Due Diligence/KYC (Fraudulent Documents)
We perform due diligence on all suppliers before we add their products to our Commodities Portfolio. As a result, we have come across a large number of fraudulent documents which we have listed below. With intuitive document analysis using software we can break apart an electronic document and find traces of editing. We also provide free advice to anyone looking to trade safely.
Many new brokers do not understand why it is so important to do due diligence beforehand because they reason that a LC or Escrow account prevents any fraud from taking place, and they would be correct. However, it is sometimes difficult for some individuals to engage with end suppliers or manufacturers directly without completing a credit assessment or providing some indication that there are actually funds available for the purchase. To get around this, some unscrupulous brokers will fabricate documentation to get their clients to issue a payment instrument. The brokers can then try to find a supplier to fulfill their contractual obligations. But more often than not they are not successful and the client has thus wasted money on issuing a payment instrument. The broker suffers no such inconvenience.
The above example is a less serious offence than the other purpose of fraudulent documents which is to attempt to defraud a client of the total contract value. If banks are not vigilant they could potentially release funds on fake documents, this has happened in the past.
Another tactic is advance fee fraud. Fraudulent documents can be used by criminals to convince clients that they have access to low priced commodities and the client only needs to pay a deposit for logistics or packaging or something similar in order to benefit from this amazing deal.
Only the Executive Directors are authorized to legally represent the organization. Ethical Suppliers will never ask for upfront deposits on orders, unless otherwise stated in writing. Please do not make any payments into any bank accounts purported to belong to Ethical Suppliers unless you have personally received the invoice from an Executive Director.
Below are fraudulent documents and/or information about certain companies and individuals which should be considered before commencing any business with them.
The attached organic certificate is so obviously fraudulent that I don’t hesitate to class this supplier as un...
Via methods we cannot disclose publicly due to security, we have discovered that Khalinga Trading is linked to MOZIM...
Update: 08 November 2016: the website economic.org.za is offline, which adds weight to the notion that they are oper...
His accomplice – Micheal Olusegun Ajibola (from www.cheatingscammers.wordpress.com) Posted on September 11, 2015 Det...