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U.S. News
28 September 2024

New Extortion Scam Targets Homeowners Using Personal Data

Police and anti-fraud agencies warn about alarming rise of scams exploiting personal information to extort money

Residents across Canada are on high alert due to the alarming rise of extortion scams utilizing personal data, including names and even photos of homes. Reports have spiked recently, with the Canadian Anti-Fraud Centre (CAFC) noting over 400 occurrences of this insidious tactic just last week. The scams have drawn attention from law enforcement agencies, including the Ontario Provincial Police, who have underscored the psychological manipulation these schemes employ, preying on people's fears and privacy concerns.

Detective Sergeant John Armit, serving as the liaison officer with the CAFC, described how these extortion emails are crafted to incite panic. Recipients receive messages containing intimate details about their lives, including their names, phone numbers, and residential addresses, alongside screenshots of their homes sourced from Google Images. The emails claim the individuals have visited questionable websites and threaten to disseminate this information to their contacts if they fail to comply with demands for payment, typically requested to be made through cryptocurrency.

According to Armit, the scam artists appear to operate on a global scale. "From our experience, these individuals likely obtained personal information through some type of data breach," he remarked, hinting at the broader issue of online privacy and security. Although the exact nature of this breach remains unidentified, the extent of personal data being misused becomes increasingly concerning.

Victims, who often have no relation to the alleged misconduct mentioned in the emails, are being targeted with demands of payment ranging from $190 to as much as $2,000. Armit explained the modus operandi behind these fraudulent campaigns—by casting their net wide, hoping to ensnare just enough victims to make their effort worthwhile. "They’re hoping when they send these mass letters out, they’ll catch ten people willing to pay," he cautioned.

This recent wave of fraud aligns with previous patterns observed by the CAFC, which has reported staggering losses of over $580 million due to various scams nationwide. Alarmingly, only five to 10 percent of victims actually report their encounters with fraud, indicating the true scale of the issue might be significantly greater.

For those who suspect they might have fallen victim to such attacks, the CAFC advises them to take immediate action, such as contacting credit monitoring services like Equifax or TransUnion. Individuals are also encouraged to refrain from engaging with QR codes they receive under dubious circumstances and to remain vigilant against unsolicited communication.

Police agencies recommend bolstering personal privacy settings across social media platforms as one method of mitigation. By adjusting privacy controls, users can limit the amount of personal information made publicly available. People are also urged to remain skeptical of unsolicited messages or friend requests, especially when those messages contain threatening language or invoke financial responsibility for services never used.

One of the most significant takeaways from this harrowing situation is the advice against sending money under pressure. Responding to threatening messages can exacerbate vulnerability; authorities advise simply not engaging. If you receive such correspondence, you should report it immediately to your local police department and the CAFC. Following up with the CAFC is especially important, as it not only addresses personal concerns but also contributes to the collective fight against this rampant crime.

While the full extent of these scams is still being assessed, police are urging everyone to practice caution and remain aware of the potential for deception lurking even within seemingly benign communications. The reality is startling: fraudsters are continuously devising new ways to exploit trust and fear for financial gain. Awareness and vigilance stand as the first defenses against becoming another victim.

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