Never in his wildest dreams could Peter Squire fathom what it would be like to face the prospect of losing his retirement funds of over 600,000 dollars to a con artist.
However, now that it has taken place, the retiree from Winnipeg is coping with the shock they are experiencing and wants to alert other people about what has occurred.
“You are in utter disbelief” The whole life that is ahead of you is flipped upside down because it is what you are counting on in your retirement to do the things that you were planned,” Squire, who is 68 years old, said in an interview with CBC News.
This is an example of “brand hijacking,” which is defined as “a sophisticated criminal pretending to be a well-known financial organization or bank.” The Manitoba Securities Commission has confirmed that it is conducting an investigation and has referred to this as something that is being investigated.
As Squire was getting ready to retire from a 31-year career as an executive in the real estate industry, he received an unexpected phone call at work on Halloween day in 2022. Squire said that this was the beginning of the difficulties that he was experiencing.
He was seeking for the finest investments to make with his funds, which he refers to as his “retirement nest egg.” He had been shopping about for the best investments. Several banks and credit unions were contacted, and he also conducted an internet search to find the most favorable interest rates.
Caller said that they were the portfolio manager.
The phone call that was received on October 31 was from a guy who introduced himself as a senior investment portfolio manager working at BMO, a large financial institution in Canada.
Squire made the decision to do business with the caller after conducting a search for the caller’s identity and discovering that it was really a senior investment advisor working for BMO.
“He offered an older Canada Savings Bond issue at a little bit of a higher rate,” Squire said to reporters.
“In this manner, these individuals take advantage of elderly citizens or other Canadians in order to defraud them of their money.
“It was all designed to remove me of my money and say it was a legitimate, older savings bond that I could purchase through him and that he can facilitate that.”
During the month of November 2022, Squire made two wire transfers from his account at Access Credit Union in Winnipeg. He was under the impression that the funds would be sent into an RBC bank account in Ontario, which was registered in the name of a business known as B21 Trade (Canada) Ltd.
At the beginning, there was a transfer of $175,000, and then a few days later, there was another transfer of $473,290.08, bringing the total amount to more than $648,000.
According to Squire, who said that he had never previously completed a wire transfer, he believes that the money was sent from his Access Credit Union account in Winnipeg to the RBC business account in Toronto, and then to a Citibank account in Hong Kong.
It was a member of the RBC staff who notified him that he had most likely been a victim of fraud.
Despite the fact that Squire had checked up the name of the person who had called him about making the investment and discovered that it was, in fact, the name of an investment adviser, it came out that the individual who had called him was not the one who had really made the investment.
Police in Winnipeg were called by Squire.
In terms of your feelings, you don’t sleep. You have been the source of a great deal of recrimination, as well as a great deal of sleepless nights for me. What might I have done differently?” It was stated by him.
According to him, the police have identified a suspect who was in Ontario at the time of the incident but is originally from Wales.
The victims experience feelings of embarrassment.
People are going to say things like, ‘This person is very stupid.’ Indeed, I am aware of this, which is the reason why individuals seldom report it or are so ashamed,” he said.
“Maybe that’s the best thing I can do is at least, hopefully, warn other people.”
Squire has been in contact with the Royal Canadian Mounted Police, the Canadian Anti-Fraud Centre, the Manitoba Securities Commission, the Toronto police, and the Hong Kong police, in addition to officers from the Winnipeg police department.
Despite the fact that Squire claims that a suspect has been identified, none of the police agencies have said that charges have occurred.
“The Winnipeg Police Service is no longer involved in this investigation,” Constable Dani McKinnon of the Winnipeg Police Department said in an email to the Canadian Broadcasting Corporation with a reference to the RCMP integrated market enforcement unit in Toronto.
According to a representative for the Royal Canadian Mounted Police in Ontario, they are unable to disclose any details since, in general, they do not acknowledge or deny the existence of an inquiry until criminal charges have been filed.
Sgt. Paul Manaigre, a spokesman for the Royal Canadian Mounted Police in Manitoba, said that their case has been closed.
We have asked that our Hong Kong liaison officer communicate with the Hong Kong Police Service in order to offer information to the Hong Kong Police. It seems that this is the location where the money may have been transported. When it became clear that the help was no longer necessary, the file was closed.
In response to the impersonation of the employee whose identity was used in the scam, a spokeswoman for BMO said that the company has filed a police complaint, and they urge other individuals who have been victims of fraud to do the same.
