Jerry Schneider

Who is Jerry Schneider?

Jerry N. Schneider is a social engineer and security consultant. While still in high school in 1968, Schneider started a company called "Creative Systems Enterprises" and began selling his own invented electronic communication devices. Schneider obtained parts by scavenging from Pacific Telephone and Telegraph's dumpsters. During this scavenging, he built up a collection of PTT documents including invoices and training manuals. After a few years, he reportedly knew more about PTT's procedures than its own employees.

1970–1971: Schnieder expanded his telephone wholesale business while majoring in Electrical Engineering in college.

June, 1971: Schneider started a plan to acquire new telephone equipment from PTT, market it as "refurbished," and sell it through CSE, his own company. The exact details of his scam are currently not available. He also acquired equipment from Western Electric Company in a similar manner. He sold equipment back to Pacific and to others.

January, 1972: A former employee of CSE tips off law enforcement. Police raid CSE's offices and warehouse. The District Attorney estimates the found equipment is worth $8,000. At this time, they learn that Schneider had made off with $125,000 worth of gear. Schneider later admits to nearly $900,000.