Scam Alerts and Media Releases

This Topic Includes:

Archives
January
February
March
April
May

The Scam Alerts section contains information about scams that have been notified to the Ministry of Consumer Affairs, or have been publicised in the media.

Please note that this list does not cover all scams which are currently circulating.

Remember - scams target you, and you can both recognise a scam, and protect yourself and others from being scammed!

If it’s too good to be true, it probably is!

2008

10 June

'Holiday' Scams update

See the media release - Commerce Commission urges caution over holiday vouchers [external website]

20 May

Advertising scam doing the rounds

There has been some media coverage of a scam known as a ‘small business scam’ or a ‘pro-forma invoicing scam’ occurring in New Zealand, which involves invoicing for advertising that has either not been ordered, and in fact may not even exist. In particular, it has been reported that ads were being billed in the areas of health safety and road safety.

This type of scam is not new and has been around for some time.

Additional useful advice includes:

• request proof of purchase before payment
• check with your colleagues
• ask for evidence that the publishing company has been commissioned by an organisation to publish the magazine on their behalf, if that is the claim. Check with the organisation
• keep records of contacts and requests regarding advertising, including emails and phone calls
• inform the company in writing that the advertisement they are charging you for was not authorised and will not be paid for
• seek legal advice if threatened with legal action.

More information

30 April

The New Zealand Bankers’ Association issued a media release alerting consumers that bank customers in Northland and Auckland are being targeted by scammers for credit and debit card details.

This scam involves a person who says they are from a courier company with a delivery, for which a small payment is supposedly owed. Cash is not accepted and an EFTPOS transaction occurs. However, the portable EFTPOS device used by the scammers appears to be a skimming device capturing and recording card details. The information is very quickly used to obtain cash from Automatic Teller Machines in Australia.

People are warned to make sure they know the identity of a courier company making a delivery, and that they request official identification from the courier driver. If people are still suspicious, they should call the police.

4 April

‘Holiday’ scams

There have been reports about companies promoting various holiday ‘deals’, including prizes and discount voucher schemes over the phone.

One group of companies was ordered to stop trading under the Fair Trading Act as a result of an injunction sought by the Commerce Commission in November 2007.

For more information see the Commerce Commission media release [external website].

However, it appears that there may be similar off-shore based schemes targeting New Zealanders in much the same way.

People should always be wary about unsolicited offers or ‘prizes’, regardless of the way that they are packaged. Scammers are successful seducers and they know how to create packages that will appeal – and holidays have wide appeal.

People have also been asked to give personal identity details, in order to receive ‘prizes’, from people claiming to be from companies selling holidays over the phone.

People are reminded to be careful about giving out any identity details, as identity details potentially give scammers access to money or to credit in a victim’s name. People should protect their identity details in the same way that they protect their personal possessions or their wallet.

10 March

'Hitman' scam

A vicious new type of scam email has started to hit New Zealanders. Dubbed the “hitman scam” by overseas authorities, the email threatens to kill people unless they give in to demands and pay thousands of dollars to a cyber extortionist.

The email suggests that a ‘friend’ wants the recipient dead and has hired the writer to kill the recipient. If the recipient makes contact and pays the writer, then the contract will be postponed or cancelled. If the Police are informed, or the writer notices ‘something funny’, then the writer will “extend it to your family”.

There are various versions of the “hitman scam” email demanding between $1,000 to more than $100,000, and some versions ask for payment in pounds.

Versions of the email have been sent randomly to thousands of email addresses, in the United States and more recently in Australia. New Zealanders have also started to be targeted by versions of this scam.

Overseas police are urging people to ignore the email, saying it is an empty threat and their life is not in danger.

The advice being given in New Zealand, also, is not to respond. Responding invites further contact with the scammers and the possibility of escalating threats.

Anyone concerned that a threat to their life may be genuine, is advised to report it to their local Police. New Zealanders can report this type of scam to SCAMwatch, so that others can be made aware of it.

3 March

Fraud Awareness Week 3-10 March 2008

(Media Release)
 Fight the scammers. Don’t respond.

Australasian Consumer Fraud Taskforce 2008 survey [external website]

The Australasian Consumer Fraud Taskforce is again running a survey to find out about any scams that consumers have received and how they have responded to them. Gathering this information will help to improve the detection and prevention of scams.

Consumers can fill out the Australasian Consumer Fraud Taskforce 2008 scams survey on the Australian Institute of Criminology website.

8 February

The Experience of E-Crime Findings from the New Zealand Crime and Safety Survey 2006 [external link]

Young people, Maori, women and those at the lower end of the socio-economic scale are most at risk from electronic crime such as identity theft, a new survey  from the Ministry of Justice shows.

