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Inventive email scam rises in Asia, says EY

Criminals target firms fool staff by pretending to be a senior executive seeking the urgent transfer of funds, report says

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The Asia-Pacific has seen a significant increase of scam emails in the past two years, with criminals pretending to be senior executives and requesting finance staff to wire funds for urgent business, EY Fraud Investigation & Dispute Services (FIDS) said in a report.

Criminals apparently spent months researching potential targets through online resources, company reports and social media channels. Then, in fraudulent emails, they would purport to be the company’s chief executive or chief finance officer, mirroring their tones, and make urgent requests for kfunds to be transferred to external accounts, citing the transactions as “confidential” or “critical”, the study found.

Unfortunately, many staff receiving the command would not question or disobey instructions from those whom they assumed were senior management, and would bypass existing payment controls and transfer the money as requested.

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“These criminals do their research extremely well … they will also often mirror the tone of the targeted executive and may even accurately reference the fact that the person is overseas for business at the time,” said Chris Fordham, Asia-Pacific leader for the fraud services unit.

Chris Fordham, of EY Fraud Investigations & Dispute Services, says he is seeing more email scams. Photo: SCMP Pictures (FIDS) in Hong Kong. 17AUG15
Chris Fordham, of EY Fraud Investigations & Dispute Services, says he is seeing more email scams. Photo: SCMP Pictures (FIDS) in Hong Kong. 17AUG15
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Such scams do not appear to focus on a specific industry, but at organisations with multiple offices, across multiple countries, are publically listed or have company information easily accessible, according to FIDS.

Mobile social network platforms, through which business is increasingly being conducted, have also been used to facilitate scams.

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