Commercial debt collection scam using the names Freddie Graham and Broken Arrow Precision Machining
Date First Reported: October 2014
Primary Name Associated: Freddie Graham
Description of Potential Fraud:
A Louisiana firm notified us that they received an email from the purported Freddie Graham of Broken Arrow Precision Machining looking to retain them with regards to a commercial debt collection.
This is a classic bad cheque scam that presents as legal matter requiring the assistance of a lawyer. In this scam lawyers will be duped into wiring real funds from their trust accounts after depositing a fake cheque received as payment from the debtor (who is part of the fraud). See our Confirmed Fraud Page for more of an explanation of how these frauds work and to see other names associated with it. Our Fraud Fact Sheet lists the red flags of a bogus legal matter that is really a fraud.
Here is the initial email from the fraudster to the lawyer:
From: Broken Arrow Precision Machining Inc [mailto:[email protected]]
Sent: Wednesday, October 08, 2014 11:21 AM
On behalf of my firm, I wish to inquire about your services and possible representation on a legal matter in your county. For more information, please do let me know if your office is currently accepting new clients.
Broken Arrow Precision Machining, Inc.
2202 Azusa Court
Turlock, CA 95382.
Replying to the email brought this response:
I am in receipt of your prompt response to my email. I need your legal representation in a possible litigation matter involving INDUSTRIAL BEARINGS, 1423 Annunciation Street. New Orleans, LA 70130. They owe my firm for goods delivered in good condition. The value of the goods delivered is $398,750.00.(Three Hundred and Ninety Eight Thousand, Seven Hundred Fifty Dollars). We received an initial deposit of $100,000.00. Due date for the remaining balance payment was the 12th of September, 2014 as stipulated in the invoice.
Please, run a conflict check on my debtor and also state your hourly rate and retainer fee.
I will like you to be aware of the cordial relationship my firm had shared with our customer over the years and would want to maintain that business relationship after collection of the outstanding sum owed to us.
Do not hesitate to call me if you have any questions.
I look forward to a timely response from you.
BROKEN ARROW PRECISION MACHINING, INC.
2202 Azusa Court
Turlock, CA 95382.
Direct Tel:(209) 729-3827
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 protected].
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. Instructions on how to report a claim are here.
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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.