Key player in largest data theft case pleads guilty, agrees to cooperate

BOSTON -- A man identified as a key player in a ring charged with the largest data theft case in history has pleaded guilty and agreed to provide authorities with information about others involved.

Damon Patrick Toey, 23, of Miami, pleaded guilty Thursday in U.S. District Court to charges including credit card fraud, wire fraud and identity theft.

Toey was one of 11 people indicted last month and accused of hacking nine major retailers, including TJX Cos., to steal and sell more than 41 million credit and debit card numbers.

The alleged leader of the group, Albert Gonzalez, a former Secret Service informant, pleaded not guilty to similar charges during his initial appearance in Boston on Thursday. Prosecutors say Toey helped Gonzalez hack into the computer security of Miami-area retailers.

According to a plea agreement filed in court Thursday, Toey has agreed to cooperate with prosecutors and possibly testify against other members of the ring. The agreement says if Toey provides substantial assistance in the investigation, prosecutors can ask the judge to sentence him to a term shorter than federal guidelines would dictate.

Toey's attorney, Syrie Fried, did not immediately return a call seeking comment Friday.

Authorities said Gonzalez helped the U.S. Secret Service take over a website being used to transmit stolen identifiers and stolen credit card numbers, but later began feeding criminals information about ongoing investigations.

Martin Weinberg, Gonzalez's attorney, did not immediately return a call seeking comment.

Three of those charged in the ring are U.S. citizens while the others are from Estonia, Ukraine, Belarus and China.

The indictment alleges the suspects hacked into the wireless computer networks of TJX, BJ's Wholesale Club, OfficeMax, Boston Market, Barnes & Noble, Sports Authority and other retailers, then set up programs that captured card numbers, passwords and account information.