Businesses lose over $830k to scammers posing as customers with 'additional requests' since April 12
At least 60 businesses lost a total of more than $830,000 to reemerging fake bulk order scams since April 12.
The numbers increased from five businesses and losses of $25,000 reported on April 25.
In the recent cases, the renovation, F&B, retail and service industries were targeted.
The scammers would pose as teachers from academic institutions to contact renovation contractors for painting or plumbing jobs; retailers to purchase items such as bikes or tyres; or companies to engage photography services.
They may also contact restaurants or renovation contractors, posing as customers and make additional requests, such as a specific paint brand to be used or expensive off-menu items such as a specific brand of wine.
The "customers" would then recommend a "supplier" to purchase these high value items from.
The scammers may provide screenshots of fake payment documentation to assure the victims that they had made a partial payment of the bulk order in advance, which convinced the victims to make upfront payment for the orders placed with the "supplier".
The businesses would only realise that they had been scammed when they did not receive any payment from the "customer", when the "supplier" did not deliver the goods, or when both "customer" and "supplier" become uncontactable.
The police advise businesses to adopt the following precautionary measures to avoid falling for such scams:
- Add a mandatory step in your business processes to independently verify the identity of the party that you are corresponding with. Avoid making payments or deposits in advance to new suppliers. Arrange to meet the supplier and pay only upon delivery of the goods.
- Check for scam signs with official sources (such as ScamShield WhatsApp bot @ go.gov.sg/scamshield-bot, call the Anti-Scam Helpline on 1800-722-6688, or visit www.scamalert.sg). Check for reviews of suppliers to establish their legitimacy before committing to a purchase.
- Tell the authorities, family, and friends about scams. Report the scammers to WhatsApp or the respective messaging app.
