Watchout for the scumbags

This story details an interaction between a fraudster and an unsuspecting trucker or broker. As a trucker and a broker I am at both ends of the spectrum for fraudsters, scamsters, or hereafter referred to as scumbag(s). It usually starts with a phone call from someone boasting an accent from somewhere other than the United States. Not always but most times – this should be your first clue that you may be on your way to becoming the next victim of trucking fraud. I can break it down by each category of what comes next:

• Broker – Call comes in after posting a load -the truck is really close to where your load picks up, maybe or maybe not empty depending on what you are asking for. If you need an empty truck it will probably be said to be empty or some other story to fit what you are looking for.
• Broker – your load will probably be on the higher revenue side because scumbags want the most money they can get for their effort. Your can’t blame them, only so many hours in a scumbags day.
• Broker – Whatever you offer it won’t be enough. If the scumbag is double brokering, then he needs more money than your offering to beat your own load posting to get the truck. That said, he may be full on larcenous with no intention of paying the carrier so rate probably won’t matter at all.
• Broker – Details on the truck once you fell for the ruse, will be sparse if not right out hidden. Vague answers and the bums shuffle to get you off the phone will be the order of the day between you and the scumbagger you chose to dance with.
• Trucker – if you managed to get thru the accent and book the load with your future hoser, you will receive a rate con. I am sure you checked credit like you usually do and so far it’s checked out. The scummery has either run a legit brokerage for a while to develop some credit before it makes it’s move to steal from you and unfortunately it was your time. If not this route he has stolen another legit broker’s identity using their information right down to their rate con’s. You probably didn’t notice their email address is a “sound alike” .com just a tiny bit different then the actual real broker. But get ready, when it’s time to get paid and you can’t find them anymore WHAM! You have been had. If you use a factoring company your may not be immune. If they missed this activity as well they probably are going to charge you back what your were already advanced depending on what your contract states.

Now to those of you that have an accent other than your typical midwestern or southern variety, don’t get you panties in a wad. I am speaking from day to day experience and admit to profiling unapologetically. We have to profile in this business and have no time for the woke that somehow made their way among us. If you speak with an accent, try your best to assimilate with the people you work with and realize if you get lumped in with the others have a game plan to combat it. I am posting some tips and tricks below to further summarize what to look for and what to do if you come upon that next evil doer. Good luck and take care.

1. Identity Fraud: Fraudsters may impersonate legitimate carriers or brokers to gain access to shipments and then disappear with the goods or payment. This type of fraud can occur when criminals use stolen or fabricated identities to create fake companies or assume the identity of existing ones.
2. Double Brokering: In double brokering, a broker takes a load from a shipper, brokers it to a carrier, and then brokers it again to another carrier. This can lead to confusion and disputes over payment and responsibilities.
3. Phantom Freight: In this scam, a non-existent shipment or load is booked and billed to the shipper. The fraudster collects payment for services that were never rendered.
4. Billing Fraud: Carriers or brokers may inflate invoices, charge for services not provided, or alter the bill of lading to increase payment. This can include charges for weight discrepancies, additional fees, or unnecessary accessorial charges.
5. Cargo Theft: While not fraud in the traditional sense, cargo theft often involves sophisticated operations that can include deceptive practices. Thieves may use false documentation or shipping information to divert goods.
6. Collusion: This occurs when two or more parties (e.g., a carrier and a receiver) work together to defraud another party (e.g., the shipper) by manipulating shipment data or billing.
7. Fuel Card Fraud: This type of fraud involves the misuse of fuel cards by drivers or other parties, leading to unauthorized purchases or inflated expenses.
8. Load Board Fraud: Fraudsters may post fake loads on load boards to attract carriers and steal their information or collect advance payments.
9. Payment Fraud: This can happen when a fraudulent carrier or broker accepts a shipment, collects payment in advance, and then disappears without delivering the goods.

To combat fraud in the freight industry, companies can take several preventative measures:

• Verify credentials: Confirm the identities and histories of carriers, brokers, and shippers before doing business.
• Monitor transactions: Keep track of transactions and payments to spot irregularities or suspicious activity.
• Use secure payment methods: Implement secure payment options and avoid upfront payments to unknown parties.
• Train employees: Educate employees on how to recognize and report fraudulent activities.
• Implement strict policies: Have clear and strict policies for conducting business, including processes for verifying information and handling disputes.
• Leverage technology: Use advanced software and data analytics tools to monitor shipments and identify potential fraud.