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Highland Council Warn of Council Tax Phone Scam

Warning on new council tax phone scam (22/08/11)

http://www.highland.gov.uk/yourcouncil/news/newsreleases/2011/August/2011-08-22-01.htm

Trading Standards Officers from The Highland Council are warning residents that a Council Tax scam may be operating in the region.

The scam involves unsuspecting consumers receiving a phone call from an individual pretending to be from the Council or from the UK Treasury and offering a refund on their Council Tax.  In one instance reported to Trading Standards, the caller stated the consumer had been selected because they have been in employment and paid income tax over a period of time and were entitled to a reward in the form of a Council Tax refund of between £5000 & £7000.

Next comes the “catch”.  The consumer is told that an upfront payment of £95 is required to process the refund.  The scammers then ask for the resident’s bank details to collect a payment or issue the promised refund.  The caller also offers to arrange a visit to the resident’s home within the hour to collect the £95 in cash, if this is more convenient to the resident, and then send a cheque for the refund.

David MacKenzie, Trading Standards Team Leader at Highland Council said:  “This council tax scam is an example of an ‘advance fee fraud’.  Advance fee fraud is when fraudsters target victims to make advance payments for goods, services and/or financial gains that do not materialise.  Almost all of these scams rely on payment being made online or via money transfer companies.  This particular scam introduces a worrying new development in that there may be fraudsters on the ground in the Highland Council area able to travel to the consumer’s home to collect the money in person.”

Trading Standards have also reported this matter to the Police.  Inverness Area Commander, Chief Inspector Graeme Murdoch, said: “We share Trading Standards concern about the cash collection service offered by these individuals and would remind members of the public to remain vigilant against this type of crime.  I would reiterate the advice given by Trading Standards and urge people to contact their local police station if they feel they have been the victim of such a scam.”

David MacKenzie added: ”We urge Highland residents not to be conned by these scammers and to hang up the phone when they receive this sort of call.  Finally, if you are a carer for a vulnerable person please let them know about this scam.”

Council Tax payers are also reminded that the local authority may phone them to discuss tax issues, but not in the manner used by the scammers.  A spokesperson for Council Tax in Highland explained: “We also want people to be on their guard for this sort of scam but do remember that Highland Council staff may legitimately telephone residents to discuss council tax payments.  The key difference of course is when we phone we have some of the resident’s details to hand. If you have any doubt as to the authenticity of the call, please call the Council’s free phone council tax helpline on 0800 393811.”

Concerned residents can contact The Highland Council’s  Trading Standards service at 38 Harbour Road, Inverness or telephone Consumer Direct on 08454 04 05 06 for free and confidential advice regarding consumer issues.

ENDS

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Business directory scams – what you need to know

Highland Council Trading Standards Service receives regular calls from concerned businesses regarding marketing and publishing scams.

Our advice to all business is to be on your guard when you or members of your staff respond to phone calls, emails, text messages and faxes.

Rogue publishers who are determined to sell advertising space, relentlessly bombard businesses with phone calls and text messages.   Publication ‘opportunities’  can come in may guises include advertising space in charity leaflets, wall-planners, crime prevention diaries, drugs awareness leaflets for schools and the old favourite of business directories.

Both small and large business can be affected by this scam and operatives expertly use misleading patter that is often carefully scripted, to sell advertising space in various types of publications. Costs to your business can range significantly from about £100 to £1,000, depending upon the size of advert.

So how do you spot if your business has been targeted by a scam?  Here are some telltale signs on what to look out for and information on how to protect your business.

The business directory scam

Probably one of the most prevalent scams affecting UK businesses is the business directory scam.  The business directory scam relates to business listings either in published directories, electronic directories (CD-ROMs) or on websites.

One example of such a scam was the offer of a ‘Free’ CD-Rom directory.  The first issue was ‘free’ but after checking the small print, the business found that they had agreed to pay £661 for a further three issues.

These types of contracts may well be legally binding so it is important not to commit your business to any contract for advertising until you have read all the terms and conditions of the contract.

The ‘Pitch’ – Invoices and demands for payment.

Official-looking invoices are sent in the post offering to advertise your business in a “free” listing or asking if you wish to continue being included in a hard copy or online business directory.  These might appear to be simple requests inviting a free listing but beware you are not tricked into signing a document thinking it to be an application for a free entry in a Guide.  You may be asked to check the details about your business, or be informed that an employee of yours has requested the form.  You will be told to return the form even if you do not want to place an order.

