In an increasingly digitalized world, cybercriminals continue to perfect their tactics to deceive individuals and businesses. One of the most concerning trends is the sophistication of scams known as “CEO fraud,” which are now evolving into an even more deceptive form: “client boss fraud.”
The classic CEO fraud
CEO fraud, also known as “executive fraud,” has been a constant threat to companies for years. In this type of scam, criminals impersonate high-ranking executives of a company, usually the CEO, to request urgent money transfers from employees with access to the company’s bank accounts.
Scammers often use social engineering and phishing techniques to obtain information about the company’s structure and internal processes, allowing them to make their requests appear legitimate.
The new threat: Client boss fraud
Now, cybercriminals have taken it a step further with client boss fraud. This new modality involves scammers posing not only as executives of the company itself, but as high-ranking officials of client companies.
This tactic leverages the trust and established business relationships between companies to make transfer requests or requests for confidential information appear even more credible. Scammers may claim, for example, that they need to make an urgent payment or access sensitive data to close an important business deal.
How to protect yourself against these threats
To combat these sophisticated scams, cybersecurity experts recommend:
- Implementing strict verification protocols for all transfer requests or access to sensitive information, regardless of who the requester appears to be.
- Continuously training employees on the latest social engineering and phishing techniques.
- Using multi-factor authentication technologies and advanced fraud detection systems.
- Promoting a security culture where employees feel comfortable questioning unusual requests, even if they appear to come from high-ranking executives or important clients.
The evolution of these scams underscores the importance of staying alert and up-to-date on cybersecurity matters. Companies must constantly adapt their defense strategies to protect themselves against these constantly evolving threats.