Canadian businesses warned of overpayment fraud
Ottawa, Ontario, May 23, 2006 - The Canadian Red Cross is warning businesses to beware of overpayment for goods and services from people pretending to be with the International Red Cross. Small businesses, such as bed and breakfasts, seem to be specifically targeted by these unscrupulous individuals.
Criminals from overseas will send an overpayment to a business, usually in the form of a cheque or money order. The sender will then request that they are sent the surplus funds from Canada. Only after the money is returned does it become evident that the original cheque was fraudulent.
By depositing the fraudulent cheque into an account, the bank holds the business responsible for the amount deposited.
While this fraud is not currently widespread, it can have serious financial consequences for its victims and seriously misrepresents the International Red Cross movement and its national societies.
What happens if you are a victim of a scam?
- Contact your local police service
- Contact your credit bureau
- Contact Phonebusters National Call Centre toll free 1-888-495-8501 or
- Report Economic Crime Online at the RECOL website
Donors suspicious of any activities alleging to represent the Red Cross are also encouraged to call their local Red Cross office for guidance.
Those wishing to support the Canadian Red Cross can safely and securely do so by donating online, calling 1-800-418-1111,or donating at any Red Cross office or trusted institution collecting on behalf of Red Cross.
For further information please contact:
Jenna Clarke
Communications Officer
Canadian Red Cross
Tel: (613) 740-1966
Cell: (613) 296-4669