Be on your guard against such invoices and documents and warn your staff to check out all requests for confirmation of information of your business and requests for payment.

Remember – you are more likely to become a repeat victim of this type of scam if you do pay.   You may be opening up your business to a series of scam phone calls in the future.

The con

In the small print of any invoice or contract, it will state that by signing the form you are committing to an order.  If you sign and return the form you are agreeing to pay for ongoing entries in the directory, for periods costing hundreds of pounds per year.  The publisher may try to enforce this debt by sending threatening ‘debt collection’ letters.

How to protect your business against marketing scams

* Always carefully read the small print in any business directory offer to be clear about what you are being offered and how much it might cost you.

* Don’t be pressured into paying for services that have you have not agreed to or have not been provided.

* If you receive demands for payments for something you believe you have not ordered, send a written reply, stating clearly why you feel you do not owe any money.  Always keep a copy for your records.

* If you are threatened with a debt collection or a credit ‘black-listing’, remember that ultimately only a court can decide whether you are liable to pay and disputes with other businesses would not necessarily affect your credit rating.

Victims of business directory scams are known to have received threatening letters which have stated:

“…this is your last chance to pay.  Attached is a summons we have obtained to take you to court if you do not pay now…”

The document that accompanies such letters is not usually an actual ‘Court Summons’,  but a copy of an application form that must be submitted to a civil court to request a hearing. Some victims have been limited companies and the scammers involved threaten to start insolvency proceedings by applying to the courts for a ‘winding up order’.

Always seek legal advice before responding to such demands.

Unfortunately, many direct mail scammers are based overseas, so they are unregulated and largely beyond the reach of UK authorities.  For this reason it is important that you know what to look out for to protect your business from falling victim.

If you feel that you have been a victim of a business scam or would like to know more on how to protect your business from publication scams contact Highland Trading Standards on 01463/228700 or visit our offices at:

Highland Council Trading Standards
38 Harbour Road
Inverness
IV1 1UF.
Telephone No: 01463/228717

For further Highland Trading Standards news please go to: www.highland.gov.uk/tradingstandardsnews <http://www.highland.gov.uk/tradingstandardsnews.htm>

Note: Highland Council Trading Standards is part of Transport, Environment and Community Service, Highland Council, Glenurquhart Road, Inverness

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Crimestoppers Crackdown on Counterfeiting in Inverness, Scotland

Scotland Crimestoppers launched a campaign this week to tackle counterfeiting and raise awareness of the more serious links it has to organised crime.

Jim Ferguson – Chair Crimestoppers H&I, Supt Ian Arnott and Gordon Robb – Manager of Trading Standards

With Christmas approaching and the effects of the last recession still hitting hard, there is often a greater temptation to buy fake goods, however few understand the consequences and serious implications behind counterfeiting.

In a recent survey conducted by Scotland Crimestoppers thirty per cent of people questioned said they didn’t know that buying fake goods might fund serious organised crime. Ninety one per cent said they wouldn’t buy a fake good if they knew it would fund criminals or criminal activity. Eighteen per cent of those questioned admitted that they had bought fake goods in the past.

Jim Ferguson, Scotland Crimestoppers Highlands and Island Chairman said: “Christmas is a time when many are trying to find ways to reduce costs. I would urge the public not to be tempted to buy often cheaper fake goods. The consequences are far wider than the simple transaction. It can fund serious crimes such as human trafficking and drug crime which can harm our community.

Anyone with information about counterfeiting should call Crimestoppers anonymously on 0800 555 111 or use the online anonymous form on www.crimestoppers-uk.org. With the publics help we can make big steps in cracking down on this type of crime across Scotland.”

The campaign is being run with the support of the Scottish Crime and Drug Enforcement Agency (SCDEA), Home Office, Serious Organised Crime Agency (SOCA), Federation Against Copyright Theft (FACT), the Bank of England, Film Distributors Association (FDA) and Pentland.

A dedicated mircrosite – www.fakesfundcrime.org.uk has been produced which has information on each strand of the campaign and information about the serious organised crime links, harmful affects, fraudulent activity and videos.

