drove an 18-wheeler up to the Eli Lilly distribution center in Enfield, Connecticut, disabled its security system, rappelled through the roof and made off with $75 million in pharmaceuticals. [UPDATE May 7, 2013 - case dismissed, then refiled with new claims against ADT / Tyco].

Last summer, the U.S. Attorney’s office indicted 11 people for selling drugs stolen from the facility, but the burglary case has centered around the Villa brothers, Amaury and Amed, who are now awaiting trial in Connecticut

Eli Lilly’s insurance company, National Union Fire Insurance, is suing Tyco and ADT to recover money it paid out after the heist. National Union believes ADT’s failure to protect sensitive security information led to the heist and is asking for $42 million in damages. In this note, we review the complaint and situation.

Background

According to court filings, ADT has provided security equipment and monitoring for Eli Lilly’s Enfield locations since 1974. In August 2004, ADT reviewed the distribution center’s security system and provided Eli Lilly with a report that included an inventory of all its existing security equipment and suggestions for additional surveillance. Later than year, Eli Lilly signed a 5-year contract with ADT to implement the improvements noted in the report. The contract included annual inspections and reports.

In 2009, ADT again evaluated the Enfield facility, this time to “review of the adequacy of the services provided” under the 2004 contract.

** ******** ** *** **** ******, ***** *** *** ******* any **** ** ******** ** *** ******** ** ********* *** vulnerabilities, *** **** *** ******** ******** *********** ** ****** *********, their *********** *****, *** ***** ****** ***** ****. ** ******** blueprints ** *** ******** ****** **** *********** ** “***** ****** detector, ****, **** *****, ********, ******** **** *******, ***** ******, panic ******, **** ********, ***** ***** ******, *******, ******* ***** and ******,” ********* ** *** ********* **** ******** *****. *** ****** also ***** **** *** ****** ******* **** *** *** ******* by ******* ** ****** *********.

*** “******** * ******** *** ******** ****** ** *********’* ******** security ****** ******* * “************* ***** ** ***** ******** ************* and **** ******** ** **** ******,” *** ********* ****. **** **** a ***** ***** *** ****** *** ******* ******* **** *** with * *******-******* ***** ** ***************.

Too **** ************?National Union believes thieves had access to the report and here is why (see the **** *********):

  • ***’* ******* *** ***** ** **** *****, *******. *** *** men ******** *** *** ******** **** **** *******.
  • ******* ** *** *********** ******** ****** *** *******-******* ** *** only ******* **** ******* ** **** ** *** ********'* ************ cameras.
  • *** ******** ******* ****** ****** ** *** **** *** ******* by ******* * * **** ** * **** **** ***** the ****** ******* **** -- *** **** **** *********** ** the **** ****** *** *** **** **** ****** *** ******** not ******* ** ************ *********. ****, **** ******** *** ******** system.

*** ** **** ******** ** **************, *******, *** ***** **** not **** *** **** ******* **** *** ***** ***** **** leaked *** ***** **** ** ****** ** ******* **** ***. But ******** ***** ******** ******* ***** ***-******* ********** **** *** had * **** *** *****. 

*** ********* ******** ********** ** ********** ** *******, ***** *******, Texas *** **** ******, ********. ** *** ** *** **********, which ** ** *** **** ** ****, *** ********** *** been ******** ******* ** ***.

**** ** ****** *****, *** *** ******** *** *** *** Lilly ****, **** ********* ** *** ** ****. ****** *****’* lawyer **** *** ******** ***** ** ******** ***** ***** ********** *** ******** ***** ******** ***** ***** *** *********.

******** ***** ******** **** ***'* ******* ** ********** ******* ** sensitive ************ *********** ** * ******** ** ******* *********** ** the ****. *** *******: *** **** * ************* **********, **** not **** *****, * ******** ** *********** ** ******* **** advanced ********* ** ******** *******. 

