Business email compromise (BEC)—also known as email account compromise (EAC)—is one of the most financially damaging online crimes. It exploits the fact that so many of us rely on email to conduct business—both personal and professional.
In a BEC scam, criminals send an email message that appears to come from a known source making a legitimate request, like in these examples:
- A vendor your company regularly deals with sends an invoice with an updated mailing address.
- A company CEO asks her assistant to purchase dozens of gift cards to send out as employee rewards. She asks for the serial numbers so she can email them out right away.
- A homebuyer receives a message from his title company with instructions on how to wire his down payment.
Versions of these scenarios happened to real victims. All the messages were fake. And in each case, thousands—or even hundreds of thousands—of dollars were sent to criminals instead.
How Criminals Carry Out BEC Scams
A scammer might:
- Spoof an email account or website. Slight variations on legitimate addresses (john.kelly@examplecompany.com vs. john.kelley@examplecompany.com) fool victims into thinking fake accounts are authentic.
- Send spearphishing emails. These messages look like they’re from a trusted sender to trick victims into revealing confidential information. That information lets criminals access company accounts, calendars, and data that gives them the details they need to carry out the BEC schemes.
- Use malware. Malicious software can infiltrate company networks and gain access to legitimate email threads about billing and invoices. That information is used to time requests or send messages so accountants or financial officers don’t question payment requests. Malware also lets criminals gain undetected access to a victim’s data, including passwords and financial account information.
How to Report
If you or your company fall victim to a BEC scam, it’s important to act quickly:
- Contact your financial institution immediately and request that they contact the financial institution where the transfer was sent.
- Next, contact your local FBI field office to report the crime.
- Also file a complaint with the FBI’s Internet Crime Complaint Center (IC3).
How to Protect Yourself
- Be careful with what information you share online or on social media. By openly sharing things like pet names, schools you attended, links to family members, and your birthday, you can give a scammer all the information they need to guess your password or answer your security questions.
- Don’t click on anything in an unsolicited email or text message asking you to update or verify account information. Look up the company’s phone number on your own (don’t use the one a potential scammer is providing), and call the company to ask if the request is legitimate.
- Carefully examine the email address, URL, and spelling used in any correspondence. Scammers use slight differences to trick your eye and gain your trust.
- Be careful what you download. Never open an email attachment from someone you don't know, and be wary of email attachments forwarded to you.
- Set up two-factor (or multi-factor) authentication on any account that allows it, and never disable it.
- Verify payment and purchase requests in person if possible or by calling the person to make sure it is legitimate. You should verify any change in account number or payment procedures with the person making the request.
- Be especially wary if the requestor is pressing you to act quickly.
Public Service Announcements from IC3
02.16.2022 Business E-mail Compromise: Virtual Meeting Platforms
Between 2019 and 2021, the FBI IC3 has received an increase of BEC complaints involving the use of virtual meeting platforms.
04.06.2020 Cyber Criminals Conduct Business Email Compromise Through Exploitation of Cloud-Based Email Services, Costing U.S. Businesses More Than $2 Billion
Cyber criminals are targeting organizations that use popular cloud-based email services to conduct BEC scams.
09.10.2019 Business Email Compromise: The $26 Billion Scam
Business email compromise/email account compromise is a sophisticated scam that targets both businesses and individuals who perform legitimate transfer-of-funds requests.
FBI Report
Related FBI News and Multimedia
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09.19.2023
Mustapha Raji of Hollywood, Florida, was sentenced to three years in prison for participating in a $1.7 million business email compromise and money laundering scheme.
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08.04.2023
Onwuchekwa Nnanna Kalu pleaded guilty to stealing $1.25 million from an investment firm located in Boston, through a business email compromise scam.
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08.03.2023
Timothy Scott Marable, from Lake Placid, Florida, has been sentenced to 12 months in prison for wire fraud.
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07.17.2023
International Cyber Fraudster Sentenced to More Than Eight Years in Federal Prison
A resident of the United Arab Emirates who orchestrated an $8 million cyber fraud scheme targeting several United States-based companies has been sentenced.
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07.12.2023
New Jersey Woman Indicted in E-Mail Compromise Scheme
Michelle Graham has been indicted on charges involving wire fraud related to a real estate transaction of more than $330,000.
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06.29.2023
Chibundu Joseph Anuebunwa, a citizen of Nigeria who was previously extradited from the United Kingdom, pled guilty to wire fraud conspiracy.
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06.07.2023
Several Charged in Coordinated Action in Business Email Compromise and Money Laundering Schemes
A total of 11 people in multiple states are now in custody on charges filed in two separate business email compromise prosecutions.
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06.02.2023
More than three dozen individuals have been sentenced for their involvement in a large-scale fraud and money laundering operation.
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05.23.2023
United States Files Forfeiture Action to Recover Crypto Proceeds Traceable to Cyber Fraud Scheme
The United States Attorney’s Office filed a civil forfeiture action to recover cryptocurrency alleged to be proceeds of a business email compromise fraud scheme.
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05.15.2023
American Living in Brazil Admits to Business Email Compromise Scheme
Michael Knighten, a U.S. citizen who had been living in Brazil, has pleaded guilty to wire fraud.