[Lnc-business] Business E-mail Compromise Scam Warning

Tim Hagan tim.hagan at lp.org
Sun Feb 11 15:59:13 EST 2018


Please forward this to the State Chairs list and ask them to read and
also forward to their State and County Treasurers.

I read that one of the affiliates has fallen victim and lost some of its
funds to a Business E-mail Compromise scam. According to the FBI,
thousands of businesses have been taken by this type of scam and about a
billion dollars have been lost. The scammer will spoof the e-mail of an
executive and request the person responsible for processing payments,
such as the Treasurer, send a wire transfer. There is also a version
where the scammer will spoof a vendor and ask that future payments be
changed to a different account. 

As the National Treasurer, I have received a few e-mails spoofing to be
from the Chair requesting that I transfer a payment to a vendor or
consultant, usually by wire. In one case they wanted a cashier's check
sent overnight. The scammers got our names, e-mails, and titles from the
LP website. The Libertarian National Committee has procedures in place
so the national party has never fallen for this type of scam, although I
will have fun stringing along the scammer for awhile. Once I get their
bank routing and account numbers, I file a complaint with the FBI
Internet Crime Complaint Center.

I recommend the state and local parties implement procedures to protect
themselves from this scam. 

Have a policy of no payments without an invoice or receipt. When I ask
for a copy of the invoice, the scammer replies that he's in a meeting
and will get it to me later but the payment is urgent.

Confirm requests for transfers of funds, especially wire transfers and
payments needing to go out that day. Use a known phone number of the
vendor, the Chair, or the requester to verify the request. 

Scrutinize e-mail requests for transfer of funds to determine if the
requests are out of the ordinary. In the scams I've received, the "From"
has the Chair's e-mail address but the "Reply to" is different. For
potentially sensitive e-mails, use your address book instead of the
Reply.

If you fall victim to a scam, do not delay contacting your financial
institute and you local FBI office to see if they can help return or
freeze the funds.

Complaints can be filed with the Internet Crime Complaint Center at
www.ic3.gov

More information is available at:
FBI Public Service Announcement on this scam:
www.ic3.gov/media/2015/150827-1.aspx and
www.ic3.gov/media/2015/150122.aspx
FBI News Story: www.fbi.gov/news/stories/business-e-mail-compromise

Please contact me at treasurer at lp.org if you have any questions.

Tim Hagan
Treasurer, Libertarian National Committee

P.S. Here is the thread from the latest Business E-mail Compromise sent
to me starting last Friday, request $5,700 be sent to an account with
the Bank of Montreal. My replies went to president_info at mail2world.com.
Best to start at the bottom to see the flow of the story.

The protest went well, except for spending the night in jail. We even
got on the local news.

Jail wasn't too bad. They even had the Olympics on the TV. Did you know
that Nigeria sent a woman's bobsled team?
---
Tim Hagan
Treasurer, Libertarian National Committee