Feedback **** ******** ***** / *** *****

* ************ *** *** ***** ******** *** ********* ******* ** the **** ** ******** *****. * ************ *** ******** ***** said **** ** *** **** ***** ******* **********, *** ** would *** **** ********** *********** ** ***** ******* **** ***** what ***** ******* ** *** ********* ******** ***** *** ** ADT’s **********.  

******** ***** **** *** *** ***** ***** *** *********** *** ADT ** ********* *** ******* ** ***** *** ******* ** the ********** ********* ******** ***** ******* *** ******* ** ********* sensitive ***********. *** “*** * **** ** *** **** *** knowledge **** ******** ********** ** ********** ** ***** ** ******** security ********, *** ***** ***** ********* ************ *********** ***** *** details ** *** ******** ******* ** *********,” *** ********* *****. 

How *** ********* ******** ********* ****** ***********?

* **** ********** ******* ************** **** ** ** *** **** that **** ***** *** ***** ************ ** *** *** ***** case, *** **** ** *** ******* *** ***** ***** ** reviews ** ******* ******** *********** **** ***** ***** *** ***************. They ******* ******* * **** ** *********** ********* *** **** sometimes **** ******** *********. 

**** ********* ******* *** ********, **** *** ****** ** * secure ******* ********** ** **** **** ********* *** *************** *** not ******** *** ** *****. *** ******** ******* **** *** discussed ** ****** ** ** *** *****, **** ****. 

“** *** * *** ** ****** **** **** *********,” *** Tyco ************** ****. “**** ****** **** * **** ** ***** loss ********** ****** ***************.”

UPDATE: **** *********

** ***** ****, ******** ***** *********** ********* *** **** ******* Tyco *** ***,********* ** ***** ********* ******** *********. **** ***** *** ***** ***** **** ****** ****** ** *******. ** *** ******, **** **** *** *****’* ******** **** National ***** ****** ** **** ***** ** *** *****’* ******. Additionally, *** ****** **** *** **** *** ******* ***** ***********’* statute ** *********** *******.

* ****** *** ******** ***** ********* **** ********* **** *** case *** *********, *** ** “**** ** *** ** *** Florida ******.”

******: *******

*** **** *** *** **** ***** ** *******. ****** *** ****, ******** ***** ******** **** ****** *** **** ***** *** access ** ***'* *******. ***** ***** *****, *** *****'* ******, **** *** still **** *** **** **** ********, ** ***, ******** ***** has ********** **** ** ****** ******** *****. ***** *** *****, she ****, *** *** ***** ***** ** *** ******* ****** Eli ***** ******** ***** ** **** ** *** **********. 

“***** ********** ****’* ********. ***** *** ****** ****** *** ** civil ********** **** ****’* ****** ****,” **** *****’* ******. ***** said ******** ***** ** **** ***** *** ******.

Comments (1)

******* *** ******** ** *** ***** **** **** ** ********* security **********, ** **** ******* * **** *********** *** ******** to ****** *** **** *********** ** ****.

** ** **** *****, '************' **** *** ***** '******'. ******* these ******* ****** ** ****** ********* *** ******** **** ****** on ******** *********** ***** ** ** ********** *******. ****** * point ** *********** *** **** ******** ** **** *********** ** (potential) *********/********** ***** *** **** **** ** ****.

****** ****** ** ***** **** ******** ****** ********* ** ******* or **** ****** ******* *********** *******!

Login to read this IPVM report.
Why do I need to log in?
IPVM conducts unique testing and research funded by member's payments enabling us to offer the most independent, accurate and in-depth information.

