Fraud Awareness Alert - Nigerian Fraud Scams (2002-2)

Once again, PBGC employees are receiving e-mail from individuals seeking assistance in getting money out of their countries. These are the world famous "Nigerian Scams," also known as Advance Fee Fraud (AFF). The perpetrators of AFF, known internationally as "4-1-9" fraud after the section of the Nigerian penal code which addresses fraud schemes, are often very creative. You need to know about this and what to do if you receive one.

Here is how it works: Letters (or, nowadays, e-mail messages) postmarked from Nigeria (or almost any other foreign nation) are sent to addresses taken from mailing lists. The letters and e-mails promise rich rewards for helping either officials of that country or family members of deceased leaders. Typically, the pitch includes mention of multi-million dollar sums, with the open promise that you will be permitted to keep a startling percentage of the funds that will come out of their country.

Once the victim is sufficiently "glittery-eyed" over becoming fabulously rich, requests for money begin. For example, officials need to be bribed, taxes must be paid, paper work fees are but among of the few reasons the victim must pay money. The victim parts with this money freely, thinking "What's $1,000 when I am going to end up with $2 million." After the first payment, the victim is hooked - he "can't afford" not to continue.

No one would fall for such a scheme, right? WRONG! The United States Secret Service has confirmed losses, just in the United States, of more $100 million. Some victims do not report their losses to authorities due to fear or embarrassment.

What do you do if you receive one of these letters or e-mails? Bring the letter the OIG (Suite 470), or forward the e-mail to me. Under NO circumstances should you respond or contact these individuals. The OIG will refer it to the Secret Service Task Force that handles this fraud.

How did these "scammers" get your e-mail address? They likely got your PBGC address because of your Internet usage and sharing e-mail outside the Corporation. If you order personal items from your government computer, or access a Hotmail (or other free Internet mail) program, your address is open for these types of contact. Be very cautious!

For more about the Nigerian Fraud Scams, call OIG Special Agent Tom Zigan at ext. 3104.

For more information about reporting suspected fraud, waste or abuse to the Office of Inspector General, please call an OIG investigator, Cornelia Green at Extension 3315 or Tom Zigan at Extension 3104. (TTY/TDD Users: 202-326-4115).