On 2018-02-10 19:02, Nick Sarwark wrote:
>  
> Oh! Am so sorry for the late response, am just picking this up now. I have been out all day and just getting home. Hope you have sorted things out and you should have been home by now. How does the protect went? Am sorry once again for not been at help and i hope you understand.
>  
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
> Well, some of us got arrested for trespassing at the protest. The bond is only $274, which is $200 plus $74 court cost. The jail won't take my credit card to post the bond, but can take Western Union. Can you send $274 to the DC Detention Center? I will get the details of where to send it from the officer.
>  
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
>  
> Got it, Nick. I'm at a protest right now. I will send the payment as soon as I get home.
>  
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
>  
> Kindly Acknowledged you received my previous email and get back to me once you are done with the payment.
>  
> I look forward to your prompt reply.
>  
>  
> Nick.
>  
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
>  
> Hi Tim- Here is the Bank account with the Swift Code below :
>  
>  
>  
> Name: Elaine Smeader
> Address: 606 ave. K .N
> City: Saskatoon
> Province: Saskatchewan 
> Zip: S7L2M9
>  
> Acct no: 3966309
> Swift Code: BOFMCAM2
> Trabsit no: 20649
> Institution no: 001
> Bank name: BMO
> Bank Address: 101 2nd Ave N, Saskatoon, SK S7K2A9
>  
> Amount: $5,700 CAD
>  
>  
> Let me know once done.
>  
> Thanks.
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
>  
> The bank said I need the SWIFT code for Elaine Smeader's bank. Please send me her phone number or e-mail address so I can get it from her. Thanks.
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
>  
> Hi Tim- Good morning and how are you doing? I want you to please contact our bank this morning to find out how to do the transfer or drive down to the bank to make this payment completed. Get back to me as soon as you possibly can.
>  
> I await your quick response.
>  
>  
> Nick.
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
>  
> I'm having problems transferring the payment to the bank in Canada. Apparently Canadian banks use a transit number that's different from US routing numbers. I may need to either call our bank in the morning to find out how to do the transfer or call Elaine Smeader to see if she will accept a cheque. Please e-mail me the invoice so I will have her contact information.
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
> How is the payment going? Kindly get back to me with a copy of the confirmation receipt
>  
> --------------------------------------------------------------------------------------------------------------------------
>  
> Ok Tim, The payment is requested is for professional services rendered to initiate the organization as a whole.
>  
> ---------------------------------------------------------------------------------------------------------------------------
>  
> I need a better description than "professional services". That won't be descriptive enough for the accounting and the FEC report. What type of professional services?
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
> Tim- What is the payment status? Still waiting for your response.
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
>  
> The payment is for professional services.
>  
>  
> ---------------------------------------------------------------------------------------------------------------------------
>  
> Got it. What's the purpose of the payment?
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
> Ok graet, Kindly proceed with the details below:
>  
>  
> Name: Elaine Smeader
> ADDRESS: 606 ave. K .N
> City: Saskatoon
> Province: Saskatchewan 
> Zip: S7L2M9
> Bank name: BMO
> Acct no: 3966309
> Trabsit no: 20649
> Institution no: 001
> Amount: $5,700 CAD 
>  
> Kindly acknowledge you receive the details and get back to me with the confirmation receipt once done.
>  
>  
> Nick 
>  
> ---------------------------------------------------------------------------------------------------------------------------
>  
> Yes, like I said, I can get the transfer done.
>  
> ---------------------------------------------------------------------------------------------------------------------------
>  
> I am tied up in a meeting now, I will email you a back up documentation of the invoice at a later date for your record purpose. we'll discuss this officially when we meet. Let me know if you can handle this right away so i can forward you the bank details.
>  
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
> Yes, I can do a bank transfer. Send me a copy of the invoice and I'll get it done.
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
> Tim, This is not a cheque payment, We are to send the payment by bank transfer. Please confirm to me if this can be done as soon as you possibly can so I can get back to you with the necessary details.
>  
>  
> Your quick response will be highly appreciated. 
>  
>  
> Thanks   
> Nick.
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
>  
> Nick,
> We have $47,494 in the checking account. Let me know where to send the check to and I'll get it out.
>  
>  
> ----------------------------------------------------------------------------------------------------------------------------
>  
> Hi Tim,
>  
> How are you doing? We have a payment of $5,700 that needs to go through, I need you to please check if we have enough funds to cover the amount requested. Kindly email back to confirm how soon you can get this done, so i can forward you the bank details.
>  
> Regards
>  
> Nick Sarwark.
>  
>  
> Sent from my iPhone
-------------- next part --------------
   Please forward this to the State Chairs list and ask them to read and
   also forward to their State and County Treasurers.
   I read that one of the affiliates has fallen victim and lost some of
   its funds to a Business E-mail Compromise scam. According to the FBI,
   thousands of businesses have been taken by this type of scam and about
   a billion dollars have been lost. The scammer will spoof the e-mail of
   an executive and request the person responsible for processing
   payments, such as the Treasurer, send a wire transfer. There is also a
   version where the scammer will spoof a vendor and ask that future
   payments be changed to a different account.

