Email Scams Costing Businesses $3.1 Billion

The FBI is reporting that email scams are costing businesses $3.1 billion with a 1,300% increase over 2015.

The FBI identifies the scams as business e-mail compromise (BEC) crimes. These are targeted spear phishing scams that trick email recipients into money wire transfers. They can also be used to trick employees into sending sensitive employee data such as W-2 data, paying fake invoices, or hijacking employee email accounts.

The FBI released its annual Internet Crime Complaint Center (IC3) report in which it stated that they had received 7,838 complaints and losses of more than $263 million in 2015. Moreover, between Oct. 2013 and May 2016, complaints and losses were reported at 14,032 U.S. BEC victims representing $961 million dollars in losses.

“The BEC scam continues to grow, evolve, and target businesses of all sizes,” wrote the FBI. “The scam has been reported by victims in all 50 states and in 100 countries. Reports indicate that fraudulent transfers have been sent to 79 countries with the majority going to Asian banks located within China and Hong Kong.”

Source: Threat Post