Published on:
06
February 2013
Stirling & Clackmannanshire Trading Standards Service is warning the construction industry to be on the alert for online fraudsters who are known to be passing themselves off as a genuine local company.
They have already have defrauded a number of European customers out of considerable sums of money in relation to the purchase of construction equipment.
Councillor Donald Balsillie, Convener of Enterprise and Environment, said: "Trading Standards have become aware that fraudsters have set up a number of dummy websites which mimic that of the genuine company, and appear to offer construction equipment and agricultural machinery for sale at attractive prices.
"These websites include the name and address of the genuine company, but provide false telephone numbers and web-based email addresses. Anybody who tries to get in touch with the genuine company using these false contact details will get directly through to the fraudsters, who will then encourage them to make payments by bank transfer for the purchase of equipment."
The fraud is quite sophisticated. Customers are supplied with professional-looking invoices, copies of import / export certificates and shipping documentation for the equipment which they have agreed to purchase. These documents all carry the name and address of the genuine company, but they are completely fake.
No equipment has been shipped, and by the time the customers realise this, their money has been transferred through a number of different bank accounts and is virtually untraceable.
Councillor Balsillie added: "The fake websites include false statements about the identity of the company involved. Clearly, this amounts to misleading advertising. It may even constitute a more straightforward case of fraud or obtaining money by deception.
"We suspect that the fraud originates in West Africa, but the money passes through a number of different bank accounts and disappears very quickly. We are working closely with the police on this."
The fake websites are hosted by legitimate internet service providers in Canada and the USA, but they have been created and registered using false details. They operate by means of mis-spellings and minor variations in the name of the genuine company. Trading Standards are doing our best to shut down these fake websites, but almost as soon as we get one taken down, another one springs up with yet another variation in the spelling of the domain name.
Councillor Balsillie added: "Do not transfer money unless you are absolutely sure that the company you are dealing with is legitimate. These fraudsters will tell you anything to get their hands on your money. They think nothing of stealing the identity of a genuine company and using their reputation to convince you that it is safe to make payments.
"The advice from Trading Standards is simple - never allow yourself to be rushed or pressurised into completing a transaction, and be very wary if you have been quoted exceptionally low prices for construction equipment. If you don't confirm all the details before sending your money, you are taking a big risk."
If anybody believes they have been targeted by these fraudsters, they should report the matter to their local police in the first instance and, in the UK, also report the matter to Action Fraud on telephone 0300 123 2040 or via their website http://www.actionfraud.police.uk/
Stirling & Clackmannanshire Trading Standards Service can be contacted Monday to Friday between 9am and 5pm on telephone 0845 277 7000, or by email tradingstandards@stirling.gov.uk