Business email compromise (BEC) fraud losses have exceeded $3 billion in 2020, according to the FBI’s Internet Crime Complaint Center (IC3). This is a staggering increase from the $1.7 billion reported in 2019. BEC fraud is a type of cybercrime in which criminals impersonate executives or other company officials to deceive employees into transferring money or sensitive data.
The most common type of BEC fraud is the “CEO scam,” in which the criminal poses as a company executive and requests a wire transfer to an account they control. However, criminals are increasingly using other types of scams to target businesses. For example, there has been an increase in “pig butchering” scams, in which criminals pose as suppliers and request payment for services that were never provided.
Investment scams are also on the rise. In these scams, criminals pose as financial advisors and convince victims to invest in fraudulent schemes. The victims are then tricked into transferring funds to the criminals’ accounts.
Businesses can protect themselves from BEC fraud by implementing security measures such as two-factor authentication and monitoring employee emails for suspicious activity. They should also train employees to recognize the signs of BEC fraud and ensure that all financial transactions are verified before they are carried out.
The FBI is urging businesses to report any instances of BEC fraud to their local law enforcement agency or the IC3. By doing so, businesses can help prevent further losses and assist law enforcement in their investigations.
The increasing prevalence of BEC fraud is a major concern for businesses around the world. It is essential that businesses take steps to protect themselves from this type of cybercrime and report any suspicious activity to the authorities. With the right measures in place, businesses can reduce their risk of becoming victims of BEC fraud and help protect their finances from losses.
- SEO Powered Content & PR Distribution. Get Amplified Today.
- Platoblockchain. Web3 Metaverse Intelligence. Knowledge Amplified. Access Here.
- Source: Plato Data Intelligence: PlatoAiStream
