Escalation in cