Toyota Parts Supplier Loses $37 Million in Email Scam

Toyota Parts Supplier Loses $37 Million in Email Scam
Toyota Boshoku, a seating and interiors supplier for Toyota cars, has revealed that it was tricked into moving a large amount of money into a bank account controlled by scammers.In a statement published on its global website, Toyota Boshoku Corporation said that its European subsidiary was duped into transferring approximately four billion yen (over US $37 million) out of the business and into a bank account controlled by criminals on 14 August.The company says it became aware of the fraud shortly after it occurred and put together a team to try and recover the lost funds.“Recognising the high possibility of criminal activity, we promptly established a team comprising legal professionals, then reported the loss to local investigating authorities,” the news release explained. “While cooperating in all aspects of the investigation, we are devoting our utmost efforts to procedures for securing/recovering the leaked funds.”If Toyota Boshoku does not manage to recover any of the stolen funds, the company warns it may have to amend its March 2020 earnings forecast.

One can’t help but feel sorry for the poor individual inside Toyota Boshoku who made the money transfer into a swindler’s bank account. The truth is that none of us are immune from being socially engineered, and although we might think that we are wise to all scams, we only need to be momentarily distracted to make a mistake that could cost a company millions of dollars.Oftentimes,  business email compromise (BEC) scammers will target accounting and finance departments, tricking them into wiring considerable amounts of money into bank accounts under their control, by posing as genuine suppliers invoicing for services delivered or as senior com ..