In Latvia, cybercriminals increasingly choose to attack companies; huge sums are being defrauded

The Financial Industry Association explains that, judging by global statistics, fraudsters are increasingly targeting companies.

The majority, namely 60% of cyber-attacks, are aimed directly at small or medium-sized companies, according to the data collected by the International Cyber ​​Security Institute (Cyber ​​Readiness Institute). Most often, criminals call or send e-mails to company accountants, financial directors, often also to the company’s management and, using various manipulative methods, defraud the company’s financial resources.

“It is most likely a call that represents an employee of a bank or law enforcement authorities, the classic red flags are to panic that the funds are not safe, to make hasty, thoughtless decisions and to act quickly,” explains Armands Onzuls, advisor of the Financial Industry Association.

Latvian cyber security supervisor “Cert.lv” explains that criminals tend to break into company systems, steal all kinds of databases, encrypt them and demand a ransom so that the company can regain access to its data, without which operations are often paralyzed. At least five attacks of encrypting computer viruses have occurred in Latvia this year.

“Yes, they demand money for the company to recover its own data. A very absurd situation, but it happens when companies do not have enough backup copies to create,” says Cert.lv cyber security expert Gints Mālkalnietis.

But an even bigger risk is the fake invoice scheme. Cybercriminals usually break into e-mail correspondence between companies, pretend to be a service provider, and convince the victim to transfer payment for work done or goods delivered to another account created by the criminals themselves. It is not known exactly how many such cases there have been in Latvia, but the amounts are said to be very impressive.

“There are several fake invoices, unfortunately one is for a very large amount. (TV3: About how much?) Close to a million. Detailed information about this case is not disclosed,” says Mālkalnietis.

“In general, it can be said that all this financial fraud is in a gray area, because not everyone wants to report it. Could it be a feeling of shame, not wanting to share the experience,” said Onzul.

The simplest and most effective way to root out fraudsters’ desire to “smear” a fake invoice is to strictly use electronically signed documents in cooperation with business partners, explains the cyber security expert of “Cert.lv”: “Companies, in order to conclude transactions faster, do not check the documents confirming the transaction carefully enough , who is allowed to sign that the transaction has been changed (…) electronic signatures – this is a technology that is not new, which could greatly help in such cases if we express our desire to change the details of the payment.”

It is very difficult to catch and punish cybercriminals, because with the rapid development of technology, they can operate from any part of the world, successfully communicating in any language.

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