SIKESTON - Sikeston DPS officials are warning residents of a new version of the Nigerian scam that is sweeping the country.
Area residents so far have only reported "attempts at scams," according to Lt. Mark Crocker of the Sikeston Department of Public Safety. "I don't know of anybody actually being swindled of money here."
DPS Director Drew Juden explained this version of the scam involves the Internet and the purchase of big-ticket items such as cars.
The scam artist poses as someone who wants to buy something and tells the seller a business associate of theirs in the United States will mail them a cashier's check for the agreed price plus the cost to ship it overseas.
The seller, who is targeted to be the victim of the scam, is asked to wire the cost of the transportation fees to the buyer once the check has cleared so the alleged buyer can arrange for shipment.
Typically about a week after the check clears, the victim's bank will notify them that the check was counterfeit and debit the account for the amount of the check, leaving the victim out the money for the wire transfer of "shipping funds."
Crocker said the scam has become so widespread that victims have formed their own online support group with over 100 members so far. Victims admit while they were initially skeptical when the deal was pitched to them, after receiving and depositing a cashier's check that clears they assumed all was well.
Other scams attempted upon area residents include letters requesting money for foreign investments. "They outline all the amazing things they can do with money, and occasionally they find someone silly enough to send $10,000," Crocker said.
While contacting potential victims by E-mail is relatively new, these types of scam letters have been around for years and were previously sent through the mail. The Secret Service Financial Crimes Division said they have seen recent examples sent as faxes as well.
Classified among the advance fee fraud schemes, these types of scams are known internationally as "4-1-9" fraud after the section of the Nigerian penal code which addresses fraud schemes.
A misconception with the Nigerian scams is that the victim's bank account is requested simply so the culprit can plunder it, but the scam sometimes gets taken much further.
In June of 1995, an American was murdered in Lagos, Nigeria, while pursuing a 4-1-9 scam, and numerous other foreign nationals have been reported missing.
Variations of the fund transfer scam, the most prevalent and successful type of advance fee fraud, are regularly received by area residents via E-mail.
"Dear Sir, I am making this venture proposal to you as a reliable partner. I got your contact from your country business guide as a reliable person/company in a related area of my interest for investment," reads one example.
The criminals actually obtain the names of potential victims from a variety of sources including trade journals, professional directories, newspapers, and commercial libraries. They do not target a single company, but rather send out mass mailings.
The unsolicited messages are usually from someone who claims to be a senior civil servant or their relative in Nigeria or another small foreign country.
In the letter, the person tells the recipient they are seeking a reputable foreign company or individual into whose account he or she can deposit funds ranging from $10-$60 million in funds.
The letters refer to investigations of previous contracts awarded by prior regimes alleging that many contracts were over invoiced. Rather than return the money to the government, they explain they desire to transfer the money to a foreign account. The recipient is usually offered a commission of up to 30 percent for assisting.
Eventually as the scheme moves forward through correspondence, it may be "threatened" in order to persuade the victim to provide a large sum of money to save the venture.
The most sinister step, however, is when the victim is enticed to travel to the foreign country or one of its border countries to complete a transaction.
The individuals are told that a visa will not be necessary to enter the country, with the con artists bribing airport officials to pass the victims through Immigration and Customs.
The victim's illegal entry is then used by the con artists as leverage to coerce the victims into emptying their bank accounts. Violence and threats of physical harm may also be employed to further pressure victims at this time.
A Secret Service Website advises common forms of fraudulent business proposals fall into seven categories: disbursement of money from wills, contract fraud involving C.O.D. of goods or services, real estate purchases, hard currency conversions, the transfer of funds from over-invoiced contracts and the sale of crude oil at below market prices.
While many people laugh at the scams or even toy with the would-be scammers by pretending to be falling for it, the Secret Service Website claims the scams gross hundreds of millions of dollars annually and losses are continuing to escalate, not counting additional victims who do not report their losses due to either fear or embarrassment.
Juden said the best way to avoids scams is to remember the saying: "If the deal seems too good to be true, it probably is."
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On the Net: http://www.secretservice.gov/alert419.shtml