Bank account mishap

A yacht broker was responsible for receiving charter hire payments from the charterer and passing them on to the owner. The yacht was fixed to provide a cruise around the Mediterranean. Unfortunately, after receiving the payment from the charterer, the broker received an email from a third party pretending to be the owner, requesting that the hire should be paid to their “new” bank account.

The broker failed to notice that the email address had one digit different to the correct address and did not take steps to verify the “new” bank account details over the phone with the principal. Instead, they proceeded with the payment. One reason the broker gave for this oversight was their belief it was normal for bank details to change, as the principal’s bank details had genuinely changed six months prior. Additionally, the location of the bank account remained the same, further leading the broker to believe the request was legitimate.

Unfortunately, the email was part of a phishing scam, and the broker had paid a scammer, not the principal, resulting in a loss of €58,000. As is typical with scammers, the request was made time-sensitive to pressure the broker into paying quickly without conducting proper checks.

The claim was promptly dealt with by ITIC, who reimbursed the broker once they had paid the €58,000 to the owner.

Members should always check new bank accounts and changes to existing bank accounts very carefully. Despite the fact the owner had genuinely changed bank accounts, it remains unusual for companies to change bank accounts. Always be suspicious of changes and use a known phone number to verify the account details.