PIC MailBlock : Nigerian 419 scam
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Advance Fee Fraud scams (more commonly known as Nigerian 419 scams) have been in operation for a long time, originally in the form of letters (snail mail) and later also by fax and telephone call. A recent estimate by the USA Secret Service has 80% of all Nigerian 419 scam incidences now being initiated with email.

The basic initiating message usually involves a request (often from supposed government or bank officials in Nigeria) for assistance in moving tens of millions of Dollars out of one country into the one where you live.

Unfortunately, blocking this kind of scam by technological means is a losing battle; every instance needs to be reported to law enforcement and possibly to the ISP/s used by the fraudsters with as much information as possible (they will usually want the complete message headers and body).

Advisory: It has become more and more popular to "pull the 419er's chain" by sending humorous or strange replies, for instance a reply like "give me $20.000 and I'll send my mercenary team in to secure your money for you". We at PIC would like to remind our users that these fraudsters are organised and sometimes very dangerous gangs and should not be trifled with.

Some information from other 419 awareness websites to broaden the description:

From a South African Police Service web page we get:
The scam is initiated with the fraudster contacting a targeted company, either by fax or mail. A business proposal is made in the letter or fax, usually by a Nigerian based syndicate posing as senior government officials. They claim that they are in possession of a large amount of over-budgeted money, usually American dollars. The proposal entails the transfer of the over-budgeted money to a bank account outside of Nigeria, which is that of the targeted company. A plausible explanation is usually given for the transfer, although they basically appeal to the intended victim's greed. The person receiving the letter or fax is generally promised a sizable percentage, between 20 and 35 percent, of the money transferred, as a commission, for the use of the bank account.

If the intended victim is interested in the deal, they are requested to forward a variety of paperwork which generally includes blank company letterheads which are duly signed, blank invoices, telephone and fax numbers, and especially bank account details. These being required to effect the transfer of the money into the bank account.

 

From a PDF document published by the USA State Department we get this (by no means complete) list of types of 419 scams (An example of the Threat Scam type can be seen on page 25 of the PDF file):
Transfer of Money From Over-Invoiced Contracts
About 90 percent of AFF are over-invoiced contract scams. The scam involves an offer to transfer large sums of money into an overseas bank account owned by a foreign company. The money comes from over-invoiced contracts from a Nigerian company or one of the Nigerian Government ministries (that is, Central Bank of Nigeria, Nigerian National Petroleum Corporation). The author of the letter claims to be a government or bank official who is willing to pay the victim a generous commission of up to 30 percent for assisting in the transfer of the funds.

Contract Fraud (C.O.D. of Goods and Services)
This fraud is sometimes referred to as "trade default" and targets primarily small companies with little export experience. According to the U.S. Department of Commerce, "Twenty-five percent of reported fraudulent business solicitations from Nigeria involve large orders for products of U.S. companies."

Conversion of Hard Currency (Black Money)
This fraud is reminiscent of the 1930s flimflam whereby a con artist would put a piece of paper into a box and pull out a dollar bill from the other end. Today’s version is called Conversion of Hard Money or "Wash-Wash." It is more sophisticated, but the results are the same.

Sale of Crude Oil at Below Market Prices
The victim is offered special crude oil allocations at lower than market rate. As in other AFF business proposals, the victim is required to pay special registration and licensing fees to acquire crude oil at below market price, only to find that the "sellers" have disappeared once the fees have been paid.

Purchase of Real Estate
This fraud involves an offer to purchase real estate using the services of a real estate broker or a "well established" business executive. Once a home is located, the broker or person acting on behalf of the home buyer is required to pay certain fees to complete the transaction in return for receiving a normal commission.

Disbursement of Money From Wills
In this variant of the money transfer fraud, charities, religious groups, universities, and nonprofit organizations receive a letter or fax from a mysterious benefactor interested in the group’s cause and wishing to make a sizable contribution.

Threat Scam (Extortion)
This type of AFF is not common, and is seen primarily in Europe. It threatens the life of the recipient of the letter or fax unless funds are deposited in a certain bank on a specific day. There is no evidence that this fraud has been carried out.

Clearinghouse
The newest twist in AFF has Nigerian and non-Nigerian criminals living outside of Nigeria claiming to be a clearinghouse or venture capital organization for the Central Bank of Nigeria (CBN).7 In essence, clearinghouses are noninterested third parties setup by the criminals to provide payment instructions allegedly from the CBN to the victim. Clearinghouses also lend credibility to the AFF scam by alleviating any doubts the victim may have in dealing with a Nigerian bank. It is for this reason that a number of fraudulent clearinghouses have been setup in the United States.

 

In an email to me, a member of the Amsterdam Police pointed out this variant

Amsterdam Lotterie i.e EUROLITE BV or WERKEN BIJ DE LOTTO

This is just another variation on the advance fee fraud theme. The intended victim gets an email informing them that they have (or may have) won a large amount of money on the Amsterdam Lotterie (Lotto), the email then asks for some sum of money to handle administrative fees. If money is sent to the scammer that is usually the last the victim will hear from them. However, there have been reports of this variant being followed up with a version of the Black Money variant.

 

From the excellent Nigerian Advance Fee 419 Fraud Scams page comes this twist of the theme
Get Me Out of Here

Col. Yusef Saraki in Nigeria sends you a fax claiming that the Nigerian government was just overturned. He is presently under house arrest and his assets have been frozen by the new regime. He needs to transfer a total sum of US$60M to an offshore non-resident bank account.

In order for him to do so he needs you to sign a document as "next to kin" and pay $200 a day to ensure his safety until the funds can be wire-transferred to your account. To avoid any interruption he needs a "small" advancement fee (approximately 30 days worth) until the wire transfer is completed.

He claims that upon completion of the wire transfer to you, he will somehow find a way to escape Nigeria and move to Korea with his family, at which time you will be entitled to 10%, or $6 million, for your troubles.  He insists that as this is a life or death matter the entire transaction must be completed within two weeks. And heaven forbid he should be killed, leaving you with all the money.  He provides you with a fax copy of the Bilateral Agreement between himself and the Securities Investor Protection Corporation in Johannesburg, South Africa and some other qualifying affidavits.

 

From the National Criminal Intelligence Service of the United Kingdom we get this very useful information
If you are a non-UK citizen NCIS urge you to make contact with the National Law Enforcement Agency in your country who leads investigations into Advance Fee Fraud.

In the USA you should contact 419.fcd@usss.treas.gov

In South Africa you should contact commdetectiveandci@saps.org.za

In Australia you should contact er-waoc@afp.gov.au

NCIS have established direct lines of communication with law enforcement agencies in the aforementioned countries as well as with European and West African countries.

Sources of information about Advance Fee Fraud are available for research via the Internet and can be found at the following sites:

www.ncis.gov.uk

www.usss.treas.gov

www.nigerianfraudwatch.org

http://home.rica.net/alphae/419coal

Unfortunately, it seems that www.nigerianfraudwatch.org (a site started by the Nigerian Government) is now defunct (along with related email addresses). Currently, it seems that http://home.rica.net/alphae/419coal is the best source of useful information.

Reporting to law enforcement

Some reporting routes. The places to report to can usually be determined by looking at what countries are mentioned in the message and also which country the recipient is in. If the fraud involves links to the country you are in (or if they contain threats to your safety, such as the extortion variant), the incident should also be reported to your local police service.

USA: 419.fcd@usss.treas.gov.

UK: The NCIS are flooded with reports, so they ask that cases only be reported to them if actual losses have happened. More information at http://www.ncis.gov.uk/advancefeefraud.asp.

Australia: er-waoc@afp.gov.au.

The Netherlands: financiele-expertise@amsterdam.politie.nl. Special thanks to the Amsterdam Police for confirming this address and for contributing additional information and advice.

South Africa: From priveye.com: Please contact Captain SC Schambriel of Commercial Crime, Head Office, at telephone number (012) 339 1203 or preferably fax the information to him at (012) 339 1202.

Nigeria: This is more difficult, some people are of the opinion that reporting this kind of scam to the Nigerian government or police is a pointless exercise. We at PIC choose to remain out of this debate and ask that guidance be taken from other pages linked on this page.

 
Note for PIC clients: If PIC provides email server administration services to you, please provide full details of 419 spam to us, including full headers, and we will report the crime to the proper authorities in our capacity as your email server administrators.

We suggest that all our clients read the documents referenced above in order to inform themselves about this kind of scam. In addition, please also see:
http://www.nigerianscams.org/
Fraud - 419 Scam - Information About Internet Fraud, Mail Fraud, Credit Card Fraud, Phishing, Phone Fraud

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