DeJa Vu

ARE you also getting that sensation that we’ve been here before? You know the feeling: that inescapable thought that certain scenarios keep recurring, or a feeling of familiarity that is so strong it makes one imagine that what’s happening has actually happened before.

Here we are again. No sooner have we emerged from two years of enforced lockdown-instigated isolation than the news and media, once again, deluge us with all too familiar reports. Our politicians, once again, are pushing the envelope of what is (or is not) acceptable behaviour. National finances are up the proverbial swanny. Criminal activities, in all their forms, are growing. There’s scandal amongst the Royals again. In the meantime, the wheels are seemingly falling off across many aspects of society. Us Brits must be used to these sorts of things by now. Or are we?

While scanning the car radio on the way home recently, I happened across an interview with Gary Neville (ex-footballer turned businessman and brother of Phil). Dubbed (by his own admission) a ‘champagne socialist’, he’s become outspoken on political matters in twitter circles. He suggested something which, I suspect, will resound with many. Why does party politics force us to choose between a decently run and properly functioning economy, and looking after our people? Why can’t we do both? It’s a good question.

While some may muse on the theory that the pandemic hasn’t changed things at all, in one particular respect I have to disagree. ‘We’ have changed. And the evidence of this can be seen in the way the public is becoming increasingly intolerant of unethical behaviour. Reactions seem to be much stronger now than they once were. Rather like a crab, during the pandemic, the nation was able to shed its shell, toughen up and re-emerge, and confront the world with a renewed strength in depth.

Decreased public tolerance is everywhere. Whether this has manifested itself in demands for action to tackle climate change, calls for so-called wildlife ‘justice’, or to become lead-free, or fierce criticism of those who flouted rules while many others made sacrifices, there is now a louder voice that is proclaiming to stamp on what is believed to be either improper or unethical behaviour.

To my mind, that is the new world we are in now, and that is the world which businesses need to adjust to, quickly. Maybe it’s also a product of Brexit and the Brits collectively requiring a better reputation for the nation or to be a prominent leading country. Whatever the cause, I believe our newly adjusted society is here to stay.

Unfortunately, many of the problems of our past remain the problems of our future. Criminal activity is one example. Fraud of one kind or another remains prevalent. The protagonists didn’t remain idle either, using lockdown as means of devising new and inventive ways to scam and steal. All sectors have felt it, and the gun trade is no exception, with our trade bodies having to advise, guide and support their members through the provision of up-to-date information and, in some cases, even provide direct and hands-on assistance.

Lightning strikes twice

In the case of fraud, lightning can (and often does) strike twice. Once a weakness has been identified, the information is either sold on via the so-called ‘dark web’ or it is revisited by the same fraudster, who feels it is worth another shot. Recently, a retail business client of mine (thankfully not in the gun trade) had been hacked by an unidentified fraudster, only to be cyberattacked again a few weeks later. Thankfully, by the second occasion the business had acted swiftly and was therefore able to prevent further sensitive information from being sucked out of their computer systems in broad daylight. Now their systems are adequately protected, but even so, the shock of the event meant that everything is now literally unplugged at night.

For retailers, the most predominant form of fraud is always going to be payment fraud or identity theft. These account for more than 70% of the scams going around at the moment. This trend has undoubtedly been caused by the dramatic increase in e-commerce transactions over the pandemic period. For the fraudster, it is an easy and low risk scam: it is difficult for the retailer or the customer to detect, and even when that does happen it is almost impossible to gain legal redress. Stolen bank card details, fake bank accounts and hacked email accounts are being utilised in a variety of ways to extract goods and money from legitimate, hard-working businesses. It is quickly becoming a national scandal. Heed the warnings you are being given. In particular, don’t part with goods without at least undertaking a secondary form of verification.

Other forms of scams do not involve customers at all. For instance, spoofing scams occur when a business employee is duped into believing they are dealing with a legitimate entity—either by a spoof email, website, or even phone call—and then release sensitive data to a fraudster, which is used to clean out entire business accounts.

Gift cards have notoriously poor security compared with other payment options, while scams involving false cash returns (attempting to return a product stolen from elsewhere in return for cash) are easy for the scammers to set up. Shoplifting is also still around, although perhaps less of a temptation, I suspect, within the gun trade, because of the vastly increased security present within stores, coupled with the pandemic’s encouragement to limit the number of entrants.

Since the pandemic began, I have received fake texts purportedly from HMRC and, notably, several other convincing ones from fake couriers or delivery companies claiming they have a parcel for me and inviting me to log into a website to verify my personal details. Delete, delete, delete…

Sadly, some of the cases I have been required to assist with in a professional capacity have involved the so-called ‘inside job’. These cover a wide range of scenarios from relatively basic ‘skimming from the top’ and ‘back handers’ to outright stock or till theft. More recently, larger and more sophisticated efforts by senior employees—even directors and shareholders—have been encountered. They have used their position and connections to divert business away to a competitor’s organisation in which they have established a significant financial interest. Once detected, the business at least has a chance to seeking legal redress through the civil courts. Even so, the pandemic has provided ample opportunities for these activities to become quite sophisticated, resulting in them going undetected for long periods of time. Investigations require time to complete and can sometimes involve IT forensic investigators employed to retrieve deleted emails, undertake surveillance, and conduct detailed research on where the money or products have disappeared to.

Damaging activities

Business across all sectors have been calling out these sorts of activities and pursuing recovery through the civil courts in increasing numbers. Having struggled through difficult times themselves, they are entirely justified in becoming increasingly wary and intolerant of damaging activities such as these which, after all, are not victimless. The law is catching up. However, yes, I think Gary has a point. Businesses are entitled to be part of a growing and decent economy with greater protections against those who actively seek to harm them. Yes, they are entitled to protect their honest, hardworking employees, and no, the two should not have to be divided.

Stuart Farr is a member of the Gun Trade Association and a partner in Taylors Solicitors. He welcomescontact from any trade organisation, especially those with a problem to resolve. GTN