Kate Johnston, Scotland Crimestoppers National Manager added:
We are also being supported by the SCDEA on this campaign. I hope that it will be as successful as the Cannabis Cultivations campaign earlier this year which was also with the support of SCDEA. The success of this resulted in 141 people calling the charity in a four week period with information about cannabis cultivations which led to numerous arrest and seizures.”

Supt Ian Arnott, Northern Constabulary’s East Divisional Commander based in Inverness said:
“We are grateful for the support of Crimestoppers in highlighting this issue. Just because the Highlands and Islands have a low rate of crime it does not mean we can be complacent to the possibility of counterfeit goods coming into this area.

The people who sell fake goods are often linked to other types of crime such as the supply of illegal drugs which blight our communities. I would urge anyone with information about people selling fake goods to pass this on to Crimestoppers so we can take action.”

Detective Chief Inspector Ronnie Megaughin, head of Interventions, SCDEA said:
“The significant profits that are generated by counterfeiting benefit no-one other than the criminals behind it. Those who are involved in producing and selling fake goods are very often also responsible for pushing drugs in our communities, forcing people into the sex trade and cultivating cannabis in our neighbourhoods, not to mention the fear intimidation and violence associated with this criminality.

The public have a vital role to play in assisting the authorities in clamping down on these rogue traders. They can refuse to buy these illegal and often unsafe products, and they can anonymously share what they know about the people involved in this crime by contacting Crimestoppers. Even the smallest piece of information can be
the key to unlocking a much larger criminal network.”

Liz Gilchrist Vice Chair of Inverness Crime Prevention Panel added “We as a panel, are very happy to support this initiative.  It is good to see all of the prime agencies working together in an effort to stamp out this growing problem”

Dougie McClounie of SCDEA displaying  an example of some Counterfeit Goods

Fakes fund crime

Counterfeiters make many different types of fakes. One thing these producers have in common is that they are all criminals.

Organised gangs are increasingly pursuing several different criminal activities at the same time and using the proceeds from each form of crime to invest in the others.

Producing fakes is a crime in itself, but counterfeiting is also sometimes linked to other types of crime including:

  • Human trafficking
  • Gun and weapon possession
  • Drugs
  • Money laundering
  • Benefit fraud

It was estimated in 2007 that around 70% of the £1.3  billion made from intellectual property crime flowed back to organised crime.

If you buy fakes, the money you spend on them is likely to benefit criminal gangs and could damage the neighbourhood you live in.

More about the crimes linked to fake DVDs, fashion and tobacco.

Help fight fakes

You can help fight fakes by calling charity Crimestoppers anonymously on 0800 555 111. Tell us who is dealing in fakes. We won’t take your name or ask who you are. We only want to know what you know, not who you are. You can also pass on information anonymously online using our secure online form.

Fake goods harm you

Counterfeiters don’t limit themselves to fake designer handbags and clothing. Electrical products, power tools, food, toys and sports equipment are also faked with potentially dangerous consequences for you as a consumer.

Fake goods are both imported and made here in the UK. Domestic production often takes place in rented office buildings that have been converted into makeshift ‘factories’. The conditions in these factories are often unsafe and unhygienic – this makes the production of fakes dangerous for not only workers but also the end user.

Fake alcohol

Fake alcohol can contain methanol, a chemical that can cause blindness, coma and death. Counterfeit bottles of alcohol often imitate well known brands in an attempt to reassure people that the product is safe.

In May 2009 2,700 bottles of counterfeit vodka were seized from a business park in Haringey, London. There was evidence that large quantities of antifreeze had been used in its manufacture.

Fake beauty products

Fake beauty products often contain sub-standard ingredients that could give you a rash or an allergic reaction. Some bottles of fake perfume have even been found to use ingredients like urine as a stabiliser.

Look out for products sold in packaging featuring spelling or grammatical mistakes. Always buy your beauty products from a trusted source to help keep you safe from fakes.

Fake electronics

Electrical goods sold in the UK are subject to stringent safety testing. Counterfeit electrical goods often sidestep these testing requirements. This means fake electrical goods, including hair straighteners, mobile phones and camera chargers, may contain unsafe wiring that can lead to over-heating, creating risks of fire, electrocution and personal injury. Fake electrical goods may even be labelled with fake certification marks, so you think that they are safe.

