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fraud

Case Summary: 

When a bank introduced a scheme under which persons could receive commissions for introducing potential mortgage borrowers who went on to take out a loan, a bank manager saw the opportunity for secret profits.

Type of conduct: 
Bank fraud

It's remarkably easy to spoof telephone numbers i.e. to make any number one chooses to show up in the caller ID of the recipient's phone. So if a criminal is going to do that, why not choose someone special?

CoNet Section: 

Perhaps in the Arab world the usual hook for spam-scammers of a few hundred thousand dollars, or even a couple of million, is small change. So this fraud is offering me more than 25 million (undefined) dollars in a most unusual manner. But then it turns to a bog standard, old fashioned, Nigerian (advance fee fraud) Scam.

BIScom Subsection: 

Spoofing email addresses (that is making it look like an e-mail comes from somewhere other than its actual sender) is a remarkably easy trick and it's heavily relied on by spammers. However, this particular spam goes further, aping the tactics used by those who send e-mails that appear to come from banks. Be warned....

Criminals and others who act against the interests of society at large are almost always ahead of financial crime and other risk managers when it comes to the the planning and execution of activity. Criminal and anti-social activity are magnified in relation to the effect on economies, even ultimately being an accelerant in the fires that led to the global financial crisis that only the most naive or self-centred deny is over. The fascinating thing is this: while they don't know it, the seeds of major, even pandemic, crime are easily visible. You just need to know where to look.

Free for seven days.

This fraudster pretends to be a partner with a London law firm called "Richardson Lawyer Chamber" - without realising that the name contains a grammatical error that raises suspicion within the first few lines. And then there's his name: "David T Duddias" - a format very rarely used in the UK. Finally, the mail is sent from a mail address which may or may not be real and may or may not be spoofed but it's in Japan which raises its own questions and his return address is with that current favourite of fraudsters, Outlook.com. As if that's not bad enough, the spam-scam is plain: he wants to commit a fraud against someone else and he wants your help to launder the proceeds. Obviously, what he really wants is to defraud you. Read the full e-mail below.

Case Summary: 

Some lawyers are called "ambulance chasers." In the USA, in medicine, the equivalent function is performed by "Patient Recruiters" and, yes, the US authorities even use capital letters, just like that. The system is ripe for fraud and convictions have been obtained in a case where the loss to the US Medicare system is USD33 million.

Type of conduct: 
Healthcare / Medicare fraud

Case Summary: 

An accountant, assisted by his wife, invited investments into a scheme he operated. But there were no investments only money used for his own purposes, laundered via his wife - and setting up a separate Ponzi-type scheme.

Type of conduct: 
Consumer fraud

Case Summary: 

A joint liquidator of a company "dishonestly redirected" a substantial sum of money from the company's administration account to an account he controlled and then used the money for his own purposes. He has been jailed for seven years.

Type of conduct: 
Fiduciary fraud

A report by the Australian Competition and Consumer Commission says that there has been an increase of 5% in the number of reports by the elderly of fraud committed against them. The total losses, however, increased by 22%. And they are not the only victims, the ACCC found.

Case Summary: 

Two bankers have been jailed for a total of nine years for fixing (technically "manipulating") the Euro Interbank Offered Rate (EURIBOR) when the global financial crisis was at its worst. An associate who was previously convicted has been ordered to forfeit, under proceeds of crime legislation, less than 5% of his gain from the fraud.

Type of conduct: 
Other financial crime

Case Summary: 

A financial adviser recommended a form of investment to clients but instead of using the money in accordance with the agreed plan he used the money for his own purposes and created fictitious records to show purported performance of their investments. He has been sentenced to ten years' jail. Asset freezing orders against the defendant have preserved sufficient to cover all or most of the losses.

Type of conduct: 
Fiduciary fraud

The return, with increasing frequency, of internet domain name fraud, is usually at least accompanied by a form of what the fraudster hopes is a sufficient disclaimer to prevent prosecution. The latest iteration omits even that and resorts to blatant threats. Also, it seems that the criminals have obtained access to the domain sevenresortsnet.com to send mail and to present a landing page for those who click to respond to the demand.

CoNet Section: 

The flood of sextortion e-mails demanding payment in bitcoin continues. However, while the body of the mails is increasingly standardised, the anti-avoidance methods used by the criminals is mutating, analysis of reports at GlobalKYC.com indicates.

CoNet Section: 

Fraud is cyclical. Historically, frauds would lie dormant for, perhaps, five years then come back. But the cycle has become much shorter, often only two or three months. Some frauds have become perpetual, aided by e-mail that hits so many prospective targets at such a low marginal cost. Others have a few days in the light before disappearing into relative darkness for a matter of weeks, perhaps because the targets are sorted by e.g. alphabetical order, into batches. One such is fraud relating to domain names. They take several forms but the same basic structure. The fraudster hints that, if you don't pay up, your domain name will stop working. Here's the anatomy of one such fraudulent mail that has reached us multiple times in the past several days.

CoNet Section: 

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