FBI Announcement on Standby Letters of Credit (SBLC) Scams

Been offered a lease on a SBLC or a BG? It's almost certainly a scam.
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Hans Neesantoes
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Joined: Sun Nov 25, 2018 5:26 pm

FBI Announcement on Standby Letters of Credit (SBLC) Scams

Post: # 24530Post Hans Neesantoes »

From https://www.ic3.gov/Media/Y2019/PSA190318

If you are in any doubt about any of the bank instrument scams that are posted in this forum then take a read of the above warning from the FBI.
The Internet Crime Complaint Center (IC3) has received complaints indicating fraud actors are fabricating business and financial industry connections, and access to international commodities markets in order to sell fictitious Standby Letters of Credit (SBLCs), which have resulted in significant financial loss to victims. Fraud actors claim they have connections to SBLCs at legitimate banks and use their purported business and ease of access to large sums of money to demonstrate legitimacy and draw in investors.
SCAM COMMONALTIES:
  • Offering returns or loans that are disproportionate to the risk involved
  • Mimicking of legitimate financial instruments like SBLCs
  • “Non-recourse” or “forgivable loans,” where investors do not have to repay the loaned funds
  • “Blocking of funds” or “proof of funds,” typically with the use of a SWIFT MT 799 or MT 760
  • Being asked to pay an advanced fee prior to funding or to initiate the loan or investment
  • Transfering funds overseas or using foreign banks
  • Improper references to legitimate financial institutions without their knowledge or consent
  • Unnecessary secrecy or the signing of a non-disclosure agreement
  • Intricate explanations and excuses as to why the promised funds or returns have failed to materialize
  • The use of escrow accounts, including attorney escrow accounts
  • The term “monetize”
While all of these elements may not appear in any one scam, it is common for several of them to occur. The defining characteristic, however, is the promise of a disproportionate return or loan without risk from a source, which is obscure or unable to be accurately verified. All of the other features serve either to add credibility to the investment or loan, or to entice or distract investors from asking the penetrating questions they should.
If you are reading this post because you have been contacted by this individual then you are100% being scammed - all my posts are thoroughly researched before being posted.

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Hans Neesantoes
Posts: 4465
Joined: Sun Nov 25, 2018 5:26 pm

Re: FBI Announcement on Standby Letters of Credit (SBLC) Scams

Post: # 42701Post Hans Neesantoes »

Another (earlier) warning from the FBI, this time about scams involving Medium Term Notes (MTNs) and trading platforms - https://www.fbi.gov/contact-us/field-of ... ment-scams
In general, investment programs that purport to offer an introduction to secret investment markets, which offer above-market rates of return with below-market rates of risk for privileged customers with special access, are fraudulent. There are no secret markets in Europe or in North America in which banks trade securities. Any representations to the contrary are fraudulent.
Some phrases are commonly seen in documents presented by fraudsters in the course of Platform trading schemes. If any of these phrases appear in documentation, the investment opportunity should be treated with suspicion. These “red-flags of investment fraud” include:
  • Non-circumvention, non-disclosure
  • Good, clean, clear, and of non-criminal origin
  • Blocked Funds Investment Program
  • Private Placement Program
  • Prime Bank Trading Program
  • Medium-Term, Mid-Term, or Seasoned Note Trading Program or Platform
  • Federal Reserve approved
  • Roll Program
  • Irrevocable Pay Orders
  • Unconditional Bank Guarantee
  • Prime Bank Notes, Guarantees, Letters of Credit, Standby Letters of Credit
  • Fresh-cut paper
  • Top 100, 50, 25, 10, etc. European/World Banks
  • Trading Platform or Platform Trading Program
  • Insurance Wrap protecting investment value
  • Paymaster who handles funds disbursement
  • Exit-buyer
If you are reading this post because you have been contacted by this individual then you are100% being scammed - all my posts are thoroughly researched before being posted.

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