Wrestling Payments
Wrestling Payments is a podcast for professionals working at banks, credit unions, and FinTechs who are responsible for managing ACH and payment operations. In each episode, members of NEACH guide conversations to help professionals examine the challenges of modernizing payment operations. Ultimately, the stories uncovered through guest interviews and solo episodes will highlight industry trends and identify how organizations can build their payment operations for the future.
Wrestling Payments
Fraud Trends from an FI to Law Enforcement (The Lost Tapes)
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EPISODE SUMMARY
It happens to the best of us. This session was recorded last year, but got lost in the shuffle. It may be a crime as the interview was with law enforcement and a member financial institution (at the time) on the topic of fraud... the show notes below.
In this episode of Wrestling Payments, host Joe Casali engages in an insightful discussion with Matthew Hogan, CAMS, a detective with the Connecticut State Police and a Task Force Officer with the USSS Financial Crimes Task Force, and Ryan McKinnon, Senior Deposit Operations Fraud Analyst at South Shore Bank. The conversation dives into the complexities of fraud detection and prevention in the financial sector, highlighting the collaborative efforts required between financial institutions and law enforcement.
Matthew Hogan shares his experiences investigating white-collar and cryptocurrency crimes, emphasizing the critical need for timely reporting and effective communication between banks and law enforcement to combat fraud. He underscores the challenges of prosecuting financial crimes, particularly those involving international actors and the increasing use of cryptocurrencies for money laundering.
Ryan McKinnon discusses his role at South Shore Bank and the importance of education and community outreach in fraud prevention. He highlights the need for financial institutions to stay vigilant and adaptive to evolving fraud tactics.
GUEST INFORMATION
Matthew Hogan
Detective
Connecticut State Police
(23) Matthew Hogan, MS | LinkedIn
Ryan McKinnon
Assistant Manager Fraud & Recovery
Charlesbridge
(23) Ryan McKinnon, CAMS | LinkedIn
(formerly Sr Deposit Operations Fraud Analyst with South Shore Bank)
KEY INSIGHTS
Financial Institutions and Law Enforcement Must Collaborate
Effective collaboration between financial institutions and law enforcement is crucial in combating financial fraud. Banks often detect scams but need proper communication to address the full impact. Law enforcement relies on detailed reports from banks to investigate and prosecute fraud cases. However, there's often a communication gap, with banks unaware of the outcomes and law enforcement not providing feedback. Bridging this gap can enhance fraud detection and prosecution, ensuring both sides work together more efficiently. Regular interactions and feedback loops between these entities can significantly improve the response to financial fraud.
Cryptocurrency is a Major Vehicle for Modern Financial Fraud
Cryptocurrency is a significant tool for laundering money and committing fraud due to its anonymity and ease of transfer. Financial institutions and law enforcement face scams involving cryptocurrency, from thefts to Ponzi schemes. Understanding cryptocurrency transactions and fraud tactics is crucial for developing countermeasures. As fraudsters innovate, staying informed and vigilant is vital. Preventative measures and investigative techniques must evolve to keep pace with the changing landscape of financial fraud involving digital currencies.
Fraud Tactics Evolve but Core Elements Remain Constant
Fraud methods evolve, but the core elements remain the same: urgency, a problem or prize, and a specific payment method. This consistency helps financial institutions develop effective detection and prevention strategies.