Police in Steinbach, Manitoba, issued a cautionary alert regarding overpayment scams following a recent incident involving a charity. The charity, Steinbach and Area Animal Rescue, almost fell victim to an overpayment scam last spring. An individual using the name “Kevin Vance Owens” contacted the rescue via email expressing interest in making a substantial donation by cheque.
After receiving and depositing the cheque, the individual claimed they had mistakenly sent $4,000 instead of the intended $2,000 and requested the excess $2,000 to be refunded. Despite the pressure to return the money promptly, the charity discovered that the cheque was fraudulent before any funds were transferred back.
Michelle Neufeld, the president of the animal rescue, emphasized the importance of verifying transactions thoroughly to avoid such scams. While the organization did not suffer any financial loss, they were deeply concerned by the attempted fraud, especially considering the significant amount involved.
Moving forward, the charity has implemented stricter protocols, including confirming cheque clearances before issuing tax receipts. Steinbach RCMP Staff Sgt. Mike Maxwell highlighted the increasing prevalence of scams, including overpayment schemes, and advised individuals to remain vigilant against fraudsters who create urgency to manipulate victims into making hasty decisions.
In a separate incident, Earl Funk, the owner of Earl’s Meat Market and mayor of Steinbach, shared how his business fell victim to a cyber scam that resulted in a loss of thousands of dollars. The company’s bookkeeper received an email purportedly from Funk, requesting an electronic deposit for an invoice payment, which was unusual as the supplier typically accepted cheque payments. Despite efforts to halt the transactions, a significant sum was lost before the payments could be stopped.
Funk expressed feeling violated by the cybercrime incident and stressed the importance of implementing enhanced security measures within the business to prevent future occurrences. He emphasized the need for stringent approval processes for payments to safeguard against fraudulent activities.
Both Neufeld and Funk urged individuals to exercise caution, verify all financial transactions carefully, and seek assistance from authorities or financial institutions if they suspect any fraudulent activities. The incidents serve as stark reminders of the prevalence of online scams and the necessity of robust security measures to protect against cyber fraud.