New Rochelle Man Charged with Hacking Proprietary Database of Parchem, a New Rochelle-Based Specialty Chemical Company

Written By: Robert Cox

NEW ROCHELLE. NY — Nial Yusupov, 25, of New Rochelle, has been arraigned on multiple counts related to copying and stealing digital data from Parchem Fine & Specialty Chemicals, a New Rochelle-based chemical distribution company. 

Yusupov has been charged with one count each of Grand Larceny in the Second Degree, a class C felony, Computer Tampering in the First Degree, a class C felony and Unlawful Duplication of Computer Related Material in the First Degree, a class E felony. This according to a statement by Westchester County District Attorney Anthony A. Scarpino, Jr.

Parchem operates out of the Mahlstedt Building located at 415 Huguenot Street in downtown New Rochelle. The building also houses the Mahlstedt Gallery.

Yusupov was arraigned March 28, 2018 in New Rochelle City Court and bail was set in the amount of $5,000. The Court also ordered him to surrender his passport.

The felony complaint alleges that while employed as a web developer and coder for the chemical distributor, Nial Yusupov had full access to the company’s computer servers with domain administrator privileges. Yusupov worked at the company from May 30, 2016, until he voluntarily resigned April 28, 2017.  Between Jan. 1, 2017 and April 28, 2017, he used his administrator privileges to copy records relating to the operations of the business from a proprietary database, and used that data to create his own company called Solventsol.

According to the felony complaint, an internal audit conducted by the company after they discovered the theft valued the repair of their computer system, their proprietary database and related data at approximately $183,400.

More specifically, the defendant used the company computer system to set up and register “solventsol.com” in January 2017, set up an off-site network/server to host  “solventsol.com” at 125 Van Guilder Avenue, New Rochelle; and manipulate the company’s firewall settings to establish an open connection between the company databases and Solventsol’s databases; and write code in JavaScript to search and copy specific valuable information from the company’s database and then input that information into Solventsol’s databases; and delete traces of the code and software Yusupov used to do this. These actions damaged the integrity of the company computer system.

The case is being prosecuted by Assistant District Attorney Michael Delohery, Bureau Chief of the High Technology Crime Bureau.  The company cooperated fully with law enforcement and referred the case to the New Rochelle Police Department. Sergeant Keven Perri was in charge of the investigation. Investigators in the District Attorney’s High Technology Crime Squad assisted in the investigation.