Check-Washing Scam Hits Booster Account for $2,625

A mobile check deposit appears to have provided scammers with what they needed to create altered checks, resulting in more than $2,600 in fraudulent withdrawals from a local booster organization’s bank account. According to a Lawrence County Sheriff’s Office report, two people contacted law enforcement after discovering what they described as a “check washing scheme.” The woman involved told deputies she had previously made mobile deposits of two legitimate checks. She later discovered that her account had apparently been compromised and copies of the checks had been created with altered dates, check numbers and dollar amounts. Those altered checks were then used to withdraw money from the original accounts. The second victim discovered checks he had not written coming out of the Symmes Valley Valley Booster account at Peoples Bank. According to the report, the fraudulent checks totaled $2,625.39 and had been made payable to the woman who had originally deposited the legitimate checks. But the booster-account representative made it clear to deputies that he did not believe she had anything to do with stealing the money. He told the deputy, “I in no way shape or form believe is responsible.” Both victims contacted their banks, and the woman was told her account had been compromised in what was described as a check-washing scheme. The banks requested that police reports be filed as part of addressing the fraudulent transactions. Copies of the checks were provided to the Sheriff’s Office as evidence. What Is Check Washing? The name comes from an older scam in which thieves steal legitimate paper checks and chemically “wash” away information such as the payee and amount. They then rewrite the check and cash it themselves. But check fraud doesn't necessarily require physically washing a check anymore. Once criminals obtain an image or the information printed on a legitimate check, they can potentially use that information to create counterfeit or altered checks with different amounts, numbers or payees. That's why consumers and organizations should regularly review their checking accounts rather than assuming that having the original checks safely in their possession means the account is protected. Watch for unfamiliar check numbers, duplicate check numbers, checks made out to people you don't recognize and amounts that don't match your records. And if something looks wrong, contact your bank immediately. In this case, both banks also requested police reports documenting the suspected fraud.

Related Content

Shingle Heist Suspects Roll Through Town With Stroller

Kentucky Chase Ends in Portsmouth, Driver Booked on Warrant