Fraud News Update 02.05.15

 

Fraud News

02.05.15 – This week’s edition of the Fraud News Update features: Wedding Singer (Wedding Stealer?), Rodents (Can’t Predict Weather), Cattle Rustlin (A Paper Crime), P-Cards (Credit Card Fraud), 21CT (More Coverage) and Phantom Fraud (Again!).

As leaders in the fraud consulting arena, read on for more topical information and our insights, observations and unique commentary on the weekly fraud news.

Like our content? Feel free to share Fraud News Updates with your network or colleagues.

Wedding Singer? Wedding Stealer?

In this fraud news story, an employee at a historic Macon (GA) wedding venue has been charged with doing more than giving newlyweds the traditional well wishes.

The employee apparently believed in the old adage: something old…something new, adding “something stolen from you!”

To determine the extent of the money/gifts stolen, newlyweds were left in the uncomfortable position of speaking with wedding guests to try to determine what gifts were given to them that they never received.

Imagine how awkward that would be?!

“Punxsutawney Phil” and “Staten Island Chuck” Are Frauds

According to this fraud news story editorial, the famous rodent, and his imitators around the country are frauds, con artists, flim flammers who are incapable of accurately predicting seasonal weather.

I’m not sure how we expect rodents to accurately predict the weather when we have meteorologists around the globe with 12 gazillion dollars of weather forecasting systems that can’t get it right most of the time (See recent predictions for the storm expected to clobber NYC and paralyze the city in “Snowmageddon 2015.”

Not only wasn’t it the worst storm for all history, but I’m not sure it even made “honorable mention.”

People with a lot of high-tech (and expensive) forecasting equipment got it way wrong: Phil and Chuck – Ya got no chance, slim!

Cattle Rustlin

There’s a fraud in them thar boots! Now, here’s something you don’t see everyday. Cattle rustlin. Professional rustlin (4th offense) at that!

This kind of rustlin doesn’t involve cowboys “steer”ing the herd off the range in another direction. No, it’s a paper crime these days.

In this fraud news story, while facing charges in one cattle fraud case, with his wife, the suspect allegedly went out and committed another with his father.

Fraud = intentional deceit to obtain something (cattle) of value.

Now, the folks who got bovine swindled are “udderly” left with nothin!

P-Cards

A purchasing card (aka: P-Card/PCard) is a company (or government) credit card.

In the Fraud Solutions blog I’m writing for release next week, I started thinking about credit card fraud and abuse in the business setting.

I once asked a colleague of mine about things he’d purchased with his government issued P-Card?

A – A Train

Q – You mean a train ticket, I clarified?

A – No, an entire train! (No further questions asked)

While the train purchase was operationally necessary, P-Cards can be used for quite a few things which aren’t. Think about it. You have a credit card in your possession that’s guaranteed by the United States government.

If your card limit’s high enough that you can you can commandeer an entire train for legitimate government business, think of what one could do with it for nefarious purposes?

The Phantom Strikes Again!

In a fraud story that’s sure to make Comcast subscribers rates go up (again), a former Comcast employee (401k retirement administrator) has been charged with allegedly bilking Comcast retirement accounts using a (Phantom) retirement investment scheme.

We’ve written a lot about Phantoms lately and there are many different varieties of these types of internal frauds.

The bottom line however is always the same…employee creates an entity (or is in collusion with an entity) approves funds (or redirects funds) and then moves money to accounts within his/her control.

Doesn’t matter what flavor it is, the fraud’s always the same.

More State of Texas – 21CT Coverage

Lastly, on 01.21.15, the Fraud Solutions Blog featured: Fraud Detection – The Austin Saga. Coverage continues this week with a deposition now scheduled to take place this month for 21CT’s former Lobbyist, James Frinzi.

Here’s a recap of the story with added source information since the last media update.

Fraud News – The Bottom Line

Fraud – empowering people to break the law. It’s a way of life for some and every fraud has a story. At Fraud Solutions, fraud is our world and we’re passionate about prevention. Being proactive is key, so, follow us each week as we cover the fraud beat with added insights, information and unique commentary on stories making the fraud news.

Those are our insights. What are yours?

For more information on how we can help your businesses prevent risk, reduce major fraud losses and improve operational ROI, contact us to schedule an initial consultation. No obligations…just unique insights from an industry leader.