Frauds

Timely research from Dr Rasha Kassem, PhD, CFE, SFHEA, CMBE and Aston University, highlighting the growing fraud risks facing holidaymakers as we head into the summer travel season - a useful reminder of the need for vigilance, from booking platforms to payment methods.

https://www.aston.ac.uk/latest-news/new-research-warns-rising-fraud-risks-holidaymakers-summer-season-approaches

Invoice fraud remains one of the highest‑harm fraud risks facing the construction sector

The National Crime Agency (NCA) and the National Federation of Builders (NFB) have launched a new joint campaign to help protect construction businesses from invoice fraud, a crime costing construction firms millions of pounds each year as they particularly vulnerable due to:

> Complex supply chains

> High‑value, time‑pressured payments

> Heavy reliance on email for payment instructions

Recent figures show that in September 2025 alone, invoice fraud resulted in losses of £3.9m across just 83 cases, with construction and manufacturing among the most affected sectors.

The campaign reinforces three simple but critical controls:

✅ CHECK for unexpected changes to invoice or bank details

✅ VERIFY directly with suppliers using trusted contact details

✅ NEVER release funds until you are satisfied the request is genuine

A timely reminder that strong payment controls, staff awareness and verification discipline remain some of the most effective fraud prevention measures we have.

https://www.wired-gov.net/wg/news.nsf/articles/NCA+and+National+Federation+of+Builders+launch+campaign+to+protect+against+invoice+fraud+in+construction+27032026112500

Romance Scammers Are Changing Tactics — Stay Alert

Nationwide Building Society reports that romance scammers are increasingly posing as investors and pushing bogus financial opportunities, rather than relying on emotional emergency stories. Cases rose 5% between 2024 and 2025, with women typically losing £4,100 per case versus £2,600 for men. Adults over 55 remain the most affected, but younger people are increasingly targeted through “exclusive” investment pitches.

Dr Rasha Kassem PhD, CFE, SFHEA, CMBE, senior lecturer and Fraud Research Group leader at Aston University, warns this shift “replaces fear-based manipulation with aspiration, authority bias and fear of missing out,” enabling scammers to groom victims longer and “generate higher losses.” She highlights how offenders now blend emotional dependency with talk of cryptocurrency or trading, leading victims to believe they are investing, not being defrauded.

As Valentine’s Day approaches:

If someone you’ve only met online offers investment advice, pause, verify, and protect yourself.

https://www.msn.com/en-gb/money/other/romance-scammers-shifting-tactics-towards-bogus-investment-schemes/ar-AA1W6Vl8

Detectives from the Economic Crime Unit at Cheshire Police have charged a man from Telford with multiple counts of fraud.

Marc Cole-Jones, 52, of Church Grove, Donnington, Telford, has been charged with 22 counts of fraud by false representation.

The charges relate to romance fraud allegations involving six victims from Cheshire, Lancashire, Shropshire, Warwickshire, Manchester and the West Midlands, which are reported to have occurred between 2009 and 2024.

The total value of the offences is more than £590,000.

Cole-Jones, also known as Marc Cole and Marc Sands, has been bailed and is set to appear at Warrington Magistrates Court on Monday 18 August.

https://www.cheshire.police.uk/news/cheshire/news/articles/2025/8/telford-man-charged-with-romance-fraud/

A motor business is being investigated over a "large scale potential fraud" after trading standards officers in Telford noticed a "dramatic increase in complaints", a committee has been told.

Councillors were told that the amount of information that can be released is limited as a Birmingham-based Regional Investigations Team (RIT) is now ‘actively investigating’ the trader.

The RIT takes referrals from local Trading Standards services where a business or trader is causing problems to consumers on a regional or national level,” Telford & Wrekin Council's audit committee heard on Wednesday (May 28).

“Telford Trading Standards noticed a dramatic increase in complaints about a particular motor business, with a total consumer detriment estimated at over £300,000.

https://www.shropshirestar.com/news/business/2025/06/01/dramatic-increase-in-complaints-leads-to-investigation-of-potential-300000-motor-fraud-in-telford/

Individuals aged between 18 and 39 account for almost 75% of reported rental fraud cases, resulting in losses nearing £9m across approximately 5,000 incidents last year, the latest data from the National Fraud Intelligence Bureau (NFIB) reveals.

In light of these statistics, Propertymark is urging letting agents to be vigilant and proactive in combating rental fraud to protect consumers and themselves.

“By implementing rigorous verification processes, educating clients, and staying informed about the latest scam tactics, agents can significantly reduce the risk of fraud and maintain the integrity of the rental market,” the membership organisation said.

“Rental fraud happens when prospective tenants are tricked into paying an upfront fee to rent a property. However, the property does not exist, has already been rented out, or has been rented to multiple victims,” it added. “Victims will lose the upfront fee they have paid and cannot rent the property they thought they had secured.”

