Date: Thu, 14 Jul 94 19:28:41 PDT
From: RISKS Forum <risks@csl.sri.com>
Subject: RISKS DIGEST 16.24

RISKS-LIST: RISKS-FORUM Digest  Thursday 14 July 1994  Volume 16 : Issue 24

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Date: Wed, 13 Jul 1994 18:13:59 -0700
From: Phil Agre <pagre@ucsd.edu>
Subject: Scams

The 24 June 1994 issue of The Wall Street Journal contains a long article
about a wave of "fax scams" that has been emanating from Nigeria.  People
receive quasi-official-looking faxes with elaborate stories about money
that needs to be parked in their bank accounts for short periods, with large
profits promised.  The recipients of these faxes, of course, start dreaming
of big bucks.  Just before the deal is closed a temporary "hitch" arises,
requiring the person to send over some money or goods to bribe a government
official.  Needless to say, the money and goods are never seen again.  Part
of what makes these scams so effective is that the scammers manage to come
up with enough personal information about the victim to play on his or her
weak points and make the faxed "documents" more compelling.  The scam requires
faxes rather than just airmail because the parties need to exchange increasing
numbers of faxes as things get more complicated, and speed presumably helps
keep doubt from setting in.  The article says:

  Nigerian scam artists have claimed so many victims in Texas that the
  Nigerian soccer team and its fans have received a less-than-enthusiastic
  welcome at the World Cup games there.  In Addison, the Dallas suburb where
  the Nigerian team is practicing, a local newspaper quoted the police chief
  warning restaurateurs to beware of Nigerians bearing credit cards.  After
  outraged Nigerians called for his resignation, the chief said his remarks
  had been misinterpreted.

The full reference is:

  Geraldine Brooks, How a recurring scam cost an accountant and his wife
  $54,000, The Wall Street Journal, 24 June 1994, pages A1, A6.

The Risk, of course, is not specific to faxes.  When communications are cheap
and personal information is readily available, scams like these can readily
cross borders, so that criminal communications can originate in "off-shore"
locations where they are not likely to be punished.  Just think what will be
possible when global broadband communications become widely available.

Phil Agre, UCSD

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End of RISKS-FORUM Digest 16.24
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