Financial Crime World

FinanceWatch: Record-Breaking Financial Crimes Probed in Canada Ahead of Fraud Prevention Month

Ottawa Announces Fraud Prevention Month 2022

The Canadian Anti-Fraud Centre (CAFC), Royal Canadian Mounted Police (RCMP), and the Competition Bureau have officially launched Fraud Prevention Month, an annual campaign aimed at raising awareness and combatting the surge of financial crimes in Canada.

Alarming Increase in Reported Financial Losses

In 2021, reported financial losses to the CAFC reached a historic high of $379 million, representing a staggering 130% increase compared to the previous year.

Focus on Impersonation Scams

This year’s campaign will focus on exposing impersonation scams, a growing and sophisticated threat to consumers and businesses online.

Scammers Impersonating Trustworthy Entities

In an increasingly digital world, scammers are impersonating trustworthy entities such as banks, government institutions, or e-commerce sites, to deceive unsuspecting victims.

Increase in Impersonation Fraud During the Pandemic

As the pandemic forced people to rely heavily on online services, the RCMP observed an upward trend in impersonation fraud and scams.

Different Forms of Impersonation Scams

Impersonation scams can take many forms, from phishing emails and fake social media profiles to sophisticated caller ID spoofing.

Importance of Sharing Information and Reporting Scams

“Fraud is having real impacts on individuals, businesses and organizations,” notes Chris Lynam, Director General of the Canadian Anti-Fraud Centre and the National Cybercrime Coordination Unit, RCMP. “Raising awareness about fraud committed online is crucial to protect our communities.”

Quick Facts

  • The CAFC estimates that only 5% of fraud cases are reported.
  • Scams that resulted in the highest financial loss in 2021 were investment scams, with losses exceeding $113 million.
  • Top five most reported scams and fraud in 2021 were extortion, phishing, merchandise scams, service scams, and vendor fraud.
  • Reporting to CAFC assists law enforcement.
  • CAFC and RCMP are developing a new national reporting system for individuals, businesses, and other organizations.

Reporting Scams and Fraud

If you have fallen victim to a scam or fraud, please contact your local police as well as report the incident to the CAFC via their Online Reporting System or by phone at 1-888-495-8501.

Spreading Awareness and Joining the Conversation

Together, we can work to Recognize, Reject, and Report financial crimes. Share the news about Fraud Prevention Month with your friends, family, and colleagues and join the conversation on social media using #FPM2022.