Cracking the Code of Fraud
This International Fraud Awareness Week, we believe it is crucial to raise awareness about fraud and the tactics used by fraudsters.
Fraud is a deliberate act of deception or misrepresentation for personal gain, often financial. It can occur manifest in various areas such as businesses, personal relationships, online transactions and government.
The Fraud Triangle explains the factors that contribute to fraud: pressure, opportunity, and rationalization. Organisations can prevent fraud by promoting ethical behavior and implementing robust controls. This is an opportune time for everyone to learn how to protect themselves from different forms of fraud.
Common Forms of Fraud:
- Phone Fraud (Vishing) – This type of fraud involves scammers posing as authorities or service providers through phone calls to deceive individuals. To protect yourself, verify the caller’s identity, especially with unexpected calls and avoid sharing personal or financial information unless.
- Email Fraud (Phishing) – This is a technique that manipulates individuals into divulging sensitive information through deceptive emails and suspicious links. Fraudsters pose as legitimate entities, often pressuring recipients for immediate action. To shield against phishing attempts, scrutinize unexpected emails, avoid suspicious links or downloads and use strong, unique passwords. Organisations must employ email filtering, two-factor authentication and employee training to reduce risks.
- Prize Scams (Lottery Scams) – Prize scams, often disguised as lottery winnings, manipulate victims into believing they have secured a prize, aiming to extract money or sensitive information. To avoid falling prey, be cautious of unexpected prize notifications, verify offers and contact the sponsoring organisation to confirm the prize.
- Loan Fraud – This fraud entails deceitful promises of loans that demand upfront fees—an uncommon practice among legitimate lenders. Research the lender’s reputation, review terms of the agreement and be cautious of hidden fees. Watch out for red flags, such as unsolicited, too-good-to-be-true offers.
Staying vigilant against fraud is a shared responsibility. Here’s a guide on where and how to report suspicions of fraud in the UAE.
By staying vigilant and reporting any suspicions, you actively contribute to a safer and more secure environment for all. Remember, your actions make a difference in the fight against fraud.