Computer hackers have penetrated the database of Australia's biggest internet domain name auction house, possibly accessing client home addresses and encrypted credit card numbers.

Netfleet yesterday told clients of the security breach and said it had reported the incident to the Australian Federal Police and CERT Australia - the National Computer Emergency Response Team in the Attorney-General's Department.

Netfleet is a domain name auction house that specialises in reselling expired, highly sought after domain names. In September last year, it set an Australian record by selling an expired com.au domain name for $125,000.

In an email to clients, Netfleet said: ''There appears to have been a security breach of our database … this may have resulted in unauthorised access to some of your customer account information, such as your name, email address, billing address, phone number and a cryptographically scrambled version of your credit card and expiry date.

''Credit card information is encrypted in our database, and we do not store CCV digits. Whilst we believe no sensitive data such as credit card information was accessed by the intruder, there is a possibility that this is indeed the case and as such we felt it our duty to inform you.''

Netfleet's website was taken offline yesterday, with visitors to the site told: ''Due to technical issues, Netfleet will not be available today (Feb 1 2012). We will send more information to registered users shortly.''

An AFP spokeswoman confirmed the matter had been formally referred to police and was being evaluated to determine whether an investigation would be launched. Fairfax was unable to contact Netfleet chief executive Mark Lye yesterday.

In September, Mr Lye told Fairfax that the domain name industry was becoming valuable because more businesses were seeking an online presence.

''As more domains are registered, supply is limited so it generally commands higher prices,'' he said.

Netfleet this morning advised clients all their passwords had been reset.

Via - SMH.Co.Au

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