Fake toys

Children’s toys are subject to strict safety testing. Counterfeit toys often will not have been tested. As a result fakes could contain small parts that are a choking hazard.

Buying fake goods online puts you at risk of fraud and identity theft.

Fake goods – you’re at risk

Fashion merchandise, DVDs and electrical goods are just some of the types of fakes often purchased online. The people who buy these goods are often unsuspecting and think they are getting a genuine product.

Identity theft and credit card fraud

Entering your debit or credit card details into a website that deals in fakes means that you are essentially giving your card details, your address and your name to criminals.

To ensure your card details remain safe, make sure that you only buy goods online from authorised retailers. Getting a pair of shoes for half price may seem like a quick bargain but now that you know that you’re putting your bank card at risk you’ve got to ask – “Is it really worth it?”

Know your rights

If you buy online from businesses registered in the UK you are legally entitled to return any goods bought within seven days (even if you just change your mind). You are also entitled to return the goods if they are faulty.

If you buy an item and realise it’s a fake, getting a refund can be difficult. Often fakes are sold through websites based outside UK; these websites aren’t subject to the same laws as sites based here.

Shopping online

If you are going to shop online:

  • Entering your debit or credit card details into a website that deals in fakes means that you are essentially giving your card details to criminals.
    Buying from companies registered in the UK can help keep you safe as you’ll have more legal rights.
  • Try and buy from a brand’s official website or from an authorised seller of the product.
  • ‘https’ on the web site address means the site is secure – the ‘s’ in https  stands for secure. The padlock on the payment screen is also a mark of security.
  • Just because a URL ends in .co.uk doesn’t mean the business is registered in the UK.
  • Search web addresses using Who Is – a database of who owns what domain names and where they are based or go to the UK’s register of domain names at www.nominet.org.uk.  You can also click on ‘Howard’ the Online Shopping Assistant at www.ukecc.net.
  • Always take a copy of the web pages and keep any correspondence as evidence, either electronically or on paper.
  • Using a credit card for payments over £100 will also provide extra security.

Fake goods – you’re at risk

Fashion merchandise, DVDs and electrical goods are just some of the types of fakes often purchased online. The people who buy these goods are often unsuspecting and think they are getting a genuine product.

Identity theft and credit card fraud

Entering your debit or credit card details into a website that deals in fakes means that you are essentially giving your card details, your address and your name to criminals.

To ensure your card details remain safe, make sure that you only buy goods online from authorised retailers. Getting a pair of shoes for half price may seem like a quick bargain but now that you know that you’re putting your bank card at risk you’ve got to ask – “Is it really worth it?”

Know your rights

If you buy online from businesses registered in the UK you are legally entitled to return any goods bought within seven days (even if you just change your mind). You are also entitled to return the goods if they are faulty.

If you buy an item and realise it’s a fake, getting a refund can be difficult. Often fakes are sold through websites based outside UK; these websites aren’t subject to the same laws as sites based here.

Shopping online

If you are going to shop online:

  • Entering your debit or credit card details into a website that deals in fakes means that you are essentially giving your card details to criminals.Buying from companies registered in the UK can help keep you safe as you’ll have more legal rights.
  • Try and buy from a brand’s official website or from an authorised seller of the product.
  • ‘https’ on the web site address means the site is secure – the ‘s’ in https  stands for secure. The padlock on the payment screen is also a mark of security.
  • Just because a URL ends in .co.uk doesn’t mean the business is registered in the UK.
  • Search web addresses using Who Is – a database of who owns what domain names and where they are based or go to the UK’s register of domain names at www.nominet.org.uk.  You can also click on ‘Howard’ the Online Shopping Assistant at www.ukecc.net.
  • Always take a copy of the web pages and keep any correspondence as evidence, either electronically or on paper.
  • Using a credit card for payments over £100 will also provide extra security.

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Interested in Crime Prevention?

Inverness Crime Prevention Panel is a Charity which works in partnership with many organisations, including Northern Constabulary and Highland Council.

We are all volunteers who give a little time to educate and inform the public on how to keep themselves and their property safe.

Have you skills which may help or ideas for input?  eg., Fund raising or Project Organising?

We are always interested in anyone who would like to help at various events we are involved with – from leaflet distribution to security marking of mobile phones and computers through to talking to young people and the elderly about personal security.

Can you support us in our efforts on projects?

