NBC 15 News reported:
Find the original article here.
Takeaway: Have a separate process for remittance changes that includes controls, validations, authentication and best practices. Implement a vendor process audit or separate approver to verify that the process has been followed.
Enroll in Training Sessions: Last Thursday of Every Month is Training on Frauds and New Scam Alerts and How to Combat
The city of Mobile says a financial scam led to the transfer of $14.7 million to bad actors earlier this month. Mayor Spiro Cheriogotis says he learned Friday about the fraud and revealed it was a single transaction tied to the ongoing arena project.
"You know, I can't talk about those specific details right now. One instruction I have currently put in place is that if a check has two commas in it, it needs to be a check hand delivered. It is no longer wired or electronically transmitted, as far as I am concerned and the city is concerned. There are additional measures that were in place. You know, whether all of those were followed or not is not something we're willing to talk about at this time. It is obviously something that we're very concerned with and investigating," replied Cheriogotis.
Note: The BBB warns other businesses in the area that the same fraudsters may target them with the same scam.
"You know, I can't talk about those specific details right now. One instruction I have currently put in place is that if a check has two commas in it, it needs to be a check hand delivered. It is no longer wired or electronically transmitted, as far as I am concerned and the city is concerned. There are additional measures that were in place. You know, whether all of those were followed or not is not something we're willing to talk about at this time. It is obviously something that we're very concerned with and investigating," replied Cheriogotis.
Note: The BBB warns other businesses in the area that the same fraudsters may target them with the same scam.
Find the original article here.
Takeaway: Have a separate process for remittance changes that includes controls, validations, authentication and best practices. Implement a vendor process audit or separate approver to verify that the process has been followed.
Enroll in Training Sessions: Last Thursday of Every Month is Training on Frauds and New Scam Alerts and How to Combat
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