CONTACT US

For any general inquiries, please fill in the following contact form:

Our websites never use cookies or other technologies such as pixel tags and web beacons. We only retain personal information when the contact section of our websites is filled. To proceed and get in touch with us through this format please read our Terms & Conditions, updated to be in line with the provisions of the GDPR, and tick this box to consent in us retaining the above information for contacting purposes only.

SUBMIT

Money laundering and cyber crime involving law firms up sharply

Money laundering and cyber crime involving law firms up sharply

The Solicitors Regulation Authority (SRA) said today that money laundering reports, cyber crime and dubious investment schemes involving law firms are all increasing.

According to a new report, money laundering reports from law firms are up 67 per cent in 15 months.

Sixty cases were reported to the SRA in the first quarter of 2018 compared to just 36 in the final quarter of 2016.

There has been £47.5m of reported losses related to dubious investment schemes since 2015.

Reports of cyber crime are also up 50 per cent year-on-year reaching a record level of 157 reports for 2017.

In the last two years cyber criminals have stolen £20m in client money from law firms.

The most common type of cyber crime against law firms is email modification fraud, where criminals intercept and falsify emails between a client and the firm leading to bank details being changed and money being lost.

The SRA said email modification fraud accounted for more than 70 per cent of all cyber crime reports.

Other frauds including phishing, where criminals gain bank details from staff over email or the phone and ransomware attacks, where malware is used to encrypt a firm’s computers and files and a ransom is demanded in return for decrypting them.

Even the largest law firms can fall victim, with £1.8bn firm DLA Piper severely disrupted by a malware attack last year that affected its systems across the globe.

The SRA’s chief executive Paul Philip said: “Although we know that very few solicitors would ever knowingly become involved in criminal or dishonest schemes, everyone needs to know the warning signs to look out for. It is important that law firms take steps to protect client money and information."

Source: http://www.cityam.com

MORE NEWS

Top Philippines news site and company chief face tax evasion charges

Top Philippines news site and company chief face tax evasion charges
A move by the Philippines Justice Department to charge investigative news site Rappler with tax evasion is being seen as a thinly ...

South African central bank fines HSBC for lax money laundering controls

South African central bank fines HSBC for lax money laundering controls
Nov 9 (Reuters) - South Africa’s central bank on Friday fined HSBC’s local business 15 million rand ($1.1 million) for weaknesses in its ...

Malta's Pilatus Bank has European licence withdrawn

Malta's Pilatus Bank has European licence withdrawn
Bank had been accused by murdered journalist Daphne Caruana Galizia of processing corrupt payments.A Maltese bank at the heart of a ...

Who's behind the blog

Who's behind the blog

SOCIAL MEDIA