EMAIL SCAM – NOTICE TO BROKERS

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21st Feb 2017

PLEASE BEWARE – BE VIGILANT

How did it happen?

An IBA member received an email supposedly from a client. The clients email address was perfect, exactly matching the email address on file.  However, this email did not originate from the client,  it was a fraudulent email seeking personal sensitive client information.

What did the Broker do?

The IBA member was suspicious as he had dealings with the client a few days previously.

He immediately contacted the client by telephone to query the email. The client confirmed he did not send the email and in fact had no knowledge of this email.

This prompted the client to check with his other financial services providers.

A bank he deals with received a similar email and the Bank had already responded and provided sensitive client information to a bogus entity.

The client carried out some checks. He had responded to a prompt to update his GMAIL password.

A SEEMINGLY INNOCUOUS E MAIL……

 ‘Dear John,

I hope you are keeping well. Please can you send me the current valuation of my investment portfolio with you as of today including cash account

As I am currently negotiating the purchase of a prime real estate property and I will like to make a withdrawal to finance the initial deposit

I anticipate your prompt response

Regards….’

This is not the first time a member of IBA has prevented a potential data breach.  This incident highlights the importance of speaking to clients to confirm their wishes prior to responding requests for information relating to their policies/investments or processing instructions.

This event is a timely reminder to all IBA members to be aware of the potential for consumer risk through on line fraudulent activity.

Susan Naughton

Head of Compliance Irish Brokers Association

 

 

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