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)

Thumbnail pp 5

Brian Rhodes

IPVMU Certified | 04/17/13 02:07pm

******* *** ******** ** *** ***** **** **** ** ********* 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

Axis Criticizes OEMs: "When You Buy An Axis Camera, An Axis Camera Is What You Get!" on May 19, 2017
When you buy a Honeywell camera, you likely get a Hikvision, Dahua or some other company's product. The same goes for easily 100 different...
Hackable 125kHz Access Control Migration Guide on May 19, 2017
Despite being one of the most popular credentials, 125 kHz credentials are easily copied and insecure as we showed in our test results, video...
Forget The Backdoor, "ALL HIKVISION PRODUCTS" On Sale on May 18, 2017
Less than 2 weeks after the Hikvision Backdoor was confirmed, Hikvision has launched a sale "ON ALL HIKVISION PRODUCTS". In this note, we examine...
Amazon Techs Installing IP Cameras Tested on May 18, 2017
In 2015, Amazon started offering video surveillance installation. Now, Amazon has made it a lot easier, with automatic add-on options and...
Hanwha Recorder Vulnerability Analyzed on May 18, 2017
ICS-CERT has released a vulnerability notice for Hanwha SRN-4000 recorders.  Hanwha provided additional information to IPVM about this issue,...
ShotSpotter To IPO, Facing Low Revenue and Losses on May 17, 2017
A rare event for North American security manufacturers is upcoming. ShotSpotter is planning to IPO on the NASDAQ, aiming to raise $34.5...
DMP Video Doorbell / Access Reader Examined on May 17, 2017
Consumers increasingly demand video doorbells, with "doorbells selling like hotcakes, everyone wants a doorbell", according to ADT's CEO. At ISC...
FLIR Is Giving Away $3,000 Demo Kits on May 17, 2017
Everybody likes free stuff, and FLIR is using that concept to attract dealers by giving them $3,000 worth of demo gear for attending a...
Shark Tank Startup Guard Llama Mobile Panic Tested on May 16, 2017
A Shark Tank TV show appearance has attracted big attention for Guard Llama, a security startup touting a 'panic button' paired with mobile app...
Axis Beats Avigilon Growth Rate (AVO Q1 2017) on May 16, 2017
In what is likely the first time ever, Axis beat Avigilon's revenue growth for Q1 2017. Inside this note, we examine Avigilon's Q1 2017 financial...

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