Thread: Cut and paste snippets about scams.

Fake Facebook accounts asking people for money, there's a first.

The two pages look the same, but someone under the fake account has been sending out friend requests. Once the person accepts it, they get a private message similar to this: "I've been trying to reach you lately because I have great news to share with you." The person then gets a message from a "David Williams Officer" who claims he is a federal agent. The so-called agent asks if you are ready to claim your money he has been holding and sends instructions on how to collect.

Sheriff's Facebook page hacked, possible money scam - WAFB 9 News Baton Rouge, Louisiana News, Weather, Sports

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DR PHIL SCAMS. Uh yeah, lets not feel too sorrry for Phil he has some questionable antics himself. But you my good reader need not fall for this nonsense either.

DR PHIL SCAMS PART II -- DON'T SEND PEOPLE MONEY. I also just realized in Dr. Phil fashion this goes on for 8 videos. LOL, blah blah blah.

Here is one I just saw on FB.

ALERT!!!!! ALERT!!!!! ALERT!!!!!
Don't accept a friend request from
Nichole Morgan 43 years old, from EL Paso, TX and sometimes says from San Antonio Tx, Wa. or Fl, ....she is a HACKER. Tell everyone on your list cause if someone on your list adds her then she will be on yours too. She will figure out your computer ID and address, so send this to everyone on your list even if you don't care for them cause if she hacks them, she hacks YOU too. She is also noted for repeated sexual harassment and indecent private chatting. users beware!

PLEASE FORWARD THIS TO ALL YOUR FRIENDS!!!!!!!!!!

People are posting it on their timelines but BEWARE!!

Nichole Morgan Friend Request Hacker Hoax


https://www.facebook.com/photo.php?f...type=1&theater



According to this message, which is circulating rapidly via Facebook and other social media sites, users should not accept friend requests from a person named Nichole Morgan. The message claims that just accepting her friend request will allow this Nichole Morgan to take control of your computer and hack the computers of people on your friends list as well. It also warns that the woman is known for repeated sexual harassment incidents. The message features a photograph depicting the supposed hacker.

However, the claims in the message are nonsense. In fact, the message is just a revamped version of a series of very similar hoaxes that have circulated via social media and email for years on end. The wording of this new version is clearly derived from earlier variants, including one that named a Christopher Butterfield as the supposed hacker:
DO NOT ACCEPT a friend request from a CHRISTOPHER BUTTERFIELD he is a hacker. Tell everyone on your list because if somebody on your list adds him u get him on your list too and he'll figure out ur computer's ID and address, so copy and paste this message to everyone even if u don't care for them cause if he hacks their email he hacks your mail too! SEND TO ALL FRIENDS. Copy and paste to ur page...

All such warnings are hoaxes. The messages suggest that just accepting a person - in this case Nichole Morgan - as a "friend" on your contact list will give the hacker access to your computer along with the computers of everyone else on your list as well. This is total nonsense. Cybercrooks use a range of tactics to trick users into relinquishing access to their computers. They might, for example, trick victims into installing trojan software that allows a computer to be controlled remotely. Or they might use a phishing attack to trick a victim into sending them personal information such as usernames and passwords, which would, of course, allow them to access their victim's account. However, even the smartest criminal will not be able to hack your computer just by being added to your contact list. For a hacking attempt to be successful, some sort of file transfer or exchange of information must take place.

The Nichole Morgan version of the hoax is more heinous than most in that it includes a photograph of the person accused of doing the hacking and harassing. False messages such as this can severely damage the reputation of innocent people. The hoax may have been created by a person with a grudge against the pictured woman. Or it may have started as an amazingly ill conceived prank perpetrated by one of the woman's friends.

Sending on this bogus warning will do nothing whatsoever to help you stay safe online. Moreover, its continued circulation may hurt an innocent person. If you encounter this hoax message, please do not share it with others. And please let the person who posted it know that the message is a hoax.

Looks like people will try anything these days!

RAMSOMWARE SCAM.

Understanding Scareware and Ransomware

Something new to worry about!

Just what is Scareware and Ransomware? While most internet users are at least basically familiar with viruses and malware, there are new ‘wares’ being adapted by cyber criminals: so-called ‘scareware’ and/or ‘ransomware’. So what are these and how can we avoid them?

We’ve all seen pop-up ads, and those seemingly unending offers to upgrade our virus protection software. However, some of these pop-ups may be using new tactics of scareware.

A message pops up (which you can’t easily close with the ‘close’ or ‘X’ option)… it tells you that your computer is infected with multiple viruses… and you can purchase software that purportedly will remove these viruses… the collect payment option appears… you get scared that your computer is infected and purchase scareware. Some of these scareware ads will even go so far as to show icons or links to reputable legitimate software companies; the links to the legitimate websites won’t work though. In reality, you may be paying scammers for a bogus service, and in the process most likely infecting your computer and making it more vulnerable.

Ransomware is similar, but is used for extortion scams. When ransomware is installed on a user’s computer, typically the computer freezes and a message pops up. This time, the message is claiming that the government or police where you live have been monitoring your computer use… you’ve violated such-and-such law… your IP address (and it may be shown in the message) was identified as visiting a child pornography or other illegal website… you will have to pay a fine… you can’t access your computer until the fine is paid… here’s how to pay. Some may even claim that if you do not pay within a certain time frame, then you will be subject to prosecution. You pay and the scammers get their money, and most likely your computer is left vulnerable by the software as well. Legitimate law enforcement and governments do not assess fines or penalties for internet crimes in this way. It’s just another case of cyber criminals attempting to extort money through their malicious software.

In the case of scareware or ransomware, even after the ‘scare’ or ‘ransom’ is over, the malicious software may still be present on your computer. You may be open to online banking and credit card fraud.

So what can be done to avoid these ‘wares’? Use common sense and pay attention when clicking on pop-up ads. Keep your anti-virus software up to date. If you think your computer may be infected with viruses, then research and find a reputable legitimate software to use. When you purchase it, legitimate anti-virus software will always have a secure payment option. Also, remember that the police can’t lock your computer unless they come to your house!

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MORE SCARY COMPUTER STUFF, JUST READ A BOOK.


Why you should NOT install ‘Fun & Entertaining’ Facebook Applications

Why you should NOT install

January 26, 2012

in Internet Safety & Privacy

We often have readers ask us questions about specific Facebook applications. Some apps generate an enormous amount of spam and can annoy the heck out of your Facebook friends. Others are outright scams and should be avoided entirely. For example, any application offering to show you who has viewed your profile, who your Facebook stalkers are etc., are guaranteed to be fraudulent. Facebook doesn’t allow developers access to the data required to create apps like this.

There are a couple of things you should know about third party Facebook applications. First off, there is no formal review process for applications or developers on the Facebook platform. Anyone and everyone (scammers included) can create apps. This is far different from the “Walled Garden” approach taken by Apple. Many unsuspecting users might be under the impression that if it’s on Facebook then it must be legitimate. That is totally not the case.

The majority of Facebook applications that virally spread on the platform are questionable at best (virally here means spreading quickly and not that it necessarily contains a virus.) If you click on the info tab of the application and there is nothing known about the developer, then we highly recommend that you do not proceed with the install. For your maximum safety and protection, it is essential that you only install apps from trusted, well known sources.

A conman has been preying on ‘kind-hearted’ pensioners in a village near Stourbridge, taking cash from them after claiming he needed it to visit his sick wife, police said today.

Hagley pensioners are conman victims « Express & Star
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90 months in jail, seems a little light for stealing a few million.

Forehand used the business name “USA Marketing,” to solicit investments from people, mainly in South Alabama and the Florida Panhandle, between 2006 and November 2009. Forehand told investors that he had a relationship with Vicky Yeager, who sold cookware to colleges and universities through her business Elite Marketing.

Forehand solicited investments in Elite from his victims. He promised the victims extraordinarily high rates of return, up to 700 percent, on their investment in Elite.

Dothan man sentenced to federal prison for involvement in Ponzi scheme where investors lost nearly $3 million | al.com

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I have no idea who this guy is, but there are quite a few "gurus" that float around asking for money for this and that with unpaid judgements. Just one more thing to look for if you are seeking a business partner. And the credit card bills were so big, they have to go first.

Their credit card bills, totaling more than $3.4 million dollars, including $20,000 in charges at Nordstrom's and thousands more spent on hair plugs for Bontrager.

Bontrager was convicted in 1983 and 1994 for bank fraud. As a result, he was ordered to pay $687,000 in restitution, but that never happened.

Bellevue developer convicted in 'massive' tax evasion scheme | KING5.com Seattle

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Sharon Pina, of Victorville, received a call at her residence recently from a man who identified himself as an employee of the gaming commission, she said.

The man said she had won several thousand dollars in a contest, but to take possession of the check it had to be insured at a cost of $3,000 to $4,000.

Victorville woman sees through gaming scam | victorville, through, woman - Victorville Daily Press

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SACRAMENTO, CA - A Seattle-area man and woman were taken into custody on suspicion of defrauding numerous victims, described as elderly, out of tens of thousands of dollars by convincing them they had won multi-million dollar lotteries or sweepstake prizes which they could claim by pre-paying taxes on the winnings.

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One woman from Woodland is believed to lost more than $127,000, according to the criminal complaint filed with U.S. District Court, Eastern District of California.
IRS: Fake lottery winnings scam claims area residents | news10.net

Defendants offered to buy gold for cheap in Africa for three of their relatives and acquaintances, then refine it stateside and re-sell it.

Instead of turning a profit, though, they pocketed their partners' cash -- $340,000 in total, prosecutors allege.

Staten Island grand jury indicts two men in alleged gold-refining scam | SILive.com

This reminded me of the Black Money Scam. This is the carnival barker version, but there are many variations going into the 100s of thousands of dollars.

TITLE SCAM GOING AROUND POST SANDY.

BOSTON (MassDOT) - MassDOT’s Registry of Motor Vehicles is urging used car consumers in the Greater Springfield area to pay extra attention to vehicles with out of state Oregon titles.

Reconstructed titles from Oregon are being used to mask vehicles damaged during Hurricane Sandy.

Hurricane Sandy title scam hits Springfield area | WWLP.com

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The Attorney General's Office said the intended victim will get a phone call or text message saying that the person's debit or credit card has been compromised and asking for personal information. The scammers will then ask for one of two things.

"One is that you click on a website that's a phishing website, a scam website that looks real, or the other one is to just ask for a reply with the personal information," Head said.

Read more: AG issues new warning about bank scam | Local News - WMUR Home

An organized cybercrime ring is amassing profits by targeting smartphone users in Russia with promises of free downloads that turn out to be malicious software. Some Russians have seen their phone bills spike after downloading what they thought were free applications, songs or porn advertised to them in Twitter messages, according to Lookout Security, which plans to release a report about the scheme today.

The malware forces Android phones to discreetly send text messages to phone numbers set up by the hackers. Those numbers charge service fees to the user's mobile operator, which later appear on the subscriber's phone bill. The system is similar to how ringtones are bought. The hackers hide their tracks by deleting evidence of the messages from the devices.

Russian Text-Message Scam Covers Its Tracks While Racking Up Huge Phone Bills - Bloomberg

This is the ugly step sister of the black money scams.

PONZI SCHEMES. They all sound the same...

Promoters raised approximately $2.6 million from 158 investors, most of them Oregonians, during a three-year period ending in 2007. Promoters told investors that their money would be used to mine for gold in British Columbia and that they would not have to wait long to receive a substantial return.

In fact, the mine was not operational, the state said, and salespeople hid multiple investment risks.

They lied about having innovative proprietary mining technology and special contracts to sell gold through European bullion banks. They issued "promissory notes" and "gold certificates" to investors, although the department's Division of Finance and Corporate Securities had not licensed them to sell investments.

Ore. levies major fines in gold mine investment scam | News - Home

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When she met Maurice Michael McCant in 2007, he presented himself as a successful CEO of Billionaire Catt Entertainment, a rap concert promotion business, and promised to deliver more than 25 percent returns by investing in his company. After seeing these high returns on initial investments, she decided to liquidate her entire individual retirement account and other savings totaling $1.3 million and invest with McCant. It was a disaster.

Getting burned twice? Financial fraud and tax liabilities

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One for the sports fans.

Frisch and others are accused of submitting false information to obtain more than $50 million worth of life insurance policies for unqualified applicants who didn’t plan to pay the policy premiums. Authorities say they received more than $1.6 million and the ability to sell the policies to investors.

Ex-Dallas Cowboys lineman charged with others in $50 million insurance fraud | Dallasnews.com - News for Dallas, Texas - SportsDayDFW

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There seems to be a lot of this going around right now, internet extortion. This video is sort of hokey but gets the point across. Of course in the video they catch the criminals that almost never happens. If you are going cyber, my suggestion is to insist on one of those leather masks with the zipper, it gives you some plausible deniability.



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(Reuters) - In a victory for federal regulators, an administrative judge has found three former executives who worked for Allen Stanford's now-defunct brokerage liable for fraud and said they should banned from the industry.

The ruling comes more than a year after Stanford was sentenced to 110 years in prison for bilking investors through a Ponzi scheme with fraudulent certificates of deposit issued by Stanford International Bank, his bank in Antigua.

In her ruling, Securities and Exchange Commission Judge Carol Fox Foelak described as "egregious" the conduct of former Stanford Group Co. chief compliance officer Bernerd Young, former president Daniel Bogar and Jason Green, a former head of the private client group.

Foelak also ordered the three executives to pay fines and forfeit ill-gotten profits.

The SEC's case against the three executives did not allege they actually knew about Stanford's Ponzi scheme.

Instead, it hinged on whether they sufficiently ensured that marketing materials and other disclosures were adequate for investors.

All three executives have vigorously denied any wrongdoing.

Young, who was previously a regulator with the group now known as the Financial Industry Regulatory Authority, told Reuters in the summer of 2012 that he took due diligence steps including reviewing quarterly financial statements and reading annual reports about the bank.

But he said in the exclusive interview that Antiguan privacy laws kept him from seeing more details about the investment portfolio, so he relied on the bank's compliance experts.

"If there is such a thing as a...perfect scam, this was the perfect scam," Young told Reuters last year.

Foelak ordered Young, Bogar and Green to each pay a $260,000 civil penalty.

In addition, Young was ordered to return roughly $592,000 plus interest. Bogar was ordered to forfeit about $1.5 million, and Green must pay $2.6 million.

Lawyers for both Young and Bogar said they were disappointed in the judge's ruling and are still considering their options.

If they decide to appeal, the case would first go before the full five-member SEC.

"Mr. Young...is deeply troubled by the initial decision's disturbing implications for the securities compliance industry and the newer and more Draconian standards that compliance officers may be facing," said Randle Henderson, Young's attorney.

"The decision demonstrates the real danger to compliance officers relying upon advice of independent outside counsel, fully licensed and qualified accounting firms and the audited financial opinions they issue, and the sovereign financial regulatory agencies of foreign countries."

Thomas Taylor, a lawyer for Bogar, said that while he felt his client got a "full and fair hearing," he disagreed with her outcome profoundly.

An attorney for Green could not be immediately reached.

Friday's ruling by the administrative judge marked the second big trial victory for the SEC in one week.

On Thursday, a jury in New York found former Goldman Sachs Group Inc. vice president Fabrice Tourre liable for federal securities law violations for his role in a complex mortgage deal that cost investors $1 billion when it failed.

SEC judge rules Stanford executives are liable for fraud | Reuters

Tax fraud by identity thieves is on the rise, and the Internal Revenue Service should respond by beefing up enforcement and do more to make victims whole, a House panel was told on Friday.

The House Oversight and Government Reform operations subcommittee hearing put acting IRS chief Danny Werfel on the hot seat -- not only because the government is losing millions to scammers, but also because of ongoing political tensions from the investigation of the scandal over inappropriate targeting of conservative groups.

Incidents of taxpayer identity theft this year rose to 1.9 million as of June 29, 2013, according to the Treasury Inspector General for Tax Administration, up from 1 million in fiscal 2011.

“The IRS complains of a lack of resources, but it has 21 units tackling the problem and it’s gotten worse, not better,” said subcommittee Chairman Rep. John Mica, R-Fla. “We’re lucky [bank robber] Willie Sutton is no longer around today or he would be scamming the IRS.”

Mica made a point of saying that the issue is neither a new problem nor a scandal, “and we’re not here to pick on the IRS,” he added. But the agency “has a number of problems, and unfortunately, this continues.”

Ranking member Rep. Gerry Connolly, D-Va., agreed that 1.9 million is “an epidemic that is profoundly unacceptable.” He described the case of an identity theft victim from Fairfax, Va., whose tax return was rejected because a thief had already filed and collected a refund in his name. It took two years for the IRS to resolve the mess, but the taxpayer continued to have problems refinancing a house because his credit report reflected tax delinquency. “If we can step up enforcement and deter identity theft, we can help taxpayers and our constituents,” Connolly said.

Michael McKenney, Treasury’s deputy inspector general for audit, said the IRS has made “some progress but significant improvement is still needed.” He cited 860,000 problematic tax returns from the 2013 filing season costing up to $4.2 billion, including 446 tax refunds totaling nearly $600,000 being sent to a single bank account. The agency needs more access to third-party documents for verification, McKenney said.

Werfel described an ongoing “comprehensive strategy” to thwart identity theft under way at the agency he joined nine weeks ago, saying the IRS was currently conducting 1,100 investigations that had produced 785 indictments through June. So far this year, he said, IRS had suspended or rejected more than 4.6 million suspicious tax returns, already surpassing last year’s total, with 565,000 cases closed. “New procedures and programs have been adjusted to make the process faster,” Werfel said. Recovery time for victims is down to less than 120 days, in part because of greater centralized effort and in part because of a partnership with private-sector banks and software vendors.

“We have 3,000 employees, more than double the number during last year’s filing season, on what is one of the biggest challenges facing the IRS,” Werfel said. "It is an evolving learning process, and the goal is to get ahead of the schemers. There is a lot of work to be done, but it is trending better.”

Obstacles to progress Werfel cited include “the sheer volume and complexity of the problem, the need for upgraded technology filters and authentification procedures, and the difficult budget environment.”

IRS’ budget has been cut by $1 billion since 2010, costing 8,000 positions, and it lost $618 million this year from the sequester, Werfel said. “This forces some very difficult performance tradeoffs," he said. "Without a budget increase, we will face difficult choices. If we incur additional budget cuts, we would no longer be able to sustain our current level of effort on identity theft without significantly weakening other programs.” Last month the House Appropriations Committee backed a 24 percent cut for the IRS.

National Taxpayer Advocate Nina Olson told the panel that while the IRS has beefed up protections against identify theft since she first flagged the issue in 2004, “They have not made comparable strides in providing assistance to victims. Despite some improvement in cycle times, they continue to be six months or longer, she said, noting that unresolved cases reported to her office rose by 61 percent from fiscal 2011 to fiscal 2012, and are trending upward this year.

“That’s a pretty good barometer of the IRS’ problems,” Olson added. She suggested a new centralized office and a single point of contact for victims as they deal with the tax agency.

The state of Georgia has had some success with an anti-identify theft program, according to Douglas MacGinnitie, the state revenue commissioner of Georgia who himself was a victim of identity theft. Georgia officials spent $2.6 million to scrub the tax return database to flag returns with irregularities, MacGinnitie testified. The selected 44,000 taxpayers were then asked to respond to a few brief online questions, which delayed processing of their returns by an average of one to five days. But the overall savings for the state in avoided fraudulent refunds totaled $23 million.

IRS Told to Do More to Curb Identity Theft Fraud 'Epidemic' - Management - GovExec.com

By Elaine Silvestrini | Tribune Staff
Published: August 4, 2013
TAMPA - The IRS is running into problems as it struggles to get control over the wave of identity theft tax refund fraud that has engulfed the Tampa area and spread to other parts of the country over the last three years.

Two recent watchdog reports concluded authorities are making progress but need to do more to help identity theft victims and stop issuing refunds to thieves. The Government Accountability Office also says the IRS still doesn't know the total extent of the fraud.

And witnesses at a congressional hearing in Washington on Thursday said the fraud is continuing to rise nationwide. As of June 29, the IRS had identified almost 1.9 million incidents of identity theft this year, according to testimony, compared to about a million incidents in 2011.

The IRS reported that in the first half of this year, the agency had stopped the issuance of $4.2 billion in potentially fraudulent tax refunds associated with almost 860,000 tax returns that involved identity theft, Michael R. McKenney, acting deputy inspector general for audit told Congress. But he added that the IRS doesn't know how many identity thieves are filing fictitious tax returns and how much revenue is being lost through fraudulent tax refunds.

The IRS inspector general plans to issue a report in September in which it will find that although the IRS has improved its detection of identity theft refund fraud, thieves are still managing to steal billions, according to McKenney.

The national Taxpayer Advocate wrote in a report to Congress that the IRS is "still harming victims by extensively delaying case resolution." Moreover, filters the IRS has created to weed out fraudulent tax returns "ensnare far too many legitimate filers."

The Inspector General for Tax Administration concluded that the IRS's Taxpayer Protection Program is improving identity theft detection but needs to make adjustments to reduce the burden on taxpayers.

Locally, officials say work remains to be done as thieves continue to use stolen identities to steal from federal taxpayers, even as law enforcement solidifies its improved relationship with IRS criminal investigators and federal prosecutors.

"The new relationship with the IRS has streamlined the process and it's made investigating the crimes much easier," said Tampa police spokeswoman Andrea Davis. "We do believe (the fraud is) still going on, and we're still seeing activity. We're not seeing as much of the flaunting of the money and the cars in the traffic stops and the search warrants we're doing. Yes, we're still inundated with cases and we're still working cases."

After early issues that made prosecutions difficult, more suspects are now facing justice. The U.S. Attorney's Office in Tampa has brought charges against about 45 people so far this year, compared to about 30 people in all of last year.

Davis said recent prosecutions and sentences of high profile defendants - including a 21-year-sentence for Rashia Wilson, who had called herself the "queen" of tax refund fraud - has sent a strong message of deterrence. "I think the word is out," she said, "so whether it's 'Let's lay low and do it more quietly,' or it's really stopping, that's something that I guess we'll see in time."

Hillsborough Sheriff's Cpl. Bruce Crumpler agreed that the Wilson sentence had an impact. "We've got their attention," he said.

Crumpler said his sense is the number of people involved in the fraud has gone down but that those who are still committing it are stealing more money.

The Taxpayer Advocate, which helps filers having problems with the IRS, says the number of identity theft complaints it receives continues to rise. The Taxpayer Advocate saw a 61 percent increase in identity theft cases from fiscal year 2011 to fiscal year 2012, and a 66 percent increase from 2012 to 2013. Current trends appear to be heading in the same direction.

But in Tampa, postal workers say they are intercepting "significantly less" suspicious refunds in the mail. From January through the end of July, postal inspectors pulled more than 28,500 suspicious refunds, according to Postal Inspector Doug Smith. In the same period last year, inspectors pulled 105,000 suspicious refunds from the mail.

It's possible, however, that local thieves know law enforcement has cracked down in Tampa and are having refunds sent to other places, Smith said. Law enforcement officials have documented numerous cases that cross state lines. Just last week, for example, a Wesley Chapel woman was sentenced in Missouri federal court to 22 months in federal prison for her involvement in a tax refund fraud scheme. Tania Henderson was also ordered to pay $835,000 in restitution.

According to testimony given to Congress last week, the IRS estimates it would cost about $22 million to screen 1.2 million tax returns the inspector general says need to be verified. "Without the necessary resources, it is unlikely that the IRS will be able to work the entire inventory of potentially fraudulent tax returns it identifies," McKenney said.

Meanwhile, the IRS says it erected 13 new filters this past filing season designed to prevent fraudulent refunds from being issued to thieves and expects to create even more filters next year. Part of that effort involves the Taxpayer Protection Program, which reviews tax returns that are identified by the IRS as involving possible identity theft and then has workers try to verify whether they are valid.

If the identity of the filer can't be identified, the IRS doesn't process the return.

The program had 10 employees assigned to answer a toll-free telephone line in the 2012 filing but were able to answer only 24 percent of the calls, according to the Inspector General's report. The IRS transferred the responsibility for answering the calls to another unit this year, and more than 200 employees answered the line this time.

The Taxpayer Advocate report says it has significantly reduced the amount of time it takes to resolve identity theft cases for taxpayers, taking an average of 99 days to close cases compared to 125 days two years ago. But the IRS processing time for identity theft cases is actually increasing. Although service-wide statistics were not available, the Taxpayer Advocate said that for many categories of identity theft work, the IRS takes between six months and a year to resolve cases.

This, the advocate wrote, "is simply not acceptable for the hundreds of thousands of victims, and almost guarantees that these victims will be caught up in the IRS processes for a second filing season."

Another problem involves personal identification numbers the IRS issues to taxpayers who have had their identities compromised. The idea is for the taxpayers to use the numbers when filing later tax returns, preventing thieves from using their identities to file again. When taxpayers lose their PINs, the IRS has a procedure to issue replacement numbers. But the taxpayer advocate's report says all taxpayers using replacement PINS are having their returns marked "unpostable," meaning they have been identified by computer filters as possible fraud. This delays the processing of the returns for about six weeks.

"Preliminary analysis suggests an astonishing 81 percent of tax returns flagged as unpostable are eventually deemed legitimate," the advocate's congressional report states. "It is not acceptable for so many legitimate taxpayers to be harmed by having their returns unnecessarily rejected and delayed."

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Government effort not stopping tax fraud cases | Breaking Tampa Bay, Florida and national news and weather from Tampa Bay Online and The Tampa Tribune | TBO.com

CRAIGS LIST JOB SCAM.

Job ad may have led to Post Office scam
Man says he was taken in by Craigslist ad

Updated: Monday, 05 Aug 2013, 7:08 PM EDT
Published : Monday, 05 Aug 2013, 7:08 PM EDT

By Henry Erb

GRAND RAPIDS, Mich. (WOOD) - "I think I've been used in a scam," a Grand Rapids man wrote to Target 8 investigators in an email.

Saylor Loft says he answered a Craigslist employment ad seeking delivery drivers for what billed itself as an industrial design company. But now, he worries that he could become the target of a federal investigation.

The company calling itself Industrial Design Pros sent him to an office in the Calder Plaza Building in downtown Grand Rapids to fill out his application. That boosted the deal's credibility.

Loft says he never met his employer face-to-face. All their business was done by phone, text or email.

He says the man he dealt with on the phone started him running errands like getting quotes for paint and for 100,000 envelopes for a big mailing. He now suspects that was "bait" to so the next step wouldn't seem odd.

That step was to pick up some paperwork at a FedEx store. Inside an envelope was a check for nearly $6,000.

"This was a company check with their name Industrial Design Pros on the top, my name under that and the Monroe Street address," he said.

Then he says he was told to take the check to the United States Postal Service office in Comstock Park. He says it appeared the company had already placed an order because the staff knew what he was talking about.

"I didn't know what I was talking about," he said. "I didn't know what I was there to pick up and they said, 'You've got almost $6,000 worth of stamps.'"

He said his boss told him on the phone to sign the check and buy the stamps. He says he did and that he quickly heard that the company was "not going to be able to get our mailing out in time locally" and to send the stamps to a FedEx store in Burbank, Calif. to be picked up there by someone.

He said he had a few more contacts with the company after he mailed of the stamps, but it soon stopped. Now, no one returns emails or phone calls.

"These guys have just dried up and disappeared," he said.

Target 8 investigators could not find a web site for the company. There was no corporation registration for the company on the State of Michigan website. Investigators tried calling what appears to be a local phone number, but nobody answered.

And Target 8 investigators found that the place at the Calder Plaza Building where Loft went to fill out his application is a company that rents out both real and virtual office space.

"They rented a temporary space with us for a day and then they were gone," a receptionist there said, adding that about 10 people came in to fill out job applications, but that the company never picked them up.

Loft says the man he talked to, however, told him he had passed his application on to someone in human resources. It's just one more thing that worries him.

For Loft, it all leads to the concern that the check he used to pay for the stamps is bogus. Crooks can sell the stamps online at discount prices.

It's not yet known if the check is bad. The Comstock Park USPS says it might not know because such a matter would go to an accounting department. A Postal Inspection Service spokesman said he hasn't heard of this specific case. A Post Office spokesperson is looking into it.

Loft said he bought the stamps on July 26. It sometimes takes two weeks or more for a bad check to show itself, so it may be too early to know if the check Loft bought the stamps with was real or not.

Loft said he talked to the FBI, which sent him to the Grand Rapids Police Department, which he says wasn't interested. He says he is next going to talk to Postal inspectors, because if the check bounces they are the ones who will come after him.

On top of that, Loft said, "I turned down two other jobs to take this. Mind you, I'd been unemployed for a year. So that's a big deal."

Job ad may have led to Post Office scam | WOOD TV8

I have received a lot of mailings saying I've won large sums of money. I suspect they are scams but could you please check them out, just in case?

TW, Worcestershire Scam letters: 'Don't be taken for a prize idiot' - Telegraph

You enclosed several envelopes containing literature with the distinctive, semi-glossy feel of old-fashioned football pools leaflets. There the similarity ends. Whereas the pools give at least a fighting chance, what you have sent me does not bear scrutiny.

What stopped you disposing of them was the promise of large sums of money in a draw which, on the face of it, seems already to have taken place with you, the outright winner.

One letter says: "You are a confirmed winner of £15,500." Then, further down, this sum becomes €15,500. This is the norm for such scams, which tend to be full of silly contradictions and quirks. On top it reads: "The Official Letter enclosed is Formal Proof of this!" The exclamation mark indicates even the author cannot take what is being written seriously. The paperwork urges you to make a single order from a tacky catalogue of health and beauty products within 10 days. A hotchpotch of barely decipherable conditions follows.


Innovative businesses: the team behind Belle & Boo

The letters came from Belgium and Ireland.

Elsewhere a "specimen sealed letter" proclaims: "This is NOT a possibility in this case it's a CERTAINTY."

There are several images of a large cheque made out to you, giving the strong impression it is yours for the asking. There is also an incentive in the guise of a "free gift" to spend more.

On careful reading this turns out to be an entry to a prize draw for which there is just one winner, who may not be you after all – or anyone else for that matter, given the rest of the chicanery.

Another letter mentions a "£10,000 Jackpot Prize" which is purportedly "deposited safely and awaiting award!" Having ignored an earlier communication, you are now cajoled with: "Didn't you find the blue envelope with 'Congratulations, you have definitively [sic] won' in your letterbox?"

All in all these are, to put it bluntly, "suckers aboard" offers.

Be that as it may, such scams are a pest to some older and fragile people who believe they are bound to win a large prize if only they keep buying things they do not need or want. Saying "no" seems impossible for some people who, for whatever reason, lose a sense of perspective. This syndrome of believing, despite evidence to the contrary, can be a real trial to a victim's weary family just as gambling might be.

A Department for Business, Innovation & Skills spokesman said: "Scammers often prey on trusting or vulnerable consumers and in some instances they use the names of reputable organisations to appear credible. We are determined to clamp down on this illegal behaviour which can leave unsuspecting victims heavily out of pocket.

"We have been working with local Trading Standards Services, the Office of Fair Trading and the Citizens Advice service to raise consumer awareness and help them know how to spot a scam."

Trading Standards says it can refer such activities to the European Consumer Centre. This can be processed via the Citizens Advice helpline. The centre is a network across the European Union and can be approached by any member of the public who has a cross-border European dispute off their own bat if they so wish. It is not an enforcement body but shares information with its counterparts in the member states. See ukecc.net or call the UK European Consumer Centre on 0845 604 0503.

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Phone scam targets MECO customers
August 5, 2013
The Maui News
Phone scam targets MECO customers - Mauinews.com | News, Sports, Jobs, Visitor's Information - The Maui News

Someone is calling Maui Electric Co. customers, claiming to be a representative and directing them to pay their power bills over the phone to avoid any disruption of service, the electric company said Friday.

Maui Electric is alerting customers to the telephone scam, saying its employees do not call customers to request a credit card number or direct them to submit payments via another option.

Legitimate payment options include: by phone to 871-9777 (or toll free at 877-871-8461 from Molokai and Lanai), via online at Maui Electric: Home Channel Page, U.S. mail, or in person at MECO's Kahului or Molokai business offices or at First Hawaiian Bank, Walmart or Western Union locations.

Customers should be suspicious of callers and never provide personal, confidential or financial information to someone on the phone. Telephone scam calls should be reported to police.

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Hawaii Gas warns customers of meter reading scam
Posted: Aug 05, 2013 10:05 PM EST Updated: Aug 05, 2013 10:05 PM EST

HAWAI‘IGAS truck and employee uniform HAWAI‘IGAS truck and employee uniform

HAWAI‘IGAS employee uniform HAWAI‘IGAS employee uniform
HONOLULU (HawaiiNewsNow) -http://www.hawaiinewsnow.com/story/23052606/hawaii-gas-warns-customers-of-meter-reading-scam

Hawaii Gas is warning its residential customers about a scam involving an individual impersonating a Hawaii Gas employee in an attempt to gain access to their property.

The company reports at least one instance in the East Honolulu area where a customer was brazenly approached by an individual wearing blue coveralls who arrived in a white unmarked truck. The impersonator claimed to be from a company called Hawaii Star Energy and was hired by Hawaii Gas to read the customer's meter.

The impersonator then requested access to the property. Hawaii Star Energy is not an actual company, and Hawaii Gas does not hire third party entities to read meters.

Hawaii Gas reminds its customers that all of its employees wear a Hawaii Gas patch on their coveralls and carry a Hawaii Gas ID badge.

Employees also drive vehicles clearly branded with the Hawaii Gas logo. Hawaii Gas encourages customers to call Customer Service at 535-5933 if they suspect suspicious activity or have any questions.

Hawaii Gas would also like to remind customers not to provide personal, confidential, or financial information to any unidentified individual, and to be cautious when responding to phone calls and report any suspicious activity to their respective police department.


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This has some good tips for small business owners.

4 Kinds of Fraud That Could Destroy Your Business
Matt Garrett

Get two entrepreneurs in a room and chances are one, if not both, have been the victim of accounting fraud. According to the Association of Certified Fraud Examiners annual report, nearly half of all small businesses experience fraud at some point in their business lifecycle. It will cost these organizations an average of $114,000 per occurrence. Worse, such fraud is usually committed by a "loyal" employee.

As the head of a managerial accounting service, I've uncovered hundreds of fraudulent activities affecting perspective clients. The amount can vary greatly, from a few thousand dollars to millions.

Let me share some true stories that highlight four common types of fraud for business owners and ways they can be avoided:

1. Payroll fraud.
Last year, we took on a local construction firm as a new client. Their payroll account had never been reconciled to their time-keeping system, so we made that one of our top priorities. According to company records, two workers and their manager were working massive hours and getting paid a ton of overtime that amounted to more than $80,000 in additional annual pay. Their timesheets revealed they were working on construction projects that were more than 50 miles away from one another simultaneously.

Hmmmm. It took about three seconds to figure that out and fire the employees, but the money was gone.

While it is easy for you and me to say that this could never happen to us, the additional salaries given to these three guys amounted to an increase of only four percent of the total payroll cost -- a figure that when unchecked could easily slip through the cracks. Most companies don't keep clean enough records to notice such an amount, especially when they fund a six-figure weekly payroll.

The best way to prevent payroll fraud is to reconcile all balance sheet accounts and payroll records monthly or, at the very least, quarterly. Look for any discrepancies and investigate them until you have a clear answer.

2. "Double check" fraud.
I know of a restaurant whose former bookkeeper stole $550,000 over five years. She did this by writing two checks each time she paid a bill, one to the vendor and one to herself. For example, if she had to pay $500 to ACME Insurance Company, she would simultaneously write another check to herself for $100 that she coded in the accounting system as "ACME."

It is very hard for business owners to catch this type of activity. Even if they are looking at the financial statements frequently and the bills look a little high, they can generally seem reasonable. But this can add up quickly. In this case, more than half a million dollars was stolen by writing 20 to 30 "double checks" per month for nominal amounts spread across multiple expense accounts.

This fraud was only detected when the bookkeeper fell ill and another bookkeeper took her place. Very quickly, the new person noticed that the bank account had not been properly reconciled in months. After doing so, it was clear that there were multiple payments in the same month to the same vendor.

As a business owner, it is difficult to find good accounting help, but it is important to have more than just one person signing checks and reconciling the bank account. Also, it is important to have an outsider come and look at the books and reconciliations at least annually, and at random times.

3. Over-ordering fraud.
Another one of our clients had a 12-year part-time office manager who would routinely order and receive all the office supplies. She was paid $10 per hour and given just enough work to get her up to the point (but not over) where she still remained ineligible to receive health benefits. She was a single mother, had a child at home, and became disgruntled.

For at least the last three years of her employment, she began over-ordering office supplies. She would return supplies the company did not need in exchange for a gift card, which she then used to buy something small and take the remainder in cash. It is unclear how much was stolen, but our estimates were that in one year it was over $19,000.

The easiest way for this business to have avoided this type of fraud is to do the right thing from the start. Good employees pay for themselves on average tenfold, and bad employees can ruin companies. In this case, the manager was short-sided in wanting to save $250 per month in health insurance premiums. The result was an unhealthy work environment and a scenario where this lady felt that it was “fair” for her to steal.

4. "Friendship" fraud.
A brilliant engineer friend of mine once hired his best friend's daughter to be his bookkeeper. He had known her as a kid. She was smart, hard-working and, because she was a single mother, she needed a sound income. As it turns out, she also felt mistreated by her father, felt her previous boss was out to get her, had problems at home, and needed this job to get out of debt. My friend is a great guy and a very trusting person. Within a year, the bookkeeper was the only one writing, signing and authorizing checks. She was running payroll and the only contact for the IRS.

In late 2011, he was astonished to learn that all of his bank accounts were frozen and levied by the IRS. Though he had paid and filed all of his personal income taxes on time, his bookkeeper was stealing the money that was supposed to go to payroll taxes. As the only IRS point-of-contact for the business, she strung this out over a three-year period and stole $439,000. Three days later, the company was forced to shut down, 15 employees lost their jobs, and the shareholders (including her father) lost all of their money.

The moral of the story is to never hire anyone solely based upon friendship, family, obligation, or feelings of sympathy. Build a culture of accountability, measure results, and make sure everyone knows that you are looking at their performance. Then, hire based on talent, and pay for that talent to perform at a high level of accountability and integrity.

Read more: 4 Kinds of Fraud That Could Destroy Your Business | Entrepreneur.com

By Walter Hamilton

August 6, 2013, 2:48 p.m.

In an age of rampant online investment fraud, it’s almost refreshing that the latest scam involves only a telephone.

Federal regulators are warning investors to beware of scammers pitching high-yielding certificates of deposit. The thieves pose as brokers of a big-name investment firm, then coax victims to reveal financial data so they can steal their identities and loot their bank accounts.

The twist is that the scammers steal money the old-fashioned way: by calling unsuspecting victims on the phone. It’s not clear whether the thieves have used cellphones or gone truly retro and relied on land lines.

"It appears that some fraudsters may be resorting to a time-tested method – the telephone call,” read the warning from the Financial Industry Regulatory Authority, the financial industry-funded watchdog.

Some of the victims were customers of the unnamed brokerage firm for which the imposters claimed to be working.

Nice as the human touch is, FINRA advised investors to never share personal information over the phone.

"If you are not sure that the person on the other end of the line is a legitimate representative of your firm, quickly end the call and get in touch with your firm's customer service center using the contact information on your account statements or the firm's website," said Gerri Walsh, the group’s senior vice president of investor education.

Latest investment scam: Stealing money by telephone - latimes.com

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MURFREESBORO – — Hispanic customers of Murfreesboro Electric Department are being targeted in a scam, according to the department.

A Spanish-speaking caller will ask the customer to go and buy a gift card and call back with the card number in order to keep their lights on, according to Murfreesboro Electric.

“They’re either talking to them or leaving them a very urgent message saying they need to go buy the card and call back or their lights will be shut off,” said Amy Byers, spokesperson for Murfreesboro Electric. “It’s mostly Hispanic customers or customers with Hispanic last names.”

The caller ID will often say the call came from Murfreesboro Electric, Byers said.

“We’re not going to call and ask you for money,” Byers said. “Even if you haven’t paid your bill, we will never call you. We’ll leave a note on your door or send the second notice. We’re not going to ask you to go to Wal-Mart or Walgreens. We’re not going to ask you to come anywhere but at Murfreesboro Electric. We’ll have identification or ask you to come to our office. This goes for all of our customers.”

Byers said customers who believed they have been scammed can also call or come in if they want to make sure their account is in good standing.

“For peace of mind,” Byers said, “we’re happy to talk with them, but we’ll encourage them to call police. They may not want to do that, but they have always have the option to call us and make sure their account is OK after they believe they may have been scammed.”

Byers said no one on staff at Murfreesboro Electric speaks Spanish.

“That’s what clued one lady in,” Byers said. “She was about to go and do what they said and she remembered we didn’t have anyone who spoke Spanish so she called us.”

No police reports have been filed by customers, according to Murfreesboro Police Department Spokesperson Kyle Evans.

“Anyone who believes they may have been scammed should call 893-1311 to file a police report,” Evans said.

http://www.tennessean.com/article/20...-targeted-scam

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Scam regarding power bills targeting foreign food restaurants

SPARKS, Nev. (KRNV & MyNews4.com) -- The Sparks Police Department would like to make citizens and local businesses aware of a scam happening recently.

This recent series of scams appears to be targeting foreign food restaurants, according to SPD.

On August 8, 2013 a local business owner contacted SPD to file a fraud report. The owner said he was contacted by a person claiming to be a representative of NV Energy who stated that the business was behind on their power bill. The person further claimed that the power would be shut off if the bill was not paid within a few hours. The owner complied with instructions he received during the call, which included instructions to send money by wire transfer or prepaid credit cards.

SPD says people should be suspicious of such requests with similar demands. Prior to paying such requests, people should contact the company allegedly making such a request at a published number, not one given to them by the person on the phone. Other indicators of possible fraud include the request for wire transfers or prepaid credit cards that are sent to foreign locations such as Montreal, Tel Aviv and Nigeria.

If you are the victim of a scam you are encouraged to contact your local police department.

Scam regarding power bills targeting foreign food restaurants - My News 4 - KRNV, Reno, NV

This one leaves me shaking my head.

Two men 'posed as top bank execs to scam $220,000 in private flights, luxury hotel stays and Tiffany's shopping trips'

Dante Dixon, 45, and Christopher Henderson, 32, 'pretended to be financial execs so they were issued with credit from companies'
They 'took four privately chartered flights and spent $25,000 at a hotel'
They also 'charged $20,000 for watches, sunglasses and men's cologne'
But they were busted when an aviation employee called their 'employers' - who said the men never worked there

By Lydia Warren

PUBLISHED: 11:16 EST, 6 August 2013 | UPDATED: 13:03 EST, 6 August 2013


Two men have been arrested for posing as top executives with a financial firm and scamming $220,000 worth of charter jet flights, limo rides, lavish hotel stays and Tiffany's jewelery.

Dante Dixon, 45, from Miami, Florida and Christopher Henderson, 32, of Akron, Ohio were both arrested on Monday in Ohio after authorities discovered their ruse. They face wire fraud charges.

The two men made at least four flights between May and June after contacting Jet Aviation, a business aviation provider based at Teterboro Airport in New Jersey and claiming to be top execs.

Under the name 'Josh Stevens', they provided a fake email address they said was linked to the company - and were able to tap into a sham $350,000 line of credit issued by the company.
High life: Dante Dixon and Christopher Henderson allegedly claimed to be bank execs to set up a $350,000 line of credit with Jet Aviation, which is based in Teterboro, NJ (pictured), for private jets

High life: Dante Dixon and Christopher Henderson allegedly claimed to be bank execs to set up a $350,000 line of credit with Jet Aviation, which is based in Teterboro, NJ (pictured), for private jets

A man using that name called Jet Aviation's offices in Chicago, Illinois and Van Nuys, California in May to enquire about its private charter flight services, according to the criminal complaint released by the FBI.

In the draft charter agreement, which was signed after being sent to the fake email, Dixon was listed as a vice president and Henderson as a vice president of international affairs of the company.

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Jet Aviation was never paid for $164,911 spent on the charter flights between California, Ohio, New Jersey and Miami or $10,879 for limousine services used between May and June this year.

The duo also allegedly used their fake corporate credentials at a Tiffany store in Bal Harbor, Florida to charge $19,991 in watches, sunglasses, sterling silver, leather business card holders and men's cologne.

'Scam': The men were caught after a aviation employee called the bank and learned they were not employees

They also allegedly stayed at the W hotel in South Beach, Miami, where they racked up bills of $25,466 for overnight stays.

But their scheme unraveled on June 7, when a Jet Aviation employee met the men before a flight from Teterboro to Miami and contacted the unnamed company, which told him that neither man was employed by the firm.

'During the meeting, the defendants identified themselves as being employees at the financial institution,' the FBI statement said.

'The Jet Aviation employee then contacted the financial institution and was informed that Dixon and Henderson and others were not, and had never been employees at the financial institution.'

The men were arrested in Akron, Ohio early on Monday morning - Dixon was picked up at his mother's house - and taken into custody following the FBI investigation.
Lavish: The duo also allegedly used their fake corporate credentials to charge $19,991 in watches, sunglasses, sterling silver, leather business card holders and men's cologne from Tiffany's

Lavish: The duo also allegedly used their fake corporate credentials to charge $19,991 in watches, sunglasses, sterling silver, leather business card holders and men's cologne from Tiffany's

Both men, who are charged with conspiracy to commit wire fraud, made their initial court appearances in Ohio on Monday. They were ordered held until they can be extradited to New Jersey.

If convicted, Dixon and Henderson each face up to 20 years in prison and $250,000 in fines.

Court records show that Dixon has a history of criminal fraud.

In July 2000, he was charged in a scheme to obtain hundreds of unauthorized credit cards by submitting applications using the identities of real individuals.

Prosecutors said the scheme led to $1.4 million in losses for several financial institutions and Dixon was sentenced to six years in prison.

Read more: Dante Dixon, and Christopher Henderson, pose as top bank execs to scam $220,000 | Mail Online
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Learner drivers warned about scam websites
Learner drivers are being scammed by copycat websites charging a booking fee for test appointments.

David Millward

By David Millward, Transport Editor


Additional fees of around £30 are common, the Driving Standards Agency said.

But some sites have racked up even larger amounts by using premium rate phone lines.

Anyone going through these sites still have to pay the DSA fee of £31 for the theory exam as well as the £62 to £75 for the practical test.

Some luckless applicants have, thanks to premium rate phone lines, been landed with an additional bill of as much as £95.

Another scam used by unscrupulous sites was offering “free retakes” for anyone who failed the theory test for a further £28.50


However buried in the small print was the proviso that this was only on offer for anyone who failed by only one mark, which would only a very small proportion of candidates would be given another chance.

“It’s unacceptable that some of these websites try to trick learner drivers into paying an extra fee to book their driving test,” said Alastair Peoples, DSA Chief Executive

“We’ve already taken action with Trading Standards and the Advertising Standards Authority to make sure that they don’t use official logos, trademarks or make misleading claims. We continue to monitor these sites and explore new ways to counteract activities.”

Learner drivers warned about scam websites - Telegraph