Category: Fraud

Auditors in the Democratic Republic of the Congo have uncovered a massive public payroll fraud, involving tens of thousands of ghost workers across government ministries, costing the public purse over US$800 million annually, according to a statement from the General Inspectorate of Finance. The audit found that 145,604 civil servants are paid based on fabricated payroll identification numbers, while 53,328 have more than one identification number and therefore receive multiple salaries. In addition, 43,725 officials are paid without being on the staff list of ministries that are supposed to employ them.The fraud was orchestrated by 961 payroll officers, who themselves…

Cold calls offering financial products will be banned as part of a government crackdown on fraud following evidence that millions of people are being targeted each week. Once the ban is in force, anyone being offered phoney cryptocurrency schemes or fraudulent insurance can assume they are a scam. More than 40 million adults in the UK were the target of a scam text or call in just three months, according to research by regulator Ofcom. Cold calls offering pension products are already illegal, and the latest announcement effectively extends these powers. The move follows warnings that people living with conditions…

Three men have been charged with fraud offences as part of a National Crime Agency investigation into a website which enabled criminals to subvert banking anti-fraud measures. NCA cyber crime investigators began probing the paid for subscription website www.OTP.Agency in June 2020. The site provided a service to criminals by helping them socially engineer bank account holders into disclosing genuine one-time-passcodes, or give other personally identifiable information, allowing multi-factor authentication to be bypassed. This granted access to a victim’s online banking or other accounts, enabling criminals to complete fraudulent online transactions. Investigators believe over 12,500 members of the public were…

Five men have been arrested across the North West and London in an NCA investigation linked to property investment fraud and money laundering. Man in his dressing gown being arrested by the NCANCA officers arrested a 68 year-old man at an apartment in Central London on Thursday [23 Feb] morning. He is suspected of being involved in the fraud that targeted victims with promises of investment returns on North West property developments. Would-be investors were approached to purchase apartments advertised as off plan with offers of high rates of guaranteed rental income when completed. The projects were never completed resulting…

More than 700 potential UK victims have been identified, among thousands worldwide targeted by a boiler room fraud that was run from Romania. National Crime Agency investigators believe the fraud, primarily offering false investments, was being carried out on a mass scale before it was closed down in September last year.Computer image web Three Romanian nationals were detained during a series of searches by NCA investigators and Romanian Police officers at apartments in north Bucharest. Since September, work has been underway to identify victims of the fraud. So far, a potential 700 plus UK victims have been identified and a…

A pickpocket took Jacopo de Simone’s mobile phone and used his banking apps to steal £22,500. He said his bank investigated but found him liable for the losses so he is still fighting to get the money back. He is just one victim of the growing threat of mobile phone fraud and banks need to do more to tackle it, according to charity the Fraud Advisory Panel. UK Finance, which represents 300 banks, said the industry was constantly monitoring fraud threats. Criminals are stealing mobiles not for the device but to try to access finance apps to steal thousands of…

As many of us wind down over the festive period into the New Year, fraudsters are busy at work luring in unsuspecting victims. The UK is currently in the grip of a fraud epidemic, from get-rich-quick schemes to unknown sellers tempting consumers with fake bargains. The rising cost of living is forcing many people to seek alternative ways to save and make money, and fraudsters are capitalising on it. They will often trick victims into making quick bank transfers rather than using other, more secure payment methods. UK consumer group Which? is warning against unwittingly handing over money and has…

Law enforcement, government and private sectors partners are working together to encourage members of the public to be more vigilant against fraud, particularly about sharing their financial and personal information, as criminals seek to capitalise on the cost of living crisis. Criminals are experts at impersonating people, organisations and the police. Stop: Taking a moment to stop and think before parting with your money or information could keep you safe. Challenge: Could it be fake? It’s ok to reject, refuse or ignore any requests. Only criminals will try to rush or panic you. Protect: Contact your bank immediately if you…

The cost of fraudulent Universal Credit (UC) claims in Northern Ireland almost doubled to £102m last year, a public spending watchdog has said. The figure has emerged in the auditor general’s annual audit of the Department for Communities accounts. The department said a significant number of the fraudulent claims date to the start of the pandemic. At that time certain conditions were eased to allow unprecedented numbers of people to get financial help. In the previous year the cost of fraudulent UC claims was £51.8m. The number of households on UC in Northern Ireland almost doubled between February and July…

Ex-Formula One boss Bernie Ecclestone has been charged with fraud by false representation, the Crown Prosecution Service has said. The 91-year-old billionaire businessman failed to declare overseas assets believed to be worth in excess of £400m, according to investigators. The charge was authorised by the Crown Prosecution Service (CPS) on Monday, following an investigation by Revenue and Customs (HMRC). Andrew Penhale, chief Crown prosecutor, said: “The CPS has reviewed a file of evidence from HMRC and has authorised a charge against Bernard Ecclestone of fraud by false representation in respect of his failure to declare to HMRC the existence of…

The money lost to Covid fraudsters and civil service blunders is more than 10 times all the biggest heists in history combined, Labour analysis has shown. The Treasury has had to write off £11.8bn in public funds which were wrongly claimed by fraudsters under the various Covid support schemes, or lost by mistake. By contrast, the top 10 heists in British history amount to only £1.1bn in today’s terms when adjusted for inflation. Labour accused Rishi Sunak of a “great Covid robbery”. The Great Train Robbery of 1963 led to the loss of £2.6m, while the most lucrative heist of…

Italian and Austrian authorities have dismantled a massive fraud scheme set up by a criminal network that used Italian companies to simulate business leases and false tax credits. The perpetrators deprived the Italian authorities of at least EUR 440 million. With the help of Eurojust, approximately 90% of the proceeds have been recovered and 12 suspects have been arrested. The arrested suspects allegedly belong to an organised crime group (OCG) that defrauded the Italian State of at least EUR 440 million. The OCG used Italian companies to sell false tax credits, to simulate business leases in order to obtain COVID-19-related…

The rate of fraudulent online financial attacks jumped 233% between 2019 and 2021, according to an analysis of 18 billion global banking transactions carried out by Portuguese technology company Feedzai, which specializes in fraud prevention. According to the new Financial Crime Report “The RiskOps Age”, the number of frauds has grown at a faster rate than the rate of legitimate online transactions, reflecting a substantial increase in risk. Low risk, high reward “Living a digital lifestyle brings a world of convenience, but it also offers a low-risk, high-reward environment for fraudsters,” said Jaime Ferreira, vice president of global data science…

Mexico experienced a 220% increase in attempted ecommerce fraud attacks during its pandemic peak, calling for new strategies from public and private sectors through 2022. Not only have there been more reported instances of online fraud, but the worrying trends are growing in unanticipated ways, causing events such as account takeover and kiosk fraud, a new report finds. The revelations are worrying for online retailers in Mexico who have battled to stay afloat through two years of unprecedented industry pressures. Companies are now steeling themselves to increase online revenues even as web-based fraud attacks increase. Cyber-fraud reached its pandemic peak…