Fifteen lawyers in Canada and the U.S. have told us they’ve received an email from the purported Nick Ualtar (or sometimes Phil Stevenson) of Prodromou Textiles with regards to a commercial debt litigation scam. For examples of other names attached to this kind of fraud see our Confirmed Fraud Page. For an explanation of how this fraud works see our Fraud Fact Sheet.
The name “Prodromou” also appears in another business loan fraud that we’ve seen.
Here is the initial email:
From: Nick Ualtar
Sent: Thu, May 24, 2012 08:37:02 GMT+00:00
Subject: Legal Issue
I need a Business/Commercial litigation lawyer who can handle a collection issue. A referral would be welcome if this is not your area of practice
When the lawyer responded he got this reply:
I solicit your representation on behalf of Prodromou Textiles Limited.I need your counsel in litigation to collect a debt owed by a delinquent seller in your jurisdiction.
Our company purchased Machinery equipment of $1,400,000.00. 50% of the amount was paid as it is required before delivery i.e $700,000.00 and till now they have failed to execute their own part of the contract and giving unreasonable excuses.
Payment to the seller was made in January of 2012 and calculation shows that delivery is above 3 Months late, The regular purchase agreement requires seller to effect goods not later than 60 days upon payment or legal action may be enforced if delivery delay exceeds 90 days.
Find Below the location of the delinquent seller for you to run a conflict check. Kindly send your retainer agreement for my review thereafter.
Tipton Machinery Company
7725 Hub Parkway
Cleveland, OH 44125
Our Board of Directors awaits your retainer agreement after the conflict check and look forward to your prompt response at your earliest convenience.
Prodromou Textiles Limited
London, WC2A 2AE
How to handle a real or suspected fraud
If you have been targeted by any of these frauds, please forward any of the emails and supporting documents that you have received to email@example.com.
If you suspect you are acting on a matter that might be a fraud, call LAWPRO at 1-800-410-1013 (416-598-5899). We will talk you through the common fraud scenarios we are seeing and help you spot red flags that may indicate you are being duped. This will help you ask appropriate questions of your client to determine if the matter is legitimate or not. If the matter you are acting on turns out to be a fraud and there is a potential claim, we will work with you to prevent the fraud and minimize potential claims costs.
If you have been successfully duped, please immediately notify LAWPRO as there may be a claim against you.
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Fraud Fact Sheet More fraud prevention information and resources are available on the practicePRO Fraud page, including the Fraud Fact Sheet, a handy reference for lawyers and law firm staff that describes the common frauds and the red flags that can help identify them.