If you feel you can assist us please contact us on 01463 772692 or email info@icpp.co.uk

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Refunds and Returns – A guide for businesses.

Highland Council Trading Standards not only offer free and confidential advice to consumers, but to businesses as well.
One of the most common questions dealt with by enforcement staff from a business is “When do I have to give a refund?”

Of course there is not definitive answer as to when a business should give a consumer a refund of monies but here is a quick step guide for businesses on ‘refunds’ and ‘returns’ issues:

Knowing your customers rights!

Under the Sale of Goods Act 1979 (as amended), consumers have certain implied statutory rights if they buy goods from a trader or business. Briefly goods must be:

* of ‘satisfactory quality’ – which generally means that the item should be free from fault or defect and as well as being fit for their usual purpose, of a reasonable appearance and finish, safe
and durable.

* ‘fit for the purpose’ – as well as being fit for the purpose for which they are generally sold, goods should also be fit for any specific or particular purpose made known at the time the contract is made.

* ‘as described’ – goods should correspond with any description applied to them – this could be verbally, words or pictures on a sign, packaging or an advert.

Therefore, a consumer may be entitled to a refund, replacement, repair and/or compensation where goods are faulty or not as described.  However different consumer rights apply where goods are either bought online or purchased in a retail shop.

For instance, when a consumer has bought an item of clothing in a retail store, and later discovers that it is the wrong size or they have changed their mind,  there is no automatic right for the consumer to return the goods and receive a refund.   Consumers do have certain cancellation rights, however, if they buy goods from mail order catalogues or over the internet, and where a contract to buy goods has been concluded in the consumers own home (e.g doorstep selling).

Restrictions and Exclusions

Businesses cannot restrict a consumers legal rights or try to take these away from them by use of an exclusion cause in a contract of by the terms of shop notice.  Since the introduction of the Consumer Protection from Unfair Trading Regulations 2008 it is a criminal offence to mislead a consumer about his/her legal rights.

The following are examples of statements that are likely to mislead consumers about their rights:

* “No refunds given”.

* “Goods can only be exchanged”.

* “Only credit notes will be given against faulty goods”.

* “Sold as seen”

Even the statement ‘No refunds except where goods are faulty’ would be considered illegal, as there are a number of cases where a consumer can claim a refund on non-faulty goods (e.g. misdescribed goods). Businesses are advised to avoid using these terms whenever possible and to seek advice about putting in place a clear ‘returns’ policy.

Returns Policy

It can be difficult to draft and display in a notice, a meaningful returns policy, which provides the consumer with useful information, protects business interests and adheres to consumer protection
legislation.

For this reason, it is often said that ‘the best notice is no notice’,. However, this is also not always practical for businesses who want to inform and treat all customers fairly.

Here is an example of an appropriate ‘returns policy’ for a business. This information may be shown on receipts or on a notice may state the following:

“Returns Policy. If you change your mind about your purchase, please return the unused goods to us with the original till receipt within 14 days, and we will offer you an exchange or a credit note. This does not affect your legal rights, including your right to claim a refund, replacement, repair and/or compensation where the goods are faulty or
misdescribed.”

Remember, however, a business cannot impose any conditions where the consumer has a legal right to return goods.

Manufacturers guanrantees

Some goods come with their own manufacturers guarantee.  The terms of such guarantees can vary but are meant to enhance a consumers statutory rights.   Guarantee terms can be used as an alternative means of resolving a consumer complaint.
However, if goods are found to be faulty, midescribed or not fit for a particular purpose, then the consumer has legal rights against the retailer as discussed above.
Likewise, businesses cannot use the duration of a guarantee to limit consumers’ rights. Consumers are entitled to expect goods to remain of satisfactory quality throughout their reasonable life expectancy, so long as they are maintained correctly and not misused.

Businesses must provide, on request, a written copy of any guarantee terms offered along with instructions and care advice of the item, where appropriate.  Any such guarantee must include the following particulars:

* The name and address of the person giving the guarantee.

* The contents of the guarantee (i.e. what it covers, which countries it applies in, and what you will do when a claim is made).

* The duration of the guarantee.

* How to make a claim.

* A statement that the consumer has statutory rights that are not affected by the guarantee.

