Cost-based Modeling and Evaluation for Data Mining With Application to Fraud and Intrusion Detection : Results from the JAM Project ∗

In this paper we describe the results achieved using the JAM distributed data mining system for the real world problem of fraud detection in financial information systems. For this d omain we provide clear evidence that state-of-the-art comme rcial This research is supported in part by grants from DARPA (F30602-96-1 031 ) and NSF (IRI96-32225 and CDA-96-25374).