Reports of frauds, deceptions and scams keep appearing, weekly even daily, on
major news channels and newspapers. Some of these frauds seem just too big and remote to be of immediate, direct relevance to our daily lives. But, we will eventually pay for the consequences and damages, in taxes, costs of goods and services, regulations, copy-cats etc.

I hope we can collect, in one thread, frauds and scams, reported or heard. We must become more aware and more educated to guard against frauds and scams
which impact upon the health, well being, and wealth of ourselves and our families.

I used to do business with a firm of private investigators - and the md once boasted to me of something that may give a clue as to what this is all about.

They had a customer who was one of two companies with a serious market share in a particular area of business. The customer wanted to find out who their competitors best customers were, and at what prices business was being conducted.

The private investigators rented a serviced office with direct dial telephone lines and staffed it with a few admin staff, who answered the phone "Customs & Excise Special Investigations Unit - how may I direct your call?". They then used this office to arrange a 'VAT Inspection' at the target company's offices, and to manage any inbound queries as to their bona fides.

The inspection went ahead, and the target company couldnt do enough to help the inspectors complete their job quickly. During the inspection the private investigators photocopied the sales ledger and took away computer disks containing copies of the last 1000 or so invoices raised by the company. The target company had no idea of the true nature of the investigation, and the customer company didnt want to know how the PIs obtained the information that they eventually delivered.

Maybe this is something similar?

Gausie, thanks. Sounds like a plot in a thriller! Never read any news like this.
Probably because these murky practices don't get reported often in the popular
press. Must try to find and read up more about these - make good winter reading.

"Crackdown on home-working scam
26 October 2004, This Is Money

BUSINESS that tricked people trying to earn money while working at home has stopped publishing misleading adverts after a crackdown by the Office of Fair Trading.

David Breach trading as Delta Data Services in South Wales and who previously traded as Neath Mailing Services, published adverts that gave the impression that people could earn money at home by filling and returning envelopes. The only way they could earn money was to recruit new agents to the scheme.

..."

http://www.thisismoney.com/20041026/ht83955.html

"Buy-to-let lies exposed
Tuesday, 26 Oct 2004

Estate agents are regularly boosting estimates of the returns likely from rental properties in order to hook the buy-to-let market.

The industry broker Landlord Management conducted covert research, first as prospective landlords, then as tenants and discovered an average deception of 8.5 per cent across the country, with London investors being quoted returns in excess of 18 per cent of the actual likely income.

..."

http://www.myfinances.co.uk/property/buy-let-lies-exposed-$3715189.htm

"The Companies (Audit, Investigations and Community Enterprise) Bill has received Royal Assent


Oct 29 2004
The Companies (Audit, Investigations and Community Enterprise) Bill has received Royal Assent and will help protect Britain against Enron style corporate scandals - as well as creating a new type of company specifically designed for social enterprises. The Act implements safeguards recommended by post-Enron/WorldCom reviews and creates a new form of company for social enterprise. In particular it strengthens the independent regulation of the audit profession and the enforcement of company accounting requirements, both concerns highlighted by the Enron and WorldCom scandals. It gives auditors greater powers to get the information they need to do a proper job, and increases company investigators' powers to uncover misconduct.
..."

http://www.creditman.biz/uk/members/news-view.asp?newsviewID=3985&id=1&mylocation=News&chksrc=NNow4251


Are pensions secure after Maxwell?

"Dozens held over identity fraud
identity fraud
Shadowcrew.com allegedly passed on credit card details
Twenty-eight people, including a Briton, have been arrested after a global operation against a website allegedly involved in identity fraud.

Those arrested are accused of operating Shadowcrew.com, which investigators claim was a global clearing house for criminals involved in credit card fraud

A 19-year-old man from Camberley, Surrey, was arrested by the National Hi-Tech Crime Unit.

The operation, led by the US Secret Service, involved seven countries. "

Hello friend,

I saw your ad on net and I am highly interested in renting your apt,i based in the UK, i'm a civil engineer and i'm coming to states for research.I hope the apt is unfurnished?cos, i intend procouring furnitures to fit into the place if so, send me more details about the apartment e.g price,dimension, location, pictures of the apt plus utility if any.
I look forward to your reply ASAP
CYRIL

--------------------------------------------------------------------------------

Walla! Mail - get your free 1G mail today

Just got off the phone from one of my credit card companies, it seems my card has been used fraudulently today by more than one retailer but the card company seem to know that these are linked. No transactions show on my statement, they have picked this up internally. It also seems that many others may be affected.

* Victims of internet bank fraud will have to pay up - Times

"13 Nov 2004
Banks will no longer honour the debts of victims of internet fraud after a sudden rise in attacks against online accounts,"

Kayak - just seen your post 110. I let a place in Spain and get spurious enquiries like/similar to this. They concern me because I don't know what the scam is. Can you enlighten me?

Kernow

Probably it's just an 'in'. If you have a property in Spain, chances are you are worth a bob or two and worth choosing as a target for a scam.

Check out Useful Links on Lots of Different Scams - http://www.fsa.gov.uk/consumer/01_WARNINGS/scams/mn_links.html

Hi Kernow, the chap whose email I posted was on fishing expedition, I don't have a property advertised. I don't know the exact scam in this case but one to watch out for is the overpayment scam. Potential tenant says he is owed money by a company who will pay you directly by cheque. Since that is a lot more than the rent/deposit you ask for, could he have the difference from you by money payment. The only thing is that the original cheque is stolen and bounces.

That's my pension fund DocProc :-)) Thanks to you both. My son had an overpayment chancer after his car - didn't fall for it though.

I received this from a friend this week...

"I got this from a contact in the Halifax Visa team so it is happening!!

Visa and MasterCard Scam. A friend was called on the telephone this week

from 'VISA' and I was called on Thursday from 'MasterCard'.

It worked like this: Person calling says, 'this is Carl Patterson (any

name) and I'm calling from the Security and Fraud Department at VISA.

My Badge number is 12460. Your card has been flagged for an unusual

purchase pattern, and I'm calling to verify. Did you purchase an

Anti-Telemarketing Company a device/any expensive item, for 497.99 from a

marketing company based in (any town?)

When you say 'No'. The caller continues with, 'Then we will be issuing a

credit to your Account. This is a company we have been watching and the

charges range from 297 To 497, just under the 500 purchase pattern that

flags most cards. Before your next statement, the credit will be sent to

(they give you your address), is that correct?'

You say, 'Yes'. The caller continues . . 'I will be starting a fraud

investigation. If you have any questions, you should call the 0800 number

listed on your card and ask for Security. You will need to refer to this

Control number. They then give you a 6-digit number. 'Do you need me to

read it again?

Caller then says he 'needs to verify you are in possession of your card'

(this is where the scam takes place as up until now they have requested

nothing!). They then ask you to turn your card over.

There are 7numbers; the first 4 are 1234 (or whatever, as they have your

number anyway).

The next 3 are the security numbers that verify that you are in

possession of the card' (these are the numbers they are really after as

these are the numbers you use to make internet purchases to prove you

have the card).

'Read me the 3 numbers.' When you do he says 'That is correct. I just

needed to verify that the card has not been lost or stolen, and that you

still have your card. Do you have any other questions?

Don't hesitate to call back if you do.'

You actually say very little, and they never ask for or tell you the Card

number. But after we were called on Wednesday, we telephoned back within

20 minutes to ask a question. Are we glad we did! The REAL VISA security

department told us it was a scam and in the last 15 minutes a new purchase

of 497.99 WAS put on our card. Long story made short.

We made a real fraud report and closed the VISA card and they are

reissuing us a new number. What the scam wants is the 3-digit number and

that once the charge goes through, they keep changing every few days. By

the time you get your statement, you think the credit is coming, and then

it's harder to actually file a fraud report.

THE REAL VISA/MASTERCARD DEPARTMENT REINFORCED THE POINT THAT THEY WILL

NEVER ASK FOR ANYTHING ABOUT THE CARD SINCE THEY ALREADY KNOW EVERYTHING

ABOUT IT!!!!.

What makes this even more remarkable is that on Thursday I got a call

from 'Jason Richardson of MasterCard' with a word for word repeat of the

VISA Scam. This time I didn't let him finish. I hung up. We filed a police

report (as instructed by VISA), and they said they are taking several of

these reports daily and to tell friends, relatives and co-workers so

please pass this on to your friends."

Chocolat: possible enough but much more likely someone just seeing if he could fill the internet with his email. It's been around for at least a year. Any message which finishes asking you to copy it to all your friends should be treated with suspicion :-)

http://urbanlegends.about.com/library/bl_credit_card_fraud.htm

http://www.google.co.uk/search?hl=en&q=%22Jason+Richardson+of+MasterCard%22

Hook, line and sinker jobbie then..
at least I didn't bother mailing it to anyone :)

Did anyone watched Dispatch on Channel 4 tonight?
It may not be frauds by current definitions of the law but decide on your own words ...

"DISPATCHES: PROFITING FROM KIDS IN CARE

Thursday 25 November, 9pm

In 2004, caring for Britain's most vulnerable children is a multi-million pound industry. Children in care cost the taxpayer over 830 million pounds a year. That's an average of 2,500 per child, per week - more than four times what it would cost to send a child to Eton. Yet many homes are failing to provide children with even a basic standard of care.

In this programme, Dispatches goes undercover to investigate the consequences of the increased privatisation of residential children's homes. The investigation reveals how homes are run by private businessmen charging social services departments enormous and unethical mark-ups on services - many of which aren't even provided. Fees of 7,000 a week are not unusual yet Dispatches finds private children's homes which are failing the children in many respects. Homes often use untrained, and sometimes unvetted, agency staff to look after some of the UK's most at risk youngsters - many of whom have been the victims of abuse, prostitution and drugs.

The current system is failing thousands of children a year. According to a recent report, three in five kids leave care with no qualifications at all. One in five will be homeless after two years and one in three of the current prison population has previously been in care. Tragically, some don't make it at all, with approximately 60 youngsters dying in children's homes every year."


http://www.channel4.com/health/microsites/P/profiting_from_kids_in_care/index.html

chocolat:

Interestingly, re your Mastercard/Visa scam in post 117, when you validate a newly issued AmEx card, they ask you to read the security number to them to verify that you have the card in your possession (in the same way as you would when making a purchase). The difference is, of course, that you phone them on the number stuck to the card.

D.

Do you have recent experiences of being short-changed when paying for grocery?
IMO, it is on the increase.

It happened to me again and this time at the cigarett/lottery/newspaper till in
a well-known supermarket.

Supermarkets must send out more plain cloth shoppers ..,

Of course, short-changing in goods and services are probably fairly comoon.

The below 2 scams have recently been circulated to staff.

>

>1. Watch our for any phone calls , home mobile or work.

>When you pick the phone up a recorded message congatulates you on winning an all expenses trip to an exotic location. You will then be asked to press 9 to hear more. If you press 9 you are immediately connected to a preminum phone line that charges 20 a minute. Even if you hang up straight away the call continues for 5 mintes charging you 100. If you stay on line you are eventually told to enter your house number and postcode only to be informed that you are not the lucky winner. Total cost of call to you is 260.

>

>The only safe solution to the above is to hang up before you are asked to press 9

>

>BT and the other phone companies are powerless to act as the set up is from outside the UK.

>

>Further to the above. People have recieved calls from persons claiming to be engineers testing the line. The "engineer" asks you to press 9 or 0# and text messages similar to the above.

>

>DO NOT press 9 or 0' or 0 for anyone.

>

>BT have been contacted and confirm the above is true.

>

>

>2. Mobile phone cost - but totally legal (apparently)

>

>There is another scam involving mobile phones. A missed call comes up the number is

>

>07090 203840 - the last 4 numbers may vary but certainly the first 4 are the same.

>

>If you call the number back you are connected to a premium rate phone line charging 50 per minute.

>

>Please pass this one to your family and friends to warn them