According to Propertymark, fraudsters will often contact their victims online. The adverts will seem genuine and are n accompanied by photos and contact information. In some cases, the victim will view the property in person, but in most cases, the payment is made without a prior viewing.

Action Fraud states that reports peak in September each year as fraudsters target students organising their accommodation for the academic year. Summer holiday lets are also a key target, accounting for 27% of reports in July and August.

https://propertyindustryeye.com/preventative-measures-agents-can-take-to-tackle-rental-fraud/

Several businesses with income and assets worth billions of pounds are registered at a terraced house on Chorley Old Road in Bolton.

https://www.thebusinessdesk.com/northwest/news/2146508-fraud-or-fantasy-the-45billion-empire%C2%A0run-from-a-terraced-house-in-bolton

SPOTTING ROMANCE FRAUD

People who have fallen victim to romance scams tend to report the same pattern. If you or someone you know is using online dating or friendship sites and sees any of these signs, it may indicate you or they are being scammed:-

• Generally, the scam starts with an initial contact by the scammer. The scammer may be a member of the same online dating site as you or any online forum you have joined. The scammer may also contact you on social media such as Facebook.
• Their profile picture is very attractive. It’s common for scammers to use stolen photographs of beautiful people. You can check whether someone’s profile picture is associated with anyone else by accessing the website in Google Chrome, right-clicking on the picture and then clicking ‘Search Google for image’. Google will then display any other websites that the image is on. If the person seems to have a different name on other websites, chances are they are tricking you.
• The scammer asks you a lot of questions about yourself. This is because the more information they know about you, the easier you will be to manipulate. The scammer will spin a tale about him or herself as well. Eventually, you begin speaking over the phone. This stage can last for weeks, even months.
• The discussion is friendly at first but turns romantic very quickly. They shower you with compliments and claim to be falling in love with you. Victims usually report that this shift occurs very early on in the relationship – so if it all seems to be happening too fast, it might very well be a scam.
• Their story, or parts of it, change over time. If someone is making up their life story, it can be easy to forget what they’ve said before. If some part of their story doesn’t sound quite right or match what they said last month, that could indicate they are lying.
• Their grammar and spelling are poor. Many scams originate overseas. If the scammer tells you they’re from the UK but writes as if English is not their first language, this should be a red flag.
• They refuse to Skype or video call you, or meet in person. They always find an excuse as to why they can’t do this.
• Eventually, the scammer asks you to lend them money. They use any number of reasons: they need help to pay for the flight or other transport to meet you. They are in some sort of trouble. They need money to pay for medical care, either for themselves or someone close to them. Or they have a great business or investment opportunity that could benefit both of your futures.

https://www.ourwatch.org.uk/crime-prevention/crime-types/scams/protecting-against-scams/romance-fraud

Claims surged 10%, with 90 cases detected daily across multiple insurance lines.

With scams and other illegal activity continuing to rise, Allianz UK says that it has identified 33,027 instances of insurance fraud in 2024, amounting to £157.24 million in total value.

The insurer reported an average of 90 fraud cases per day, equating to £430,000 daily. The company says that this represents a 10% increase from the £142.38 million recorded in 2023.

Fraudulent activity spanned Allianz’s personal, commercial, and specialty lines, with claims fraud – where policyholders either inflate or fabricate claims – accounting for over £141 million. Application fraud, which involves providing false information when purchasing a policy, exceeded £15 million in detected cases.

The rise in fraud cases is not isolated to one insurer, either. Recently, not-for-profit insurer Ecclesiastical said that its claims specialists prevented over £4 million in fraudulent claims during 2024, an increase of nearly £1 million compared to 2023.

https://www.insurancebusinessmag.com/uk/news/breaking-news/allianz-uk-reports-157-million-in-insurance-fraud-cases-for-2024-523617.aspx

Valued at trillions of dollars per year, public procurement spending is a magnet for fraud. At a recent ICAEW event, leading experts shared insights on how to combat the problem.

Public procurement accounts for 13% of GDP across Organisation for Economic Co-operation and Development (OECD) countries, representing a third of their total government expenditure.

Independent charity the Open Contracting Partnership (OCP), which works in more than 50 countries to ensure fair dealing on public contracts, values total global public procurement spending at a whopping $13tn per year – a sum that inevitably attracts large-scale pilfering.

On International Anti-Corruption Day last year (9 December), ICAEW members gathered at Chartered Accountants’ Hall to hear how that vast financial flow is exploited by bad actors. Representatives from both the OECD and OCP outlined the risk factors driving public procurement fraud and corruption. They also presented strategies for government bodies to strengthen their defences.

https://www.icaew.com/insights/viewpoints-on-the-news/2025/jan-2025/protecting-public-funds-tackling-procurement-fraud