Related Reports

Simplisafe Warns Customers About Alarm Fines on Mar 17, 2017
Simplisafe markets themselves as a 'better way' than traditional professional alarm companies. However, in one key way, Simplisafe hides the...
Honeywell Sues Alarm.com For Violating Anti-Trust Laws (Settled) on Feb 24, 2017
Is Alarm.com about to dominate the smart home software market? That is what Honeywell alleges in its new lawsuit, first reported by...
Avigilon Stock Surges 40% On Strong Growth (Q3 2016) on Nov 15, 2016
The roller coaster continues. After a brutal Q2 heading down, Avigilon's Q3 growth is strongly up. Inside this note, we examine what powered...
'Legal Protection' From Eagle Eye Contract Vault Examined on Nov 02, 2016
"I was promised the high-end model for the entry level price." "Nobody said there would be a monthly service fee when I signed...
Dahua Says They Are Botnet Attack 'Victims' on Oct 26, 2016
'Victim' or 'accomplice'? Dahua has issued a new press release, referring to their products as 'victims' of the massive botnet attacks hitting the...
Video Surveillance Manufacturers Risk Lawsuits For Botnet Attacks on Oct 24, 2016
The unprecedented scale of internet outages on October 21st from botnet attacks risk triggering lawsuits against video surveillance manufacturers,...
Chinese Company Xiongmai Threatens Legal Action Against Western Accusers on Oct 24, 2016
The Chinese video surveillance manufacturer, Xiongmai, whose equipment numerous sources blame for driving massive Internet attacks over the past...
Bribe Accusations By Multiple US Cities Against Taser on Jun 17, 2016
One company is dominating the body camera business - Taser. The stun gun leader aims to grow a VSaaS powerhouse and take over one of the fastest...
Milestone / OnSSI OEM Agreement Analyzed and Legal Move on May 17, 2016
OnSSI has withdrawn its lawsuit from US courts, but the fight is far from done. In this note, we examine what is happening, digging into the 2009...
Hikvision Rejects Responsibility for Hacked Hikvision Cameras on May 10, 2016
After a massive number of Hikvision cameras were hacked, Hikvision has added new, and questionable legal language, declaring that Hikvision will...

Most Recent Industry Reports

Instant Cloud For Hikvision - Manything on Apr 28, 2017
One ISC West exhibitor had a very specific and clear pitch - cloud for Hikvision: In this note, we examine their offering, key differentiators,...
Milestone GPU Enhanced VMD Tested on Apr 28, 2017
In their 2017 XProtect release, Milestone announced support for hardware accelerated video motion detection, touting a 2X increase in server...
Burglar Alarm Zoning Guide on Apr 28, 2017
The function of an alarm panel is to gather information from sensors and respond to this information by triggering actions. While it is possible to...
Avigilon Discontinuing Rialto Analytics Line on Apr 27, 2017
Avigilon is informing dealers/partners that the legacy VideoIQ Rialto products have been discontinued, recommending the newer ACC ES Analytics...
A Marketing Home Run For Knightscope - Man Attacks Robot on Apr 27, 2017
We criticize Knightscope regularly - their lack of revenue, their trying to fool mom 'n pop investors, their associating themselves with a clueless...
The World's First Fashion IP Camera From Amazon on Apr 27, 2017
Some analytics cameras can tell you if a person is jumping a fence, or loitering in a secure area, but none of them can tell you if the person...
Last Day - IP Networking Course May 2017 on Apr 26, 2017
Today is the last day to register for the May IP Networking Course. This is the only networking course designed specifically for video...
Hikvision EZVIZ Amazon Scam Revealed on Apr 26, 2017
Hikvision is violating US Federal Trade Commission guidelines and Amazon rules with a "Honest" Review Program scheme that provides gift cards to...
Anixter CEO Admits Price Deflation and Non-Exclusive Integrator Sales on Apr 26, 2017
Anixter's CEO has admitted to (1) price deflation impacting IP camera sales and (2) not always being 'exclusive' with security integrators. In...
Xandem Next Gen Intrusion Tested on Apr 26, 2017
Xandem's "full coverage motion tracking technology" is unlike any intrusion technology we have seen. We bought their new system and tested it...

The world's leading video surveillance information source, IPVM provides the best reporting, testing and training for 10,000+ members globally. Dedicated to independent and objective information, we uniquely refuse any and all advertisements, sponsorship and consulting from manufacturers.

About | FAQ | Contact