Police have arrested a 147 million international fraud and money laundering ring, and jailed nine fraudsters jailed for over 27 years
The gang targeted thousands of Lloyds and RBS business banking customers using sophisticated social engineering techniques to persuade the businesses to reveal their internet banking details.
The gang's lead was responsible for calling the victims; claiming to be from their bank’s fraud department. Using various aliases, he was able to trick customers into giving out online account information which enabled him and his associates - based around the country - to access hundreds of online business accounts and steal vast sums of money.
Three corrupt bank employees were also recruited to the gang, who supplied customers’ account details and helped launder the money.
On receipt of the account’s internet banking details, the gang would log into the account, transferring large amounts of cash from the victim’s account into ‘mule accounts’ under the gang’s control. These sums would be quickly transferred through the banking system into further mule accounts before being withdrawn in cash from ATMs and bank branches, often within hours of the original fraud.
In many cases victims were defrauded of hundreds of thousands, with several businesses nearly going bankrupt as a result. One victim alone was defrauded of over 2 million, the Met reported.
Security awareness training is required not only for just internet related scams. Employees need to be inoculated against social engineering attacks through the phone as well.
