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Time To Deck The Halls….With Fraud Awareness!

Lets examine 5 strategies which can help guard against holiday fraud this season.

The so-called Super Committee (Joint Select Committee on Deficit Reduction) just announced that they are unable to agree on the terms of a mandatory $1.2 trillion-dollar deficit reduction  plan. Are you wondering how their failure could possibly affect your gift-giving this year?

The stalemate in Washington, DC may put a damper on our already fragile economy, so protecting your hard earned assets and reputation are worthy goals this holiday season. This is also the time of year when record numbers of consumers  prepare to snag Black Friday and other seasonal shopping deals in malls and online.

With much at stake and our resources stretched like never before, fraudsters are licking their chops as they await the hoards of often distracted and rarely cautious holiday deal-snatchers. The shopping, shipping and selection alone are enough to entice even the most frugal and inexperienced buyers this time of year.

So with shopping in sight and awareness in mind, lets examine 5 strategies that can help you Deter, Detect and Defend against fraudsters lurking behind the holiday tree. Continue Reading…

November 22, 2011 in Data security, Financial Crime, Fraud, Identity Theft, Protect Your Credit, Scams & Phishing

Three Privacy Reminders For 2011

Exhale. With the worst of the financial storms past us, we can finally breathe and begin to rebuild our financial fortifications.

One of the first pieces of business this year should be to put a few strategies in place to protect whats left of your assets and personal privacy. Unfortunately, the fraudsters are still in the game stronger than ever before, due to the relatively risk-free nature of modern financial crime.

The reality is that most financial crimes are under-reported and left unsolved due to a scarcity of investigative resources and the endless supply of fresh target information available to most criminals.

Here are three areas to watch in 2011 according to Bank Info Security:

1. Mobile Banking Risks

“Mobile phones used for banking are on the rise, but mobile security is proving increasingly challenging for banks and credit unions, as controls put in place to protect traditional online banking do not translate well when applied to mobile. Mobile banking applications from Bank of America, Chase, Wells Fargo and TD Ameritrade have all suffered from security flaws, and CitiGroup in 2009 noted vulnerabilities when it learned some banking apps stored sensitive user details in hidden files on smart phones.”

2. Social Networks and Web 2.0

“The connection between mobile phones and social media is growing, with Twitter and Facebook apps offered for mobile users. Institutions embracing mobile also are embracing social networking, says Rasmussen, Internet Identity’s chief technology officer. “With more banks on social networks, expect to see more fake sites using social networks, like Twitter and Facebook, to try and trick people into giving up vital personal information,” including banking login credentials and Social Security numbers, he says.”

3. Malware, Botnets and DDoS Attacks

“Distributed denial-of-service, or DDoS, attacks, as seen in the wake of the recent WikiLeaks incidents, are likely to increase. In fact, the WikiLeaks-inspired attacks against leading e-commerce sites have fueled interest among fraudsters, says RSA’s Rivner. Botnet operators now see opportunity for additional income.”

Smart phones, social networking and sustained attacks on closed systems, leave plenty of room for mischief in the coming year. Stay tuned for ways to short-circuit these uninvited cyber-guests in 2011 and beyond.

January 5, 2011 in Data security, Fraud

A High Value ID Theft Target

During a recent celebration,  I opened a gift that made me smile.  It was the new Robin Hood film starring Russell Crowe and Cate Blanchett.

We all know the premise.  Robin Hood takes from the rich and gives to the poor. Unfortunately, not all thieves are so noble. Please read on.

The Orange County Business Journal and Forbes Magazine blogger Mark Lacter recently reported on a modern story based on the classic tale of a wealthy land owner who falls prey to a dastardly thief.  In this case, the alleged crook  Moundir Kamil, decided to keep $1.4 million in loot for himself after commandeering  a large IRS tax refund check. The wealthy land owner in our modern tale is billionaire California real estate mogul Donald Bren.

According to the Orange County Business Journal:

“News of the bizarre theft went on to get national exposure as questions arose about how a 40-something suspect—who listed his occupation merely as “smoke shop” operator and looks nothing like the 78-year-old Bren—could make off with the identity and money of OC’s most prominent businessman. The refund check Kamil allegedly stole was the result of overpayment of estimated quarterly taxes by Bren. When and how the suspect managed to get the check wasn’t stated in the initial complaint, nor is it mentioned in the government’s updated charges for Kamil.”

Although authorities have not disclosed how Kamil came into posession of the check, it is clear that he was somehow able to pass himself off as the victim. Not only did he deposit the loot into a newly opened bank account, he withdrew most of it before being captured.

Thanks to an eagle-eyed prison guard who recognized surveillance photos of the culprit, the fraudster’s identity was uncovered. It seems that Kamil had previously been caught stealing from the rich.  He is not just a disappointment to Robin Hood fans, worldwide.  The parole board has to be a little embarrased and disappointed to have released a 9 time bank robber back into the general population in Sherwood Forest.


October 1, 2010 in Financial Crime, Fraud

A Pulitzer Winner’s Identity Theft Threat

You don’t have to be a Pulitzer Prize winning playwright to be a victim of identity theft, but there is clearly no immunity for brilliant writers either.

Educated at Brown University and the Yale School of Drama, Pulitzer winner Lynn Nottage was awakened in the early morning hours, to a flurry of alarming phone calls from concerned family and friends.

According to a report in the Brooklyn Eagle:

“Less than an hour before the call, someone hacked into Nottage’s three e-mail and Facebook accounts, sending out a cry for help after allegedly being mugged in a United Kingdom park. The e-mail blast, which said Nottage was writing “with tears in my eyes,” went out to every listserv she was on, totaling thousands of people, Nottage estimated.

This story resonates with me because our family got similar calls this past summer, from someone claiming that our son had been involved in an accident in Europe. The caller pleaded for money to be wired via Western Union.

Because our son had been to Europe just weeks earlier with a concert choir, our family members called us to make sure he was okay.  One particularly loving (but vulnerable) family member actually withdrew a very large sum of cash to wire overseas and thankfully called us prior to sending the money.

Commonly known as the “grandparents scam”, predators depend on  Continue Reading…

September 7, 2010 in Financial Crime, Fraud