Highland Council Trading Standards offer free and confidential advice to all businesses within the Highland geographical area.  Businesses can contact Highland Council Trading Standards by telephone on 01463/228700

or by email at: trading.standards@highland.gov.uk
or alternatively visit or write to Highland Council Trading Standards, 38 Harbour Road, Inverness IV1 1UF.

For further Highland Trading Standards news please go to  www.highland.gov.uk/tradingstandardsnews
<http://www.highland.gov.uk/tradingstandardsnews.htm>

Note: Highland Council Trading Standards Service is part of Transport, Environment and Community Service, Highland Council, Glenurquhart Road, Inverness

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SFO – Serious Fraud Office – Swoop on 19 properties in International commercial loans fraud

Six suspects have been arrested during a search operation on 19 properties throughout England. Three are being held in custody to appear before magistrates. The action relates to an investigation into suspected advance fee fraud and commercial rent fraud. The searches, involving more than a hundred investigators and police officers, took place to prevent further loss to victims.

Outline

Operating as Gresham Ltd and Gresham Finance (London) Ltd (see note 1) the company offered commercial loans of up to £250 million. It promoted its services by advertising in newspapers, magazines and on the internet. Applicants for loans were charged between five and fifty thousand pounds for a due diligence check.  Most of the applications came from overseas for commercial projects such as developing resorts and building hotels (in Austria, Turkey and other countries).

Once an applicant had paid the due diligence fee there was a next-stage payment (a security deposit) set at between 1% and 5% of the loan amount. Various other company names were also used to offer a similar service.

The same suspects were also involved in a retail property renting business operating as Gresham Ltd, Park Regent Ltd and Castlereagh London Ltd (see note 2). The suspects used a complex number of company names in their business dealings, including the following: 45 Oxford St Ltd, Renaissance Trust, Cutting and Company (Investments) Limited, Paul Street Media Limited and the Alliance Trust (see note 3).

Searches and arrests

Search warrants were executed at eighteen addresses in London, Surrey, Cheshire and Derbyshire in a mixture of commercial and residential properties. The searches involved 70 personnel from the SFO and 40 officers provided by the City of London Police, the Derbyshire Constabulary and the Cheshire Police.

Five men and one woman have been arrested and three will appear in court later today at City of London Magistrates Court.

The SFO are continuing enquiries into this case.

SFO Appeal

The SFO would like to hear from anyone who believes that they might have information useful to the investigation. The number to call is 0207 239 7079

Notes for editors:

1.     Gresham Finance (London) Ltd is not to be confused with Gresham Finance Ltd, which is an unconnected company and not under investigation.

2.     Castlereagh London Ltd is not to be confused with Castlereagh Ltd of Dublin, which is an unconnected company and not under investigation.

3.      Alliance Trust is not to be confused with the Alliance Trust PLC, the FTSE 100 investment trust, which is an unconnected company and not under investigation.

Serious Fraud Office, Elm House, 10-16 Elm Street, London, WC1X 0BJ

Press Office tel: 020 7239 7045/7000/7004/7132 or mobile: 0796 655 8903 or 0777 616 0985

Main switchboard tel: 020 7239 7272

press.office@sfo.gsi.gov.uk – or via – www.sfo.gov.uk

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Serious Fraud Office – Be aware! Current scams

You might not have heard of the very latest scams happening at the moment – keep up to date and be aware of current fraud by regularly checking the  Serious Fraud Office web site.

Explore the different types of fraud and be aware of the biggest deceptions out there. Check out  latest news for fresh updates on fraud.

The Money Made Clear website has some useful information from the Financial Services Authority on current scams.

Follow these links to find out more about these scams:

* Advance fee schemes – letters or emails that offer you vast sums if you make payments up front
* Share scams (also known as boiler rooms) – a stranger rings you out of the blue and tries to offer you shares in a company you have never heard of
* Affinity fraud – investment scams that target members of a group, such as a community or a religious, ethnic, elderly or professional group
* Fund transfer schemes – money-laundering scams that tempt you to use your bank account by offering a commission. But you could wind up with a prison sentence too
* Online fraud (phishing) – fake bank websites that criminals use to try and get your personal details and money

Consumer Direct is a government-backed service offering free help and advice for consumers. It provides a range of information on detecting and avoiding scams and rip-offs.

The Office of Fair Trading has published information on ‘How to detect a scam’ and what to look out for.

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