CCS
warns against fake cyber banks
 |
| Fictitious websites
- cashing in on the Nigerian 419 Advance Fee Fraud |
London,
9 December 2002
- ICC's Commercial Crime
Services has warned investors to beware a new twist on the Nigerian 419 Advance
Fee Fraud after a number of fictitious banking websites were discovered to be
falsely aligning themselves with respectable offshore financial institutions.
These fraudulent websites
and unlicensed banking operations are attempting to cash in on a current cyber-phenomenum
in which confidence tricksters pose as Nigerian politicians to solicit funds
- or "advance fees" - for massive bank transfers which subsequently
never happen.
The new websites are operating
as a route through which advance fees can be paid. Unsuspecting victims are
promised profit from the same websites upon completion of their part of the
deal.
The websites claim the banks
are registered in two or three different jurisdictions, however these banks
are not in fact registered anywhere.
The new twist on Advance
Fee Fraud was brought to the attention of the ICC Commercial Crime Bureau (CCB)
by the Isle Of Man Financial Supervision Commission (FSC), which asked if the
Bureau held any records on a specific bank.
The FSC had been receiving
inquiries from the public asking if this particular bank had links with the
Isle of Man, as the bank's website claimed. The website included what claimed
to be an Isle of Man contact telephone number, but actually diverted to a mobile
phone.
"As these institutions
only exist in cyberspace and none of the contact details are genuine, it has
proved impossible to investigate just who is behind them," said CCB Assistant
Director, Jon Merret. "We did follow up on the mobile telephone number
listed on one of the sites, but that number has subsequently been disconnected.
"We are advising investors
to research all licensing claims with the appropriate licensing authority listed
before proceeding. We recommend that investors tread very warily in any transaction
that bears a resemblance
to a 419 Advance Fee Fraud, and exercise caution in
the case of a deal that is tied into a profit share of a large amount of money
requiring the payment of an advance fee."
Other similar sites for
unregistered financial institutions, identified in and around the same time,
have copied exact details of the Isle of Man depositors' compensations scheme
in an attempt to increase their credibility.
The Isle of Man depositors'
compensations scheme is designed to protect investors, offering compensation
payable to each depositor in an amount equal to 75% of the eligible protected
deposit liability, subject to a maximum compensation payment to any one depositor
of £15,000.
As used by these fraud operators,
it would have given their false bank sites added credibility by reassuring investors
that in the event of a problem, at least most of their money would be secure.
But this scheme only applies
to legitimate banks licensed in the Isle of Man and provides no protection in
these cases, as these fake institutions are not licensed or regulated by the
FSC. In fact, it is a criminal offense for any institution to undertake banking
business in the Isle of Man without the relevant license.
A list of purported cyber-banks
claiming to be registered with the FSC can be obtained from the FSC or from
the ICC Commercial Crime Bureau.
The FSC has now issued a
public notice concerning the issue, outlining that no genuine links between
these entities and the Isle of Man have been established, and noting that any
claims to such links must be treated as highly suspicious. It adds that investors
can quickly confirm the license status of any 'bank' or financial institution
claiming to be exempt from the necessary licensing requirements by contacting
the FSC.
The FSC telephone number
is: +44 1624 689313. Email can be sent to: Click here to send a mail.
The FSC website, www.fsc.gov.im,
contains a full list of all institutions licensed by the Commission.
In addition, the Guernsey
Financial Services Commission (GFSC) also advises that they have been made aware
of similar activity by unlicensed banks claiming a link with their jurisdiction.
For further information please refer to the GFSC’s website at: www.gfsc.guernseyci.com,
or contact GSFC directly by phone: +44 1481 712706, or e-mail: Click here to send a mail.
The CCB is part of the ICC
Commercial Crime Services, the crime fighting arm of the ICC. For more information
contact Jon Merrett in London on +44 208 591 3000 or email Click here to send a mail.
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