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What is cheque cloning fraud? How to protect yourself?

IamCheated.com Research Team | September 20, 2019  12:39:am

What is cheque cloning fraud? How to protect yourself?

When you open a bank account, you will be given a kit which includes the cheque book. The cheque is a traditional method of making payments. Many people prefer to make payments through cheque, as it is considered to be the safest method of payment vis-a-vis online payments.

But, the sad part is, fraudsters have come up with various tricks to misuse cheques. Recently, many bank holders in Delhi lost their money to cheque cloning fraud. Delhi police have exposed a gang of fraudsters who used the cheque cloning method to wipe out money from bank accounts.

Fraudsters have cheated innocent people of more than Rs 8 Crore through cheque cloning fraud. This fraud was exposed after a woman from Delhi received a message from her bank; stating Rs 1.10 Crore was transferred from her bank account. Immediately after receiving the message; she contacted the bank and the police.  She was told that two cheques were used for debiting money from her bank account and the money was deposited in two bank accounts in Gurugram and Vasant Kunj.

During the investigation, police arrested some members of this gang and they revealed that this fraud was carried out with the help of bank officials. The bank officials used to provide various information on bank account holders; which included their signature and blank cheques.

Once this information was collected, fraudsters used to send an application to the bank and get the phone number of the bank account holder removed from the account. This is done to make sure that the bank account holders don't receive messages on any transactions. Fraudsters cloned the cheque and withdrew money using the fake signature of the account holders. Account holders were not aware of this fraud as their phone number was removed from the bank account.

What is cheque cloning and how is it done?

In the case of cheque cloning, fraudsters collect cheques of account holders with the help of a postman or bank official. Cheques have details of the bank account holders. The information on accounts with large amounts of money is given to fraudsters by the officials of the bank. They get the mobile number of account holders removed with the help of conniving officials. Fraudsters then scan the cheque and clone it to withdraw money from the bank.

How to avoid cheque cloning?

1. Never post the photo of your cheque on social media.

2. Never share your personal banking information to anyone over a call. This information consists of cheque number, card details, OTP and passwords.

3. Whenever you make any transactions with your bank account, you will receive an email and message from the bank. So, make sure to give the email id and phone number which is working. Check the mobile number and email ID linked to your bank account regularly.

4.  Make sure to read the SMS and email send by the bank carefully.

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