Fraud Again - But Much Bigger This Time

Fraudsters have been targeting wholesalers and distributors of IT, photographic and communications equipment, commercial cleaners, kitchenware and, more particularly, wholesalers of wines, spirits and whisky across the UK. In some instances, whisky has been obtained directly from the distillers.

This is a very sophisticated and well-organised fraud:

• The fraudsters assume the identities of actual employees of nationally known companies.
• They research and discover the details of that company's bank.
• They research and discover that company's suppliers.

Then, using e-mail addresses that closely resemble those of the employees whose identity they have assumed (and freephone telephone numbers!) they target specific suppliers, fill in Credit Application Forms for credit terms ranging between £300,000 and £500,000 and 'lean' on members of the Finance Department of the targeted supplier to supply goods for a promotion, a celebration or an initiative within a limited period of time.

And they imply that they will take their business elsewhere should the supplier refuse credit, or fail to supply the goods on time. As people do...

Given the use of genuine and known names, and the almost accurate e-mail addresses that look so right (and, of course, the implied threat that a supplier might be 'delisted' by an important customer!) credit agreements tend to be signed off, and the goods are delivered within days.

And then it's 'Goodbye to All That'.

There is no doubt that the individuals involved in this particular fraud understand very well how business works so far as national and multinational companies are concerned. I can therefore only suggest that suppliers treat any new Credit Application from any customer - however well known - with extra care.

Don't take anything for granted.

It would be wise to telephone any Company applying for credit using a telephone number that you have used in the past and have on record in order to check that applications are genuine. If you have no telephone number - which is unlikely - use directory enquiries to get one. DON'T use e-mail. You need to speak to a human being - and to know that that human being really is who he or she purports to be.

And, of course, if you get a fake application - call the police immediately.

Detective John Lonsdale on 0161-856-6551 will be particularly interested to hear from you. You can safely e-mail him at john.lonsdale@gmp.pnn.police.uk. I believe that he's in the Serious Crime Division in Manchester - but don't worry if you are a long way from Manchester. Crime tends to travel well. I'm sure Detective Lonsdale would be pleased to hear from you wherever you happen to be.