You will know that the press is currently full of horror stories in relation to Cyber Crime.
At Financial Eye we are regularly contacted by firms who have fallen foul to these fraudsters. Recently, for example, we were asked to advise a firm where their client had been hacked and the fraudster was able to send a forged, signed version of the law firms “bank details” form from the client email account. The law firm replied to the client email to confirm receipt of the instruction, and subsequently transferred a six figure sum to the fraudsters. Within an hour the funds had been paid away to a number of accounts.
You should ask yourself the question – could that have been us?
Unfortunately for this firm they contacted us after the event, so they were faced with remedying the problem and reporting the Material Breach. At Financial Eye we work closely with firms advising on their procedures and controls to ensure this type of crime doesn’t happen to them.
You may find that this type of fraud is covered by your Professional Indemnity Insurance policy, however at your next renewal date you will certainly notice an increase in your premium.
The moral of the story? Talk “systems and controls” with us before it happens, as we don’t want your firm to suffer a similar fate.