CEO fraud scams are a type of cybercrime where fraudsters impersonate a company's CEO or high-ranking executive to deceive employees into making unauthorized payments or sharing sensitive information. These scams exploit authority and urgency, making them highly effective.
How It Happens:
Scammers typically use phishing emails, fake domains, or compromised executive accounts to trick employees, often targeting finance teams. They request urgent wire transfers, gift card purchases, or confidential data, creating a sense of pressure to act quickly.
Example:
A finance officer at a company received an email from the "CEO" requesting an urgent $50,000 wire transfer. Without verifying, they sent the funds—only to realize later the email was fraudulent.
How to Protect Yourself:
- Always verify requests through a secondary communication channel.
- Implement strict financial transaction verification protocols.
- Educate employees about phishing scams and suspicious emails.