• Skip to main content
  • Skip to primary sidebar
  • Skip to footer
  • Contact Us

Agency Checklists

Massachusetts Insurance News & Job Opportunities

You are here: Home / Latest News / Dorchester Workers’ Union Recovers $5.3 Million Stolen in Email Scam

Dorchester Workers’ Union Recovers $5.3 Million Stolen in Email Scam

April 14, 2025 by AC Editor

Agency Checklists, Arbella's New Cyber Endorsement, Cyber Extortion Insurance, CyberBullying Insurance, Online Fraud Insurance for Homeowners, Data Breach Insurance for Homeowners, CyberBullying Insurance for your children

Spoofed Email Impersonated Union’s Investment Manager

On the heels of the recent notice issued by the Division of Insurance regarding a targeted email scam aimed at insurance producers, the Department of Justice has announced it has secured the forfeiture of approximately $5,315,746.29 of proceeds from a business email compromise (BEC) scheme and property involved in the subsequent laundering of the proceeds. The judgment, pursuant to a court-ordered default judgment and final order of forfeiture, is the result of a civil forfeiture complaint filed by the United States in June 2024 seeking the return of the stolen funds.

According to the allegations outlined in the complaint, in January 2023, a workers union based in Dorchester, Massachusetts, was defrauded out of $6.4 million after it received a spoofed email that appeared to be from its investment manager. The email misled the workers union into transferring its funds to the wrong bank account, which was controlled by a third party.

After the workers union sent the payment, the fraudulently obtained funds were transferred through several intermediary bank accounts, with some funds transferred, or attempted to be transferred, to a cryptocurrency exchange and to various foreign bank accounts located in Hong Kong, China, Singapore, and Nigeria. Investigators also traced proceeds of the scheme to seven domestically held bank accounts, the contents of which were subsequently seized.

DOJ Explains what a BEC is

A BEC scheme is a type of sophisticated fraud scheme targeting businesses that use wire transfers as a form of payment. BEC schemes affect large global corporations, governments, and individuals, with current global daily losses estimated at approximately $8 million. Criminals compromise legitimate business email accounts through various hacking schemes, including social engineering and the use of malware. Once a business email account is compromised, a fraudulent email is sent directing the recipient of the email to unwittingly transfer funds to an illicit account. Alternatively, criminals create “spoofed” email domain names to trick people into thinking they know the sender. An email domain name is the part of an email address that comes after the “@” symbol. In email spoofing, one character in an email address is often changed or missing, thereby tricking the recipient. Criminals obtain and use privileged information to convince BEC email recipients that the transfer instructions are legitimate.

How to avoid become a victim of a BEC scheme

Verify that sender email addresses are accurate when checking mail on a cellphone or other mobile device before you open any attachments or follow any instructions and never make any payment changes without verifying with the intended recipient by phone or in person.

If you think you have been a victim of a BEC scheme,

  • 1) immediately contact your bank to request a recall or reversal as well as a Hold Harmless Letter or Letter of Indemnity; and
  • 2) file a detailed complaint with the Internet Crime Complaint Center at www.ic3.gov. The Internet Crime Complaint Center is run by the FBI and serves as the country’s hub for reporting cybercrime.
  • Visit www.ic3.gov for updated information regarding BEC trends as well as other cyber fraud schemes.

Filed Under: Latest News, News | Miscellaneous Tagged With: Agency Checklists, agencychecklist, cyberfraud, Fraud, insurance news massachusetts, ma insurance news, mass insurance news, Mass. Insurance News, massachusetts insurance news, Massachusetts legislative news

Primary Sidebar

New Episode

MA Insurance Lawyers

MA DOI Advertisements

Career News

PIA Connecticut & CTYIP Elects Officers for 2025-26; McKiernan Named President

Vermont Department of Financial Regulation Commissioner Appointed

SAN Group Honors Top Member Agencies with 2025 Awards of Excellence

SAN Group Honors Top Member Agencies with 2025 Awards of Excellence

Liberty Mutual Insurance Elects Timothy M. Sweeney Chairman; David H. Long to Retire

Liberty Mutual Insurance Elects Timothy M. Sweeney Chairman

View More Career News

In Memoriam

In Memoriam: Joseph Lombard, 98, Founder of Corinthian Insurance In Medway

In Memoriam: Michael Ray Christiansen, 1953-2025

In Memoriam: William Brooks, 1930-2025

Company News

New York Liberty and Liberty Mutual Insurance Announce Multiyear Partnership

Progressive Planning To Hire 12,000+ in 2025

MassDOT and Fundación MAPFRE Announce Finalists in Road Safety PSA Contest

Call for Applicants! 2025 Central MA CPCU Society Scholarships

New England Newswire

New Hampshire Insurance Department Updates Guidance for Licensee Disclosure Requirements

May 1, 2025 By AC Editor

Guidance For Insurance Producers and Adjusters in Meeting State-Mandated Requirements

New Hampshire Insurance Department Issues Guidance on Virtual Claims Adjustment Systems for Automobile Repairs

April 25, 2025 By AC Editor

Guidance Comes in Form of Bulletin #INS 25-031-AB

New Hampshire Insurance Department Issues Guidance to Help Granite Staters Understand Homeowners Insurance Coverage Levels

April 2, 2025 By AC Editor

Published New Document Outlining Differences Between Actual Cash Value (ACV) and Replacement Cost Value (RCV) When Selecting Homeowners’ Insurance Coverage

Agency Checklists, MA Insurance News, Mass. Insurance News, Who are the top Workers Comp. insurance companies in Massachusetts? Who writers the most workers' comp in Mass.

Maine Bureau of Insurance Approves 9.6% Average Decrease in Workers’ Compensation Loss Costs

March 26, 2025 By AC Editor

Reduction could save Maine businesses $27 Million

Insurance Fraud

Feds Sue Insurers and Brokers for Illegal Kickback Scheme

FBI Boston Warns Quit Claim Deed Fraud on the Rise

Newburyport Man Pleads Guilty in $2.2 Million Home Repair Insurance Fraud Scheme

Caught: Contractor’s Tax And Premium Fraud Lead to Prison

More Insurance Fraud News

Footer

Agency Checklists

Contact us

We offer a variety of ways to get help promote your company or product.

Announcements
Email Sponsorships
Partnerships
Custom Collaborations

*Affiliate Disclosure

Please note that any of Agency Checklists’ articles might contain one or more affiliate links. This means that any subsequent purchase resulting from these links may result in a commission for us, but at no additional cost to you. For example, as an Amazon Associate, Agency Checklists earns a commission from all qualifying purchases. By working with affiliates we can continue to keep Agency Checklists subscription free. Thank you for your support.

Explore Our Archives

Copyright © 2025 · Agency Checklists · All rights reserved.

 

Loading Comments...