It’s that wonderful time of year again – the time when the weather gets frosty, grocery and retail stores play holiday tunes non-stop, and scams targeting trucking companies abound. This week two scams surfaced to prey on the trucking industry that symbolize the season perfectly. One is an old scam, an American tradition that reminds us of days gone by, while the other is shiny and new and comes to us from up north.
The old one you should recognize from when we reported on it back in early October. The gist of it is that the scammers send you a fax saying that you need to provide them with your personal data and bank account information for an “Authorization to Release Financial Information.” The faxes are signed by Julie Weynel, supposedly a senior procurement officer for the U.S. Department of Transportation Procurement Office. The faxes are sent with official looking DOT letterhead and have a return address for Washington, D.C., but other than that there is little other identifying information. Similar scams have been in practice since 2005.
As you might imagine, the FMCSA has confirmed that even if she does exists, Julie Weynel is not an employee of the U.S. DOT.
“Motor Carrier officials and their employees — as well as government and law enforcement officials, should be vigilant and on the lookout for fraudulent attempts to gather financial or other personal identifiable information by fax, e-mail, or telephone. Requestors should be verified and authenticated before such data is provided,” FMCSA said in an announcement.
To report a fraudulent request for information to DOT, please contact the Office of Inspector General (OIG) Hotline at http://www.oig.dot.gov/hotline, or call (800) 424–9071.
The new scam is one perpetrated by Canadian companies. The FBI is calling it “Operation Canscam” and so far it has affected U.S. trucking and logistics companies, lumber and construction material retailers, auto parts retailers, tire retailers and paint supply companies. A Canadian company will call a U.S. company, get a line of credit, and then have items shipped up north. Since the Canadian business never actually gave out any financial information or paid a single penny, the company is never paid for their product, and the trucking companies aren’t paid for shipping.
The FBI has issued this list of allegedly fraudulent Canadian businesses involved in the scheme:
Canstruct, Inc.
AYA Distributors
Xpress Auto Parts
Point Tech Performer, Inc.
Emptech
If you or someone you know has been a victim of this scheme, the FBI is asking you to call (877) 236-8947 or email canscam@ic.fbi.gov.
Next Story: Even Other Truckers Can’t Find Truckers To Hire
Source: overdrive, fleetowner, landline
Al Grant-Warehouse says
Don’t U.S. companies do credit checks on Canadian companies before giving a line of credit ? Don’t they check references ? Transportation or shipping charges are are either prepaid by the shipper or collect (paid by the consignee). So, tell me, what U.S. companies and U.S. carriers have been victims of this scam ?
Mn guy says
Since when are freight charges all prepaid. A lot of trucking companies are out months for work that’s already been completed. Then you get these world class customers that refuse to pay fuel surcharge or delay pay. In a lot of cases if the shipper or broker does not get paid the trucking companies are out that money also. Go back to your wharehouse work.
Montreal says
@ Al Grant – If your company pays this way I’d love to have your business.
“Transportation or shipping charges are are either prepaid by the shipper or collect ”
Reality is that carriers are paid 30-45 days if we are lucky.
Mn guy says
Collect? I think might be different than prepaid. Collected after work completed. And 30 to 45 days sounds like a month and half to me.
Montreal says
I’m with you Mn guy, as a carrier we are lucky to get paid in 45 daysfrom most clients these days. I dont know where Al Grant is from but if he pays prepaid or collect we’d like to hall his freight. 🙂
kerry says
Well, no carriers should have to wait no more than 3 days…and if so do not move it…also we do not run any loads unless we get paid fuel surcharge and money for extra stops. Example: if a load is 1200 miles has 3 stops we get 2400 for the miles and 75 for each stop….total pay would be 2625 and to be paid in 2-3 days ach deposit or comchek.
Stormy says
Considering the increase in hacking in government and other company servers does anybody wonder why FMCSA has the following requirement in order to access the Safer site, including updating your MCS-150?
“PLEASE NOTE: The FMCSA has implemented a more stringent credit card and transaction verification procedure. All credit card transactions now require verification of the credit card number, expiration date, security code, billing address and telephone number.”
This puts every carrier’s financial information at risk every time they access the FMCSA Safer site and are required to enter credit card information to update our MCS-150.
d king says
I do not haul freight that is not prepaid via transflo,or have no less than three day pay and I have work you need to grt your people fight or go back to your warehouse job. Note: companies do pay they just like to sit on carriers money if you let them
Rowdy / Logistician & O/O says
Freight Collect- Bill Consignee Account
Freight Prepaid- Bill Shippers Account
What Am I Missing?
Liz Gempka says
We did a rather thorough credit check on AYA Distributors and the information came back that the company had great credit and paid other vendors in a timely manner and also carried high credit limits. The main issue is that the fax numbers we used to contact AYA’s trade references were actually fax numbers purchased from a company called Ring Central by the crooks at AYA. So when we thought we were sending an inquiry to a vendor, we were actually sending them to AYA and they were being filled out fraudulently. We are a plumbing/heating supply company and we were taken to the tune of $25k. AYA has managed to run this scam on companies from Connecticut to California and everywhere in between. They are extended lines of credit based on information that is completely false. Hopefully the FBI is able to get these guys.