Computer viruses, unintentionally viewing offensive internet web pages, and receiving harassing emails and mobile phone messages were also commonly reported by New Zealanders during the course of the survey.

The survey's authors said the results were subjective. Some offences reported could not be classified as "crimes" in the legal sense, and the survey did not collect information about how many times offences had occurred or details of the offences. However, the survey still offers up-to-date information about 11 e-crime problems and provides a preliminary measure of the extent of e-crime in New Zealand.

The survey found 2.8 percent - equating to 93,000 New Zealanders aged 15 or over - had experienced some form of identity theft. Those that had experienced identity theft tended to be in economically deprived situations, including the unemployed, those living in homes rented from local authorities or Housing New Zealand, and people from smaller ethnic groups.

Madame Soleil Psychic scam

I have a very important and urgent announcement for you.............

Madame Soleil was a famous French astrologer who had a radio show, appeared on television talk shows, and reputedly also advised former French President Francois Mitterrand.

But the clairvoyant Madame Soleil, who is currently writing to consumers offering 11 exceptional miracles, is not the real Madame Soleil as the real Madame Soleil died in 1996 at the age of 83.

23rd January

Lottery Scam reported

A scam circulating by email has been reported to the Ministry of Consumer Affairs. The scam email claims to be from Master Card Corporation and congratulates a recipient on winning an International Mega Jackpot (supposedly linked to both Mastercard and Microsoft). A considerable sum of money is ready for pay out directly to the recipient. All the recipient needs to do to claim this money is forward personal details to a 'Claims Administrator' and then make contact to find out how to claim the winnings.

16 January 

Kevin Day aka David Rhodes Pyramid schemes and chain letters

Kevin Day isn’t very original it seems.

You see the scheme he is trying to peddle to New Zealanders is nearly identical to another by David Rhodes.

He has a rags to riches story.

He offers the opportunity to make as much as $70,000.00 in 60 days.

He says all you have to do is send 200 letters and they have even worked out a cost budget for you breaking down the cost of the $10 you send to the first person on the list you receive, photocopying costs of $80, the cost of 200 business envelopes at $14.00, stamps at $100.

This will take you five hours they tell you and your profit could be as high as $77, 566 or $15,513.20 per hour of your time if just 3 per cent of people send $10 in cash to you.

Phishing scam reported

The Dominion Post has reported that "grammatically challenged" scammers have targeted ANZ Bank customers with an email phishing scam, requesting customers to click on a web link and confirm information. The email scam contained grammatical errors and was sent from customercare@anz.com.nz.

ANZ representatives point out that it is ANZ policy to never seek information by email, particularly passwords. Consumers are reminded that they should be suspicious of any request to provide any information that is received by email.

8 January

Psychic scam attempt reported

The Bay of Plenty Times reported a Psychic Scam attempt made on a Katikati man. The man received a letter from someone claiming to be a psychic named Maria Duval. Her letter included emotional testimonials from well satisfied customers, an impressive profile and a list of apparently successful predictions, ranging from searches that found missing people, to predicting big Lotto wins. The letter requested $30, and in exchange Maria Duval would use her psychic powers to help the Katikati man line up the numbers for the Lotto win that had always eluded him. The letter also guaranteed that the $30 payment would be returned if the man did not get the riches promised.

It was reported that people have fallen for this scam in New Zealand and overseas, and that Police and consumer agencies worldwide have issues warnings about this type of scam.

5 January

Scam involving fake vouchers reported

The Manawatu Standard reported on a scam involving fake vouchers, which were being sold by a woman claiming links to a Maori Trust and showing documentation, supposedly signed by a judge.

The vouchers were being sold for $150 to consumers, and it was claimed that they could be redeemed for $2500 worth of electrical goods. It is not known how many consumers fell for this scam, or how widespread the scamming was.

The woman was arrested and appeared in Palmerston North Court charged with deception. It was reported that other charges were pending.

December 2007 / January 2008

Fraudulent franchise sales reported

In December 2007 and January 2008, the media has been covering events following the sale of non-existent ironing franchises to the unsuspecting. A number of people were scammed, and purchased bogus franchises for $25000 each.

The fraud has been linked to the Green Acres franchise, although the false sales were carried out by an independent franchisee, not an employee of the company or the company itself.

It has been reported that the Serious Fraud Office is currently investigating this fraud.

Scam Alert and Media Releases Archives

2007 | 2006 |
 

Archived 'reported scam' list

2007 (prior to August 2007)