Professional Crime, Protection and Stupidity

Like death and taxes, the professional criminal has always and will always be with us.

The professional criminal will run schemes such as a ‘pump it and dump it” share price inflation scam where the share price of illiquid shares is artificially inflated so that the criminal can profit from the share price rise.

http://www.sec.gov/rss/your_money/pump_and_dump.htm

http://www.usatoday.com/money/general/2001-03-09-pump-anddump.htm

Another favourite is the “boiler room” con where shares in nonexistent companies are sold.

http://www.birminghammail.net/news/birminghamnews/2008/10/16/boiler-room-con-arrests-97319-22048723/

He may indulge in identity fraud on a large scale.

He may be running a in sophisticated cyber crime ring such as the recent case of built in “skimmers” sending millions of credit card numbers and PIN numbers direct from supermarkets in the UK to criminals in Pakistan.

http://www.dailytimes.com.pk/default.asp?page=2008%5C10%5C13%5Cstory_13-10-2008_pg7_57

http://www.thenews.com.pk/daily_detail.asp?id=140678

Skimmers can also be fitted to ATM machines and all your personal details and PIN number can be harvested.

http://blogs.creditcards.com/2008/09/cha0-atm-skimmer-hackerturkey.php

http://computerworld.co.nz/news.nsf/scrt/19798B0C0963BA0ECC2574D6007A3B24

Cybercrime is the new big thing with profits estimated to be in excess of those from drug trafficking.

http://www.securitypark.co.uk/security_article262156.html

There was even an on-line market (Dark Market) where cybercriminals could buy, sell and trade stolen credit card and other confidential information to other fraudsters.

The FBI has subsequently shut this site down and made several arrests.

http://www.bankingtimes.co.uk/17102008-darkmarket-in-credit-cardfraud-closed/

http://www.securityoracle.com/news/detail.html?id=14552

Your entire identity could be sold on line for as little as USD 10!

You can get lessons on how to commit credit card fraud on the internet, a sort of DIY guide for beginners!

http://www.interesting-information.com/identity-theft/identity-thefthow.htm

http://www.criminaladvice.net/creditcardhacker.htm

He may engineer deliberate manipulation of contracts, tenders and investments; be responsible for major corporate and financial fraud such as is currently investigated at Lehman Bros in the United States.

http://www.mortgagenewsdaily.com/10212008_FBI_Financial_Crimes.asp

It may even be the perennial favourite, the old 419 scheme. An oldie but goodie, still working after many years.

The only difference now is that the 419 operators have moved with the times they have gone electronic!

http://tsyn.com/archives/2008/10/14/email-fraud-beware-of-419-fraud/

And then we have identity fraud.

You may buy a house you don’t know about, make purchases on your credit card you never made, get a new line of credit or an entirely new credit card.

You may spend a fortune on on-line purchases that you don’t know about.

Your identity has been stolen.

You could be ruined by identity theft.

http://uk.reuters.com/article/topNews/idUKTRE4971X820081008

http://www.marketwatch.com/news/story/farmers-insurance-warnsduring-economic/story.aspx?guid=%7BFECE5BF1-D022-4051-AC09-793DC1FB3F14%7D&dist=hppr

Identity theft is the fastest growing crime in the world today.

Your credit card could be “skimmed”; a clone made and is used by criminals to buy on your account.

http://www.bbc.co.uk/insideout/east/series3/credit_card_cloning.shtml

http://www.bi-me.com/main.php?id=24586&t=1&c=62&cg=4&mset=

Your home computer could be hacked and all your confidential information be stolen by cyber criminals.

http://www.smh.com.au/news/technology/cyber-thieves-stealingbillions/2008/10/08/1223145446451.html

The professional criminal could be running a scheme based on “round tripping” your investment through a whole series of related companies, all of which are false fronts.

http://crimeincorporated.blogspot.com/2008/09/tom-petters-thrust-intospotlight.html

http://www.mngossip.com/2008/10/tom-petters-betrayed-by-friend.html

You should realise that there is not much you can do about the operations of a sophisticated, professional criminal.

If you are a target, chances are very good that his scheme will succeed and that you will become a victim.

And the chances are he will get away with it.

This is not just a fact in South Africa.

In the US the FBI has admitted that it does not have the resources to deal with all the economic crime that is taking place.

They select their cases based on the chances of a successful prosecution and the prospect of recovering money.

http://sacramentohomeloans4u.com/?p=157

http://www.mymortgageinsider.com/fbi-resources-overwhelmed-by-crisis-related-crime

The good news is that you can take some basic steps that will help prevent you from becoming a victim of a professional.

• Use your common sense. Don’t get involved in things you do not understand 100% and remember if it sounds too good to be true it is.

• Be informed and aware. Knowledge is power and if you are informed you will be empowered to resist the schemes that abound.

• Protect your personal information. Don’t ever allow anyone access to old bank statements, credit card statements etc. Don’t throw them away, destroy them.

• Never give out private information over the telephone. Your bank or other financial information will never ask you for information in this fashion.

• Always make sure that you are using the genuine bank site and not a “phishing” clone. Always enter the URL yourself; never follow a link from an e mail to the bank’s site. Banks do not send you emails with a link to their site.

• Never enter private information on any web site you are not 100% sure of and remember that with current technology clones look 100% real.

• Never let your credit or debit card out of your sight for a single second. Skimming machines fit into the hand and it is literally the work of a second to skim your card.

• Never use an ATM machine that acts or feels “strange”. Report the machine and find another machine to use. Rather feel slightly foolish that have your card skimmed.

• Make sure that your PC or laptop is equipped with the latest security and antivirus software and make sure it is up to date.

• Don’t visit dodgy sites, that’s were criminals hang out (YES I am talking about “adult content”!)

• Control your greed and your emotions. Only two things really make us stupid and those are greed and sex. Never let them affect your judgement. No one has ever got rich overnight on a “special” investment and you are not going to be the first; you will probably become another victim.

• Check your card and bank statements regularly and carefully, make sure you remember every charge on your card or account. Report it immediately if you have any doubt.

• Make use of a service like PayPal for online purchases or at the very least make sure that the site you are buying from complies with the very latest security requirements.

If your judgement, intuition, common sense or whatever gives you the slightest twinge at all, walk away.

Trust your own judgement.

After we have been caught we often say “I thought there was something funny.....” but you went ahead and did it anyway, didn’t you?

How clever was that?

I say again, if you don’t understand how it works, if it makes no sense to you PLEASE do not get involved.

You will regret it.

People are endlessly gullible.
That is why the 419 survives to this day and people still fall for it.

Supposedly intelligent and wealthy people often fall for these schemes.

Don’t be doff, there is no tooth fairy.

Times are undoubtedly tough, markets are in turmoil, and finances are strained.

It is at exactly these times that the professional is most active.

People and companies are desperate, sometimes so desperate that they will suspend any sense of reality, all common sense and restraint in the hope of the miracle deal or investment that will solve their problems.

Sometimes people consider fraud to be a way out of their problems.

Not going to happen.

Take desperate measure and you will become another victim.

The answer is common sense, caution and a healthy little dose of paranoia.

PROTECT YOURSELF AND IF YOU FEEL TEMPTED EITHER TO “DO CRIME” OR FALL FOR SOME INCREDIBLY GOOD “DEAL” CALL ME.

I will put your head right.

Or at least tell you how much fun it is to be bankrupt or in jail where Bubba is waiting for you.

Remember if you are not Chuck Norris you will probably be Bubba’s baby.

Think on that before you do something stupid.