QAPHELA DAILY FRAUD NEWS-11th December ‘07

The number of filings to Shamwari in the previous 24 hours: 60

 The number of newly reported Protective Registration applications in the previous 24 hours: 22

 Top Stories on fraud issues: (Reports and links to the full reports)

 Credit card cloner to pay up

A credit card cloner, who was caught red-handed at Durban International Airport with 104 cards which he used fraudulently to buy R140 000 worth of goods, has to repay the banks the money and spend 2 000 hours in jail at weekends. On top of this, he was fined R20 000 (or two years) and given a five-year suspended sentence.

 Principal faces charges for cheating 

The charge against Mzoli Sojola comes days after the principal of Sacs high school, Ken Ball, was found guilty of negligence after the wrong matric exam paper was opened, which resulted in 21 000 pupils having to sit their English setwork exam again.

 Life in downward spiral

...police for the alleged murder of Pam Golding estate agent, Lynne Hume. The Kroonstad charges include kidnapping and two counts of fraud. Hume’s burnt body was found in her burnt-out luxury vehicle in the Free State at about 3am on October 24 after she had allegedly...

 ID scam hits pensioner in the pocket

...the bank’s head office, An Absa Bank Fraud Department official, Lorraine Maepa, in...bottom of this scam She also said a case of fraud would be registered and the fraudulent...the matter to John Maluleka, also of the Fraud Unit with Absa.

 R17m grant fraud bust

...two months in connection with social grant fraud, Radebe said. Social grant fraudsters, often...new system has been so effective in exposing fraud. He said community members with information on fraud could either phone his offices on 033-341...

Fraud Tip of the Day

Here is a credit card scam that is hitting our area. You might want to pass along this email. This information is worth reading. By understanding how the VISA & Mastercard Telephone Credit Card Scam works, you'll be better prepared to protect yourself. Those con artists get more creative every day.

My husband was called on Wednesday from "VISA", and I was called on Thursday from "MasterCard". The scam works like this:

Person calling says, "This is <name>, and I'm calling from the Security and Fraud Department at VISA. My Badge number is 12460. Your card has been flagged for an unusual purchase pattern, and I'm calling to verify.
This would be on your VISA card which was issued by <name> bank. Did you purchase an Anti-Telemarketing Device for R497.99 from a marketing company based in Arizona?"

When you say "No", the caller continues with, "Then we will be issuing a credit to your account. This is a company we have been watching and the charges range from R297 to R497, just under the R500 purchase pattern that flags most cards. Before your next statement, the credit will be sent to (gives you your address), is that correct?"

You say "yes". The caller continues... "I will be starting a Fraud investigation. If you have any questions, you should call the 1-800
number listed on the back of your card(1-800-VISA) and ask for Security.
You will need to refer to this Control #" The caller then gives you a 6 digit number. "Do you need me to read it again?"

Here's the IMPORTANT part on how the scam works. The caller then says, "I need to verify that you are in possession of your card". He'll ask you to "turn your card over and look for some numbers. There are 7 numbers; the first 4 are your card number, the next 3 are the 'Security Numbers' that verify you are in possession of the card. These are the numbers you use to make Internet purchases to prove you have the card.  Please read me the 3 numbers".

After you tell the caller the 3 numbers, he'll say,"That is correct, just needed to verify that the card has not been lost or stolen, and that you still have your card. Do you have any other questions?"

After you say "No", the caller then thanks you and states, "Don't hesitate to call back if you do", and hangs up.

You actually say very little, and they never ask for or tell you the card number. But after we were called on Wednesday, we called back within 20 minutes to ask a question. Are we glad we did! The REAL VISA Security Department told us it was a scam and in the last 15 minutes a new purchase of R497.99 was charged on our card.

Long story short, we made a real fraud report and closed the VISA card, and they are reissuing us a new number. What the scammers wants is the 3-digit PIN number on the back of the card. Don't give it to them.
Instead, tell them you'll call VISA or Master card direct. The real VISA told us that they will never ask for anything on the card as they already know the information since they issued the card! If you give the scammers your 3 Digit PIN Number, you think you're receiving a credit. However, by the time you get your statement, you'll see charges for purchases you didn't make, and by then it's almost too late and/or harder to actually file a fraud report.

What makes this more remarkable is that on Thursday, I got a call from a "Jason Richardson of MasterCard" with a word-for-word repeat of the VISA scam. This time I didn't let him finish. I hung up! We filed a police report, as instructed by VISA. The police said they are taking several of these reports daily. They also urged us to tell everybody we know that this scam is happening.

Please pass this on to all your friends. By informing each other, we protect each other. 

Thanks to Dr. Pat Cloney for passing this on.

“Contributed by Lizl Combrinck of Goldman Judin Inc, attorneys of Johannesburg. Lizl can be contacted by e-mail on lizl@elawnet.co.za or on her mobile 084 800 1866”