Criminals nab more than 40k from local business in “change of bank” scam

Police are warning of an increase in “change of bank” scams after one Roma business lost more than $40,000 in two separate incidents. Here’s everything you need to know:

Queensland Police. Photo Kevin Farmer / The Chronicle

A Roma business owner has been left devastated after criminals scammed them out tens of thousands of dollars in a matter of just seconds, with police warning others could be hit the same way.

The scheme, known as “change of bank” fraud, cost the victim more than $40,000 in total in two separate incidents in September.

Scammers use the tactic of intercepting emails and then posing as contractors or suppliers, claiming they have changed banks and use their own details instead of the person on an invoice.

The Roma business owner, who asked not to be identified, said he received what appeared to be a legitimate invoice via email after an almost-identical message two days earlier.

“The same invoice was attached but with different bank details and then on the letterhead there was a change of bank account notification,” he said.

“There was no reason to query it, but we realised soon after what had happened when the supplier contacted us asking about the payment.”

The second email was sent by the scammers and the bank details provided were their own, not the contractor’s.

More than $35,000 was lost in the transaction.

That same month, scammers intercepted a $4000 payment that was meant for the business.

After speaking with Roma Police, the owner realised he had been defrauded again.

According to police, the scammers gained access to the businesses emails and were able to hide certain emails from the owner.

“The fraudster quarantined the invoice, replied to it with a document with our letterhead, which actually wasn’t our letterhead but looked like it, and with our bank account details, which weren’t our bank account details,” said the owner.

“These internet scammers are very good at what they do. Their work is hard to detect.”

The business has been unable to recover any of the funds stolen, despite contacting both their bank and HSBC, which hosts the account the money was transferred into.

“For privacy reasons, HSBC would not offer any assistance to us, even though we were able to give them the police report, and the BSB and account number that the funds were paid into,” the owner said.

“They refused to put me through to their fraud department. They told me they would return my call within seven to 14 days. I’m still waiting.”

The owner said his experience was warning for other businesses who might fall victim to similar “change of bank” fraud schemes.

“If you get a change of bank notification, double and even triple check with the supplier or the other party to make sure it’s bona fide, and alert them to the fact it’s not,” he said.

“There might be someone out there that has gotten into your system.”

According to Scamwatch, the best way to guard against “change of bank” scams is to contact suppliers by the telephone to and verify any requests to change bank details.

Businesses should also ensure that IT security is up to date with regular updating of antivirus and firewall software.

For more information head to scamwatch.gov.au.