Lawyer Scams and How to Avoid Them:Dan Pinnington’s Show notes
Ride the Lightning podcast
Feb 4, 2014
3
2,858
3
423 798
57
96
6
2
2
5 (DE)
33 (CT)
58604
872
8
36
144
19
Hawaii: 26
8
110
314
31 20
53
51 (MD)
102 (MA)118
62
31
10
2037
114 (NJ)
229
50
16
101
30
44
105
16 (RI)8862
297
11 (VT)
8
35
101
467
34
45 (DC)
17 (NH)
10 (ME)
16
6240
Where emails to [email protected] originate*
*based on approximately6,800 reports emailed to us fromJanuary 2011 to December 2013
2
3
EuropeUK: 43 Germany: 43France: 14 Spain: 10Holland:16 Italy: 17Croatia:2 Bulgaria:3Ukraine:7 Turkey:4Slovakia:5 Finland: 7Norway:3 Sweden:3Poland: 6 Portugal: 9Czech:3 Cyprus: 5Hungary: 3 Romania: 6Iceland:2 Belgium: 8Denmark:2 Russia:1Macedonia:1 Lithuania:2Austria: 3 Switzerland: 9Greece:1 Serbia: 2Bosnia:1 Ireland: 7Luxembourg: 4 Estonia: 1Monaco: 1 Latvia: 1
The AmericasMexico: 15 Argentina: 9Panama: 2 Barbados: 3Bahamas: 5 Virg. Isles: 5Puerto Rico: 21 Chile:3Costa Rica:4 Uruguay: 6West Indies: 6 Venezuela: 4Dominican: 6 Trinidad:2Jamaica:1 Ecuador: 4Bolivia: 2 Colombia: 2St. Maarten:2 Caymans:1Brazil: 4 Nicaragua: 2Guatemala: 2 Honduras: 1Belize: 1
Middle East & AsiaFr. Polynesia:2 Bali:1Malaysia: 4 Hong Kong:1India: 4 Fiji: 2 Nepal:1 Philippines: 5Japan: 2 Indonesia:1Pakistan: 2 UAE:1Micronesia:1 Lebanon:1Saudi Arabia:1 Thailand:1Israel: 3 Nepal: 1Guam: 1 Cambodia: 1Egypt: 1
AfricaNigeria:1 Congo: 2Egypt:1 Zimbabwe:1South Africa: 3 Malawi: 1Ethiopia: 1
AntipodesAustralia: 30 New Zealand: 4
(41% Ontario, 5% rest-of-Canada,48% USA, 6% overseas)
Sample fake ID documents
Sample fake passports
w
Sample fake documents
Sample documents
• A huge collection of fake IDs, documents and cheques given to lawyers by fraudsters: http://avoidaclaim.com/?page_id=2395
• Collaborative Law Participation Agreement fraud documents– Collaborative law participation agreement: http://avoidaclaim.com/wp-
content/uploads/2011/08/Masaru-Collaborative-Agreement.pdf– Divorce decree: http://avoidaclaim.com/wp-content/uploads/2011/08/Masaru-
Divorce-Decree.pdf– Settlement agreement: http://avoidaclaim.com/wp-
content/uploads/2011/08/Masaru-Settlement-Agreement.pdf– “I’m sorry, I’m paying” letter http://avoidaclaim.com/wp-
content/uploads/2012/02/Brewer-cheque-cover.jpg
Sample documents (cont.)• Payment receipts http://avoidaclaim.com/wp-content/uploads/2011/10/Chao-
PHILIP-RECEIPT1.jpg• Verifications of identity http://avoidaclaim.com/wp-content/uploads/2011/10/DLC-
Solicitors.jpg• Company registrations http://avoidaclaim.com/wp-content/uploads/2011/10/DVT-
TRADING-LTD.-REGISTRATION.jpg• Invoices http://avoidaclaim.com/wp-content/uploads/2011/10/Liu-Lankom-
invoice.jpg• Bank statements http://avoidaclaim.com/wp-content/uploads/2011/10/Kazuhiro-
proof-of-funds.jpg• Powers of attorney http://avoidaclaim.com/wp-content/uploads/2011/10/Liu-
Lankom-POA.jpg• Commercial letter of agreement: http://avoidaclaim.com/wp-
content/uploads/2012/06/Burger-agreement.jpg• Signed retainer agreement: http://avoidaclaim.com/wp-
content/uploads/2012/04/Zimmerman-retainer.jpg
Sample fake checks
Examples of multiple contacts
• Sample of a long, detailed back and forth email conversation with a fraudster http://avoidaclaim.com/?p=3052
• Another ongoing fraud conversation, this one with a voice recording http://avoidaclaim.com/?p=1780
The common red flags
• Initial contact email is generically addressed (e.g., “Dear attorney”) and BCC’d to many people.
• The name in the sender email address and name in the body of the email are different.
• Sender email address is different from email address mentioned in body of the email.
• Client uses one or more email addresses from a free email service (e.g., Gmail,MSN, Yahoo!), even when the matter is on behalf of a business entity.
The common red flags (cont.)
• Client raises issues of conflicts or payment of a retainer.
• Domain name used in personalized email address or website was recently registered (check at WhoIs.net).
• IP address in metadata of email indicates sender is in a geographic location that is different from where he/she claims to be.
• Client is new to your firm.• Client is in a distant jurisdiction.
The common red flags (cont.)
• Client shows up and wants the matter completed around banking holidays.
• Client says they prefer email communication due to time zone differences.
• Client provides only a cell number.• Client is in a rush – and pressures you to “do the
deal” quickly.• Client and others involved don’t seem concerned
if shortcuts are taken.
The common red flags (cont.)• Client is willing to pay higher-than-usual fees on a
contingent basis from (bogus) funds you are to receive.
• Despite the client stating a lawyer is needed to help push for payment, the debtor pays without any hassle.
• Cheque or bank draft arrives at your office in plain envelope and/or without covering letter.
• Cheque is drawn from the account of an entity that appears to be unrelated (i.e., a spousal arrears payment from a business entity).
The common red flags (cont.)
• Payment amounts are different than expected or change without explanation.
• Client instructs you to quickly wire the funds to an offshore bank account based on changed or urgent circumstances– E.g., health issues, sick child
• Some or all of the payment is going to third party that appears unrelated to the matters.
Due diligence on a fraudster
• Google– Crosscheck/verify names, telephone numbers, email
addresses, message text, URLs etc. – Search text with double quotes
– Check addresses on Google Maps– Google image search
• Verify ID is legitimate– Local lawyer, online search or pixelization
• Visit property• Check domain registrations (whois.net)
More information on fraud
• Check confirmed names of fraudsters and see samples of real messages and documents from fraudsters on the AvoidAClaim.com blog
• Use LAWPRO’s Fraud Fact sheet to educate your firm staff and lawyers about these frauds and the red flags to watch for
• Report suspicious matters to [email protected]• See more info on fraud at www.practicepro.ca/fraud
Contact info
Dan PinningtonVice President, Claims Prevention & Stakeholder RelationsLAWPRO, Toronto, Ontario(416) 598-5863 or 1-800-410-1013
[email protected]: Dan PinningtonTwitter: danpinningtonGoogle+: Dan Pinnington
For more info:
LAWPROTitlePLUS Home Buying Guide
@lawpro@practicepro@titlepluscanada
LAWPROLAWPRO staff
lawpro.ca
titleplus.ca lawpro.ca/excess practicepro.ca