April 23, 2012
By Michael Fina Vice President Union Affinity Manager, First Trade Union Bank
In September 2011, an authorized accountholder for a union organization logged into the union’s business account through online banking to find $100,000 missing. Malware was discovered on the user’s computer, allowing a hacker to obtain the login credentials to access the union's operating account. The perpetrator then illegally transferred the funds to a foreign account at a separate financial institution.
This story is just one example of the rising number of fraud incidents that occur every year within the banking system, and this is expected to grow as more organizations start to conduct their banking online.
The statistics are alarming: More than 2 million bad checks enter the payment system each day and that number is expected to grow by 2-4% over the next few years. Check-related losses have amounted to an estimated $1.024 billion in a given year.
Fraud doesn’t always come from outside of the organization either. Consider this: 60% of all fraud incidents within a business involve its own employees, and the average fraud scheme goes undetected for 18 months. Educating yourself on how to better protect your union from becoming victim to fraud is the first step to an effective fraud prevention plan.
First Trade Union Bank has a long-standing history of supporting Labor Organizations and is committed to providing financial services education on topics such as this.
Please join us for a FREE Fraud Prevention Seminar that will educate you on common fraud risks and methods, how to mitigate fraud within your organization and best practices for detecting and preventing fraud in today’s digital information age. The seminar will be co-hosted with Salvatore Armao of Armao, Costa & Ricciardi, CPAs, P.C.
When: Thursday, May 3, 2012 at 7:30AM
Where: EmblemHealth Conference Center, 55 Water Street, New York, NY
To RSVP today, contact Stephanie West at Labor Press at laborpress.stephanie@gmail.com.
In the coming months, I’ll be writing more about changes to the banking industry and how they impact unions and working families alike. If you have questions or would like additional information, please don’t hesitate to drop me a line.
Michael Fina, Vice President / Institutional Banking for First Trade Union Bank, works in the company’s New Hyde Park office and is responsible for generating new relationships with public and private sector unions throughout New York State. Mr. Fina can be reached at 516-874-9601 or mfina@ftub.com." data-mce-href="mailto:mfina@ftub.com.">mfina@ftub.com. In the coming months, Mike will be providing commentary and insight into banking issues and how they impact union organizations.
