Scammers targeting farm shops are causing thousands of pounds worth of losses

North Yorkshire Police has warned local businesses of reports of meat suppliers and farm shops in the county being targeted by scammers. The fraudsters are placing large quantity orders over the phone and then paying for the goods using stolen stolen credit card details.

As the payment does not clear before the goods are dispatched, the scam is resulting in thousands of pounds worth of losses for local businesses, police said.

The fraudsters are believed to be operating as part of organised crime groups, and they pose as catering businesses that have been let down by their current supplier and urgently need to place a large order.

The caller then claims they want to spread the cost of the order by using multiple credit cards. Police said that there are often problems with the cards, with some being declined, and this should be an immediate red flag for businesses.

Kevin Ross from North Yorkshire Police’s Economic Crime Unit, says: “The cards used to make payment in these scams are most likely from lists of stolen card details so the caller posing as the catering business, will just go through the list until they have managed to make the full payment required – in one case upwards of £11,000 for one delivery.

“They then insist on sending their own courier or a taxi to collect the products which will be delivered to an industrial or residential housing estate, never to a business address, and the caller will use the excuse that this is because coronavirus has meant they’ve had to close their normal premises.

“Unfortunately, we’ve had reports from a number of North Yorkshire businesses who have been targeted in this way over recent weeks, with over £35,000 lost collectively. The scam works because the callers are well-practiced at being personable, chatty and doing everything they can to appear as honest individuals.”

Kevin adds that business owners should trust their instincts. “If it doesn’t feel right then it most likely isn’t right. Report anything of concern to the police by calling 101, not only can we offer support and advice – but knowing about these types of scams can help us protect other businesses from falling victim too.”

North Yorkshire Police’s tips for protecting your business from a scam:
- Treat all calls of this type with great suspicion, do not supply goods to anyone without verifying their identity first. Treat them as you would anyone trying to set up a credit account.
- Often the cards used have been from American, Canadian, Australian and New Zealand banks, so be vigilant for this.
- Always ask for payment by bank transfer.
- Request trade references from new customers.
- Instruct couriers and delivery drivers to only deliver to a shop or similar business premises.
- Remember that even once you have cleared a credit card payment through your account, that does not mean you will not receive a charge-back demand from the credit card company.