Malicious individual(s) are continuing to use premium Google placement to entice victims into placing orders that require advanced payment for goods which the perpetrators do not intend to ship. To date, ERAI has recorded losses totaling in excess of $300,000.00 and has notified appropriate law enforcement agencies. Organizations around the world and from various industry sectors have been, and continue to be, targets.

We have received additional website URLs and bank beneficiary names. As this scheme persists through the use of ever-changing pseudonyms and rotating bank accounts, ERAI is re-posting this message as a warning to any organization involved in the purchase of electronic components.

The perpetrators behind these fraudulent activities are believed to be operating the following sites as well as sites not currently known by ERAI:

Invoices received in response to orders placed via these websites or the Bank Beneficiary name provided include but are likely not limited to:

All of the victims wired payment in advance to bank accounts held with HSBC Hong Kong.  Law enforcement officials advised ERAI it is not uncommon for crime rings like this to use existing bank accounts belonging to third parties in order to receive payments.  In return, the actual account holder is paid a fee.  Enforcement officials indicated it is unlikely the criminals themselves are opening and closing these accounts which will make it more difficult to identify the perpetrators.   While new bank accounts are identified regularly, thus far the following bank accounts have been used to receive payments from victims and are considered extremely high risk:

The location of the perpetrators is unknown.  While the addresses appearing on the fraudulent websites, invoices, and quotes are regularly changing, the following address has been identified consistently as the beneficiary address on wire instructions and is considered extremely high risk:

Rm 603 6F Hang Pont Commercial Building
31 Tonkin Street, Cheung Sha Wan
Kowloon, Hong Kong
China


Risk Indicators

1. These websites accept only payment in advance. Once payment is made, communications stop and goods are never delivered.
2. The owner(s) of these sites purchase Google ads. If you Google a part number, it is likely the scam site will appear on either page 1 or page 2 of your Google search results.
3. The sites falsely claim to be authorized distributors for major semiconductor brands.
4. The sites falsely claim to be members of ECIA.
5. The sites share almost identical language and, in some instances, are a mirror copy of one another.
6. Obsolete and hard to find parts are identified as in “stock” at below market prices.

If you have done business with or have information about any of the above-named entities, please contact ksnider@erai.com.

Source

About Classic Components

Classic Components was established in 1985 and is headquartered in Torrance, California. We have a global footprint with locations throughout North and South America, Europe, and Asia. Classic is a top 5 unlimited franchised distributor of electronic components and provides unmatched supply chain solutions and unsurpassed quality.  Classic has set the industry standard through our tireless commitment to customer service, quality conformance and industry-leading counterfeit detection methods.