   As the National Treasurer, I have received a few e-mails spoofing to be
   from the Chair requesting that I transfer a payment to a vendor or
   consultant, usually by wire. In one case they wanted a cashier's check
   sent overnight. The scammers got our names, e-mails, and titles from
   the LP website. The Libertarian National Committee has procedures in
   place so the national party has never fallen for this type of scam,
   although I will have fun stringing along the scammer for awhile. Once I
   get their bank routing and account numbers, I file a complaint with the
   FBI Internet Crime Complaint Center.
   I recommend the state and local parties implement procedures to protect
   themselves from this scam.
   Have a policy of no payments without an invoice or receipt. When I ask
   for a copy of the invoice, the scammer replies that he's in a meeting
   and will get it to me later but the payment is urgent.
   Confirm requests for transfers of funds, especially wire transfers and
   payments needing to go out that day. Use a known phone number of the
   vendor, the Chair, or the requester to verify the request.
   Scrutinize e-mail requests for transfer of funds to determine if the
   requests are out of the ordinary. In the scams I've received, the
   "From" has the Chair's e-mail address but the "Reply to" is different.
   For potentially sensitive e-mails, use your address book instead of the
   Reply.
   If you fall victim to a scam, do not delay contacting your financial
   institute and you local FBI office to see if they can help return or
   freeze the funds.
   Complaints can be filed with the Internet Crime Complaint Center at
   www.ic3.gov
   More information is available at:
   FBI Public Service Announcement on this scam:
   www.ic3.gov/media/2015/150827-1.aspx and
   www.ic3.gov/media/2015/150122.aspx
   FBI News Story: www.fbi.gov/news/stories/business-e-mail-compromise
   Please contact me at treasurer at lp.org if you have any questions.
   Tim Hagan
   Treasurer, Libertarian National Committee
   P.S. Here is the thread from the latest Business E-mail Compromise sent
   to me starting last Friday, request $5,700 be sent to an account with
   the Bank of Montreal. My replies went to president_info at mail2world.com.
   Best to start at the bottom to see the flow of the story.
   The protest went well, except for spending the night in jail. We even
   got on the local news.
   Jail wasn't too bad. They even had the Olympics on the TV. Did you know
   that Nigeria sent a woman's bobsled team?
   ---
   Tim Hagan
   Treasurer, Libertarian National Committee
   On 2018-02-10 19:02, Nick Sarwark wrote:
   >
   > Oh! Am so sorry for the late response, am just picking this up now. I
   have been out all day and just getting home. Hope you have sorted
   things out and you should have been home by now. How does the protect
   went? Am sorry once again for not been at help and i hope you
   understand.
   >
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   > Well, some of us got arrested for trespassing at the protest. The
   bond is only $274, which is $200 plus $74 court cost. The jail won't
   take my credit card to post the bond, but can take Western Union. Can
   you send $274 to the DC Detention Center? I will get the details of
   where to send it from the officer.
   >
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   >
   > Got it, Nick. I'm at a protest right now. I will send the payment as
   soon as I get home.
   >
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   >
   > Kindly Acknowledged you received my previous email and get back to me
   once you are done with the payment.
   >
   > I look forward to your prompt reply.
   >
   >
   > Nick.
   >
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   >
   > Hi Tim- Here is the Bank account with the Swift Code below :
   >
   >
   >
   > Name: Elaine Smeader
   > Address: 606 ave. K .N
   > City: Saskatoon
   > Province: Saskatchewan
   > Zip: S7L2M9
   >
   > Acct no: 3966309
   > Swift Code: BOFMCAM2
   > Trabsit no: 20649
   > Institution no: 001
   > Bank name: BMO
   > Bank Address: 101 2nd Ave N, Saskatoon, SK S7K2A9
   >
   > Amount: $5,700 CAD
   >
   >
   > Let me know once done.
   >
   > Thanks.
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   >
   > The bank said I need the SWIFT code for Elaine Smeader's bank. Please
   send me her phone number or e-mail address so I can get it from her.
   Thanks.
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   >
   > Hi Tim- Good morning and how are you doing? I want you to please
   contact our bank this morning to find out how to do the transfer or
   drive down to the bank to make this payment completed. Get back to me
   as soon as you possibly can.
   >
   > I await your quick response.
   >
   >
   > Nick.
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   >
   > I'm having problems transferring the payment to the bank in Canada.
   Apparently Canadian banks use a transit number that's different from US
   routing numbers. I may need to either call our bank in the morning to
   find out how to do the transfer or call Elaine Smeader to see if she
   will accept a cheque. Please e-mail me the invoice so I will have her
   contact information.
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   > How is the payment going? Kindly get back to me with a copy of the
   confirmation receipt
   >
   >
   -----------------------------------------------------------------------
   ---------------------------------------------------
   >
   > Ok Tim, The payment is requested is for professional services
   rendered to initiate the organization as a whole.
   >
   >
   -----------------------------------------------------------------------
   ----------------------------------------------------
   >
   > I need a better description than "professional services". That won't
   be descriptive enough for the accounting and the FEC report. What type
   of professional services?
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   > Tim- What is the payment status? Still waiting for your response.
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   >
   > The payment is for professional services.
   >
   >
   >
   -----------------------------------------------------------------------
   ----------------------------------------------------
   >
   > Got it. What's the purpose of the payment?
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   > Ok graet, Kindly proceed with the details below:
   >
   >
   > Name: Elaine Smeader
   > ADDRESS: 606 ave. K .N
   > City: Saskatoon
   > Province: Saskatchewan
   > Zip: S7L2M9
   > Bank name: BMO
   > Acct no: 3966309
   > Trabsit no: 20649
   > Institution no: 001
   > Amount: $5,700 CAD
   >
   > Kindly acknowledge you receive the details and get back to me with
   the confirmation receipt once done.
   >
   >
   > Nick
   >
   >
   -----------------------------------------------------------------------
   ----------------------------------------------------
   >
   > Yes, like I said, I can get the transfer done.
   >
   >
   -----------------------------------------------------------------------
   ----------------------------------------------------
   >
   > I am tied up in a meeting now, I will email you a back up
   documentation of the invoice at a later date for your record purpose.
   we'll discuss this officially when we meet. Let me know if you can
   handle this right away so i can forward you the bank details.
   >
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   > Yes, I can do a bank transfer. Send me a copy of the invoice and I'll
   get it done.
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   > Tim, This is not a cheque payment, We are to send the payment by bank
   transfer. Please confirm to me if this can be done as soon as you
   possibly can so I can get back to you with the necessary details.
   >
   >
   > Your quick response will be highly appreciated.
   >
   >
   > Thanks
   > Nick.
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   >
   > Nick,
   > We have $47,494 in the checking account. Let me know where to send
   the check to and I'll get it out.
   >
   >
   >
   -----------------------------------------------------------------------
   -----------------------------------------------------
   >
   > Hi Tim,
   >
   > How are you doing? We have a payment of $5,700 that needs to go
   through, I need you to please check if we have enough funds to cover
   the amount requested. Kindly email back to confirm how soon you can get
   this done, so i can forward you the bank details.
   >
   > Regards
   >
   > Nick Sarwark.
   >
   >
   > Sent from my iPhone


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