As stated in an email, “This is an unfortunate situation where the fraudsters illegally impersonated an investment professional to an individual who is not connected with our bank,” said Jeff Roman, a representative for the bank. “The fraudulent activity did not occur on our systems.”
Squire believes that the personnel at Access Credit Union did not do sufficient due diligence or ask sufficient questions when he was conducting significant wire transfers, which was something that he had not done in the days prior.
“There were no questions — you know, they weren’t showing any concern or wondering why I was doing this,” Squire said to reporters.
Access Access chief marketing officer Adam Monteith responded to the Canadian Broadcasting Corporation by saying, “We stand by our efforts.” Access Access will not comment on individual situations due to privacy concerns; nonetheless, they are satisfied that their personnel adheres to policy and procedure while servicing credit union members.
“We stand by our efforts to provide guidance and advice to all of our members in any financial situation,” Monteith said in his statement.
“This could include requiring assurances that due diligence was completed, having multiple staff review and advise on large transactions, the offering of alternative products with lower risk potential, and soliciting expertise from other financial experts,” according to his statement.
In addition, we are aware that we are unable to impose any obstacles on members who are determined to make a choice about their financial resources. The goal of our organization is to simplify banking for members while still honoring their right to make decisions, ensuring that they are well informed, and providing them with protection via our expertise.
Ainsley Cunningham, a spokesman for the Manitoba Securities Commission, said to CBC News that the commission does have an ongoing inquiry into the matter; however, they are unable to disclose any information.
“Once money goes offshore, it becomes extremely difficult to retrieve,” she said to reporters.
defrauded out of their funds due to fraudulent activity. According to him, other nations, such as the United Kingdom, have restrictions that are more effective than those in Canada.
The petition that he drafted, which demanded stricter banking processes, was presented to the House of Commons in 2023 by Kevin Lamoureux, who was the Member of Parliament for Winnipeg North of the United Kingdom.
In his statement, Lamoureux said that he has brought up the matter with the Liberal caucus in order to investigate the ways in which financial institutions may assist in the prevention of fraudulent behavior in the future.
“I believe there should be an obligation on financial institutions to be more diligent on withdrawals that are outside the norm,” Lamoureux told the Canadian Broadcasting Corporation.
One may say, “You are a victim… and it is not your fault.”
A partner of Anti-fraud Intelligence Consulting in Halifax, Vanessa Iafolla, who assists victims of fraud and serves as an expert witness in civil action for instances of this kind, said that financial institutions, such as credit unions and banks, have a responsibility to assist their customers in avoiding investment fraud.
Specifically referring to banks and credit unions, she said, “It is on you to take the reins.” “You are responsible for ensuring that you are safeguarding everyone,” the speaker said. It is not only you who are defending yourself; you are protecting all Canadians.
In examples of fraud that Iafolla has seen, effective investigations by the police are exceptional.
“This is not to imply that they never achieve their business goals. She said that there are several instances in which they have been effective. “Jurisdictional issues really compound this problem.”
There are law enforcement officers from more than one province participating in the investigation of Squire, and the investigation also stretches outside the borders of Canada.
Criminals that commit fraud are aware of the fact that the border does a lot to create obstacles for the authorities. In addition, they purposefully manipulate the landscape in order to make their trail even more difficult to follow.
According to Iafolla, the amount of money that Squire lost is not rare in situations like this, and she has personal experience with individuals losing millions of dollars.
It was her opinion that victims need to demonstrate some compassion for themselves.
“Based on my observations in the field, I can say that the feeling is very universal. Shame, regret, fear, anxiety, concern, social isolation, and judgment are all things that individuals go through. Iafolla is quoted as saying, “And you are a victim of a crime, and it is not your fault as a victim.”
Over 170 million dollars in fraudulent wire transfers in 2023
According to the Canadian Anti-Fraud Centre, in the year 2023, it received reports of 1,608 victims who had lost a total of roughly $170 million as a result of wire transfers that were routed to scammers.
There were 1,009 victims in Manitoba who lost money as a result of different sorts of fraud in 2023, according to information received by the anti-fraud center.
Rob Merk, a representative for RBC, said that victims of fraud are put in a challenging and stressful position. “While we cannot speak to the specifics of this situation for privacy reasons, we can advise that we co-operate with law enforcement in their investigations,” he said to reporters.
He advised those who have reason to suspect that they have been victims of fraud to promptly report the matter to their respective financial institutions, the police, and the Canadian Anti-Fraud Centre.
