BUSINESS ATTORNEYS WITH A GLOBAL PERSPECTIVE

Business fraud is a massive risk to your company- says new report.

On Behalf of | Aug 24, 2022 | Business Law |

In a study released by Gatepoint Research and sponsored by Telesign, most companies think fraud protection is important. However, additional data shows that more than half of the respondents to the study admitted to significant holes in their fraud mitigation efforts. This contradiction is common and highlights the need for secure business fraud detection efforts.

The most concerning types of fraud

In addition to the revelations of how vulnerable many believe their companies to be, the survey detailed the top scams that worried the respondents. The most worrying scams are:

  • Phishing: Phishing is a form of social engineering where an attacker attempts to trick a person into handing over sensitive information. This may be emails that route a person to a page asking them to sign into their account, or it could simply be a scammer posing as a tech support person on the phone.
  • Account takeovers: An attacker gains access to an account and completely takes it over. They change the secondary contact information, the passwords. Essentially, the account – and all the information attached – is now under someone else’s control.
  • Fake users: User counts and activity are important indicators for many tech companies. Fake accounts, however, can skew numbers inappropriately. However, large numbers of fake accounts are often signs of an organized harassment campaign.

Each type of fraud poses a specific danger to the company or its users. According to the article, fraud costs companies across the globe more than $5 trillion each year.

What can you do?

Every company has security measures and procedures in place to detect and mitigate fraud. However, if there comes a time when your business falls victim to fraud, you may have legal avenues available to you. Speaking with a skilled attorney can provide the information you need to move forward.

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