Help Wanted: Fraudsters in Need of Your Dollars

By Amy Wald

Desperate economic times call for desperate job-searching tactics. With unemployment rates still at a record high, out-of-work professionals are eager to seize any opportunities that might allow them to actually use their skills. Modern technology has made the search for such opportunities much easier than it once was -- the Internet has revolutionized the way job seekers find employment. Whereas generations past spent their jobless days making cold calls, scanning newspaper classified ads, and snail-mailing résumés out to companies, today's unemployed workers can discover open positions with a few clicks of a mouse. But along with the ease of being able to simply email a potential employer a résumé, respond to a listing on a job-search website, or even make a phone call based on a traditional newspaper ad, comes the inevitable possibility of falling for an employment scam.


Get Rich Quick: You, Too, Can Make $$$ in a Week!
Fraudsters capitalize on downtrodden job searchers by advertising employment opportunities that appeal to their desperation to find work. The schemes vary in complexity and include everything from offering job candidates study materials guaranteed to help them pass a position's "required" exams (in exchange for a reasonable fee), to convincing job seekers that by buying a simple starter kit and supplies, they can make and sell their own pins/ornaments/etc. Of course, no such exams actually exist, nor are there actually buyers for the craft in question. The job searchers are therefore left in the same jobless predicament they were in originally, with one exception -- they have now been bamboozled out of precious savings.


Take, for example, the case of Californian Stevan Todorovic, who was convicted last July of seven counts of wire fraud and three counts of mail fraud. Todorovic's scheme defrauded thousands of job searchers by offering mystery shopper and bartending job opportunities if they took part in his fake certification and training programs. He ended up scamming 87,400 people and earning $6 million in stolen funds -- a large price to pay for the promise of employment.


Legitimate Company Seeking All Your Personal Info
While fraudsters often take the traditional work-at-home and get-rich-quick approach, soliciting envelope stuffers or postcard mailers, the sneakier of these con artists have graduated to identity theft techniques by tricking job searchers into giving out personal information. This is where the Internet, in particular, has made employment fraud easier than ever to commit.


In recent years, employers have increasingly been using sites such as Craigslist to post job listings. As an affordable alternative for job advertisements, both big name companies and start-ups alike have found the site to be a useful tool for attracting applicants, and the applicants themselves can discover more targeted, local opportunities than larger job search sites like Monster offer. Unfortunately, the site allows employers to post listings anonymously and receive responses indirectly through the Craigslist email system. Employers are not required to list their company's name, nor do they have to provide contact information. If job searchers are interested in the position, they merely respond to a Craigslist-issued email address specific to the posting.


While this anonymity is greatly valued by individuals who might be selling an array of unwanted household items and wish to screen buyers before inviting them to their homes, it leaves the job applicant in a very vulnerable position. If an employer does not choose to list any verifiable information in the job posting, there is no way for the applicant to know who is receiving the personal information listed in his résumé, cover letter, and reference page. True, the recipient could be a legitimate employer offering an amazing job opportunity. But it could just as easily be a fraudster eager to use the job seeker's name, address, phone number, work history, date of birth, and sometimes even his Social Security number to commit myriad identity fraud schemes.


Furthermore, even when a posting provides a company name and contact information, this does not guarantee the opportunity's legitimacy. Fraudsters could easily set up fake addresses, phone numbers, websites, and email addresses to convince applicants that everything is kosher.


How, then, can job seekers know whether they are truly making a dent in their job search process or simply handing over their confidential information to a criminal as if it were a piece of candy?


Reversing the Company Background Check
While the unemployed must be somewhat liberal with their résumés if they want to get out of their jobless funk (after all, networking is the golden rule of job searches), it is important to exercise caution and draw upon one's common sense when applying for jobs.

The following are some helpful tips to use when trying to determine the credibility of a job opportunity.

When applying for jobs, know who is receiving your résumé and confidential information. Before sending out your information, it is good practice to get the company's name and verify that it is indeed a legitimate organization. Look the company up via the Better Business Bureau, on Hoover's, or even in a phone book. Perform your own background check.
Be suspicious of email addresses that do not contain a company-related domain. If you are responding to a personal email address (like Yahoo!, Gmail, or Hotmail), you should question whether the intended recipient is truly a reputable professional or a con artist seeking your precious savings.
Do not accept opportunities that require you to pay for your own employment. Companies do not accept money from you to pay for required certifications -- they either pay for them for you or ask you to acquire said certification through a legitimate third-party organization. Remember, employers give you money in exchange for the work you provide -- you don't give them money.
Do not give out your driver's license number, Social Security number, or date of birth prior to an interview. Background and criminal record checks are performed after an employment offer has been made, not before. Such checks are usually the final screening element, not the preliminary one.
Never give out your credit card or checking information in response to a job advertisement. The only time that an employer will need your checking information is when Human Resources is setting up direct deposit after you have been hired. Beware of an "employer" who wants access to this highly confidential information.
There is a degree of inherent risk in job searching regardless of the precautions applicants take. Job searchers are, after all, freely handing out a treasure trove of personal information to unknown parties. Nevertheless, through diligent screening of opportunities and awareness of employment fraud red flags, unemployed workers can mitigate their chances of falling victim to a deceptive job advertisement.



--------------------------------------------------------------------------------

© 2011 The Association of Certified Fraud Examiners, All Rights Reserved.