Going legit.

From high-tech hustler to hacker--and beyond

Gregory D. Evans has a confession to make: He's still a high-tech hustler. The difference now is that he's legit. With his transgressions against the government and big business behind him, Evans' goal today is to help individuals and companies protect themselves against computer theft and security breaches.

Evans, the founder and CEO of the Cyber Group Network Corp., has created E-Snitch, an electronic snitching device that uses wireless networks and satellites to locate missing or stolen computers anywhere in the world within a five-foot radius of the stolen PC. The device also allows for the upload of data to a remote computer and the destruction of that data on the stolen PC--even if the computer isn't turned on.

Evans, 32, has come a long way since first cutting his teeth on technology in junior high school, where he learned to program software. He honed his skills by developing programs to help his parents track their finances. His talents did not go unnoticed by a neighborhood "street corner pharmacist," who tapped him to create accounting software to track outgoing products and incoming revenue. Throughout the years, Evans has launched several telecommunications and technology firms that earn between $250,000 and $300,000 monthly.

At 28, his exploits culminated in his arrest and multimillion-dollar fines for hacking into both government and corporate computer systems. Evans turned those 16 months, six days, six hours, and 55 minutes in federal custody into yet another learning experience. "While guys were on the yard lifting weights, I was sitting at the table talking to doctors, lawyers, and stockbrokers," says Evans. "I was selling them on my business plan:" The advice he got from those professionals led Evans to launch the Cyber Group Network Corp. (OTC BB:CGPN) in 1999. The publicly traded San Bernardino, California, firm specializes in computer and network security and has three offices in California; Evans plans to open shop in London this summer.

So far, the Cyber Group has mainly been a research and development firm, and its revenue comes from Internet software sales and contracted services with companies and government agencies. But considering some recent statistics, the company appears to be in an industry sweet spot: Safeware, The Insurance Agency Inc., a computer insurance firm, reports that last year there were approximately 1.5 million computers lost, stolen, destroyed, or damaged.

Evans expects revenues from E-Snitch to total more than $100 million this year. "We've already got deals with the top five manufacturers of computers" he says. "The way we're trying to strategically plan it is that next year, every computer you buy will come with E-Snitch."

E-Snitch will also act as a wireless modem, allowing for Internet access and e-mail services. However, using E-Snitch solely for its theft-deterrent, computer-location application is expected to cost users a one-time registration fee with no monthly charges. Users of the wireless modem service will incur monthly expenses. The first E-Snitch will be available later this year for computers previously manufactured without this feature.

Another of the Cyber Group's salvos in combating cybercrime is its Cybercrimecorp.com site, designed to help consumers and businesses detect hackers and defend their networks against other unwanted infiltration. "Everybody from AT&T to the FBI logs on and does research," says Evans.

And with the help of 40 of the top 100 hackers working with the company (they're rated by federal law enforcement agencies), the Cyber Group recently released security software that will inform users via pager of breach attempts and trace a hacker's Internet protocol (IP) address or caller ID information. Cyber Group will also supply authorities with this information. With computer crime and information security breaches escalating along with associated financial losses, Evans and his company seems poised for prosperity.