Authorities save companies from $ 750,000 BEC fraud

An unnamed US company was saved from loss of approximately $ 750,000 after the Canadian Anti-Fraud Center (CAFC) gave the US Secret Service (USSS) Ottawa Field Office a tip on July 6 about a potential fraud Business Email Compromise (BEC), according to a press release.

“Unlike many traditional crimes, fraud and fraud span a number of jurisdictions,” said Sgt. Guy Paul Larocque, Canadian Anti-Fraud Center Officer in Charge and Mass Marketing and Serious Fraud Coordinator for the Royal Canadian Mounted Police (RCMP). said in the press release. “This incident is a prime example of the importance of international partnerships and reporting to the Canadian Anti-Fraud Center.”

The successful outcome was due to the fact that a company in Canada had reported the project to the center last month. In return, the center informed its partners such as the USSS about the program and the account associated with it, the press release said.

The USSS then put the notification in contact, which led to a bank investigator finding out that an American company was transferring nearly $ 750,000 to a fraudulent account. That investigator paused the transfer, reached out to the company, and, according to the press release, began to charge the money back.

“This incident is one of many examples of the mutual success of our agencies that resulted in US and Canadian citizens getting back millions of dollars,” said special agent Robert Lamour, USSS, Ottawa Field Office, in the announcement.

BEC programs are among the scams that cause the greatest financial damage. In one such scheme, a scammer sends an email that has been fabricated to come from a known and trusted source.

As PYMNTS previously reported, ransomware, malware and BEC attacks are becoming increasingly popular with fraudsters, and these actions can have costly effects on affected businesses.

Businesses in the United States lost a total of $ 1.8 billion to BEC fraud last year, making protection from this and other attacks that use social engineering essential for businesses.



Above: Despite their price volatility and regulatory uncertainty, new PYMNTS studies show that 58 percent of multinationals are already using at least one form of cryptocurrency – especially when transferring money across borders. The new survey on Cryptocurrency, Blockchain and Global Business, a collaboration between PYMNTS and Circle that surveyed 500 executives, examines the potential and pitfalls crypto faces as it makes its way into the financial mainstream.

Comments are closed.