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Gardaí warn of invoice redirect scam 20.05.19

GARDAI wish to alert the public to the threat of Invoice Redirect Fraud or so called CEO Fraud. They urge businesses to remind employees to treat any request to change bank account details with extreme caution. So far in 2019 losses amounting to over €4,400,000, in respect of this scam, have been reported to Gardaí.
In April 2019 alone, there have been numerous attempts in relation to this type of fraud with in excess of €2,270,000 stolen.
An Garda Síochána works very closely with the Financial Institutions who have intercepted many transactions of this nature however it can be difficult to recover funds once they have left the jurisdiction so prompt reporting is critical.
In crimes of this nature, criminals send emails to businesses purporting to be one of their legitimate suppliers. These emails contain a request to change the bank account details that the business has for a legitimate supplier, to bank account details that ultimately benefit the criminals. These requests can also come by way of letter or phone call so caution should attach to any request of this nature.
The criminal intention is that when the legitimate supplier next sends an invoice to the company seeking payment for services rendered or goods supplied, the victim business acts on the new banking instructions and sends the payment to the criminal’s bank account where the funds are quickly transferred or withdrawn. In many instances the business does not know it is a victim of this crime until sometime later when the legitimate supplier sends a reminder invoice for payment.
Businesses must ensure that they have robust policies and procedures in place to deal with requests of this nature. It is important to note that victims of Invoice Redirect Fraud range from very small businesses to large corporations and the consequences of falling for a scam of this nature can be catastrophic, so all employees should receive training in relation to avoiding this type of scam.
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