Miami’s No Stranger to Scams

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Two weeks ago, I published a blog post (When “Nigeria” Comes Calling) about my experience with a scam artist who appeared to be a new business prospect but was actually trying to drain my bank account.   I was originally a bit embarrassed about the story because I felt that, while I hadn’t been officially duped, I did get strung-along for a while.  Despite my apprehension, I published the post because it was an interesting tale, and I figured there was a chance I might prevent another person from falling for a similar scam. 

The response to the post was fascinating.  Many people who read my blog knew someone who has been scammed, and I was not the only PR person in Miami to hear from this guy.  I want to share some of my interesting feedback.

One of my readers, a local banker, said that wire fraud cases have been on the rise lately.

Another told me of a physician who got taken for $60,000:  “Somehow an alleged ‘Nigerian Entrepreneur’ contacted him by cell phone and made all sorts of promises about easy money, if he would just send some ‘seed money’ to him.  Well, desperation prevailed over high I.Q.  This doctor ultimately sent six tranches of $10,000 a piece before he spoke to his attorney, who told him to STOP.”

Branding agency owner Michael Gold of Goldforest warned there’s another successful scam out there involving video production in China: “They’ve actually GONE to China to get punked!”

A local insurance industry executive told me that he had “a family friend who fell for the scam about 15 years ago.  He actually flew to Nigeria for a meeting in connection with the representation of an oil company and they held him for a $25,000 ransom.”  He also pointed out that if these scammers used their mental abilities for legitimate business, they would probably be successful.

Honestly, I never imagined the possibility of being “locked-up abroad,” but my aunt did.  She was glad I didn’t get scammed and reminded me that “of course, you know that we would all band together to get you out of a Venezuelan jail.”

Peter Kelley, editor of Life & Health Advisor magazine and a self-described ‘scam-o-phile’ said he was disappointed that I ended my story where I did as he “wanted to know how they would make their next move.”  Peter explained that in the past he has attempted “to engage a number of fallen princes, interior-wonks, disgruntled aides and otherwise plugged-in facilitators to ‘hundreds of millions of U.S. dollars.’”

Kelley would probably enjoy speaking with a Miami attorney I know who has strung one of these guys along. 

He wrote: “I was to collect a large sum of money from a company just blocks away from me.  However, I insisted on first receiving a cashier’s check as a ‘non-refundable review fee’ which the scammer had offered.  I deposited the check, warning my bank that I had concerns.  As suspected, the cashier’s check supposedly from a Canadian bank was a well done fake.  I took some mild pleasure in causing them to spin their wheels, although I had also spun mine.  You should take equal pleasure.  The more they spin their wheels without reward, the better for us.”

I wasn’t the only public relations agency to hear from the Venezuelan oil man.  The principal of a local firm told me they got the call a few months ago: “We thought it sounded legitimate (big budget, alternative energy, tied-in with the governor’s office) but when we were told we had to fly to Venezuela, that put us off, as it did you.”

Much to my surprise, the post caught the attention of more than one journalist.  Peter Kelley, who I mentioned earlier, asked and received my permission to run my story on his outlet’s website.  In addition, Kevin Gale of the South Florida Business Journal liked the new Venezuelan spin on the old “Nigerian” scam and wrote about it in his blog.

Of course, I enjoy the feedback and it’s a fun ego boost, but the best news came last week when a fellow PR person in Miami sent me this message: “I received a call at the office from a man with an accent saying they were calling regarding PR for a project in Venezuela. It came from a blocked number and I remembered your post and hung up immediately.”

Mission accomplished.

—John

www.miamipublicrelations.com

Author: John P. David

When ”Nigeria” Comes Calling

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Last week, my firm was offered an opportunity to pitch a terrific piece of new business.  An international oil company will soon announce a major public private partnership to build a huge energy facility in Florida – creating thousands of new jobs, lowering gas prices statewide and offering my company an A-List client for years to come.

Too bad it was all fake.

I was hit with a variation of an old scam – ancient actually – but with modern, current updates that sounded legitimate enough to make me stop and take notice.

It started with a phone call from a man who said he worked for the Abu Dhabi National Oil Company, based in Venezuela.  Following the recent death of Hugo Chavez, he said the Venezuelan government wanted to show things were “business as usual” and was trying to fast-track a project in Florida to build an energy facility.  He said it would be a public-private partnership among his company, Venezuela and Florida and that they wanted to announce the project in Miami at the end of June.  Time was short, and making matters worse for him, his wife was in the hospital, preparing to have his first child.  He asked if my firm had the capabilities to handle this project and more importantly, if I had any problems representing a project affiliated with Venezuela.

I fell for it – almost.  Seeing dollar signs, I focused on the controversial aspect of the proposal first.  Would I, a PR guy with a firm in Miami, be willing to represent an endeavor associated with socialist Venezuelans?  How would this play with my clients and friends with ties to Latin America and the Caribbean? 

I called my politically savvy brother and ran the Venezuela issue by him.  He said I needed to be careful but that it shouldn’t stop me from taking the next step.  After repeating the proposal to him, I also realized the whole thing could be a complete scam.

Later that day, I called a couple contacts of mine to see if they would be interested in helping me if I landed the business.  I made sure to tell them that it was very preliminary, and “you never know, I may be getting punked.”

The next day, I called the guy back, and he gave me more details regarding the deal: Quasi-governmental project with approval of the governor’s office, subcontracting with a major international oil company, big event with heads of state in Miami and a requirement of confidentiality and top-flight security.  I asked him if he was talking to other PR firms and he mentioned Edelman, which is indeed a very large international firm. 

Then things got weird.  In order to start the engagement, I would need to fly to Venezuela and sign a non-disclosure agreement within the next few days.  The agreement had to be signed by me and in-person. [Sounded odd.]  After we both signed the agreement, I would have to get it notarized at the U.S. Embassy in Caracas.  I would then bring the agreement back to the U.S. and meet with the governor’s office. 

Where would we meet and how would I get there, I asked?  He suggested either the Marriott or Ritz Carlton in Caracas.  I could fly there first class.  He would wire me the money.  [Sound of squealing brakes!]

There’s more to the story, but you can see where it’s going.

I shared the details with a close friend who, coincidentally, collects copies of Nigerian letter e-mail scams.  We pondered stringing-along our scam artist, but I chose to just run away quickly.

As l recounted the story, I felt a bit embarrassed.  I almost fell for a scam as old as the hills; but this wasn’t a wealthy Nigerian prince sending me an anonymous e-mail.  It was similar but also a bit different. 

Here’s what I should have noticed immediately and what others should look for.

Delivery method can be anything, but message is the same
We are all familiar with the e-mail scam, but this one came as a phone call.  The key is the message is always the same – seemingly easy money.  In my case, if I was willing to act fast, I would have a lucrative contract without a complicated and exhaustive bid process.
   
Obfuscation
The whole point of the elaborate story was to get me to forget about the risks of offering up my bank information.  The scam artist got me to worry about the Venezuela issue, which diverted my attention from other warning signs. 

Sounds just real enough
Doesn’t it make sense that the Venezuelan government would want to show things are business as usual after Chavez’s death?  The fraudster said he was affiliated with a large, international company and knew just enough about organizing a large media event to keep me hooked.

Time is short
The scammer works to develop a sense of urgency.  If the victim is focused on acting quickly, then he will cut corners and make a mistake.  The Nigerian prince’s life is in danger.  Save him fast and you will be richly rewarded.  In my case, act quickly and get the prized contract.

Reviewing what happened to me, I’m still somewhat embarrassed, but I figure sharing what happened to me might help the next guy who gets a new business call that’s actually a Nigerian letter.

—John

www.miamipublicrelations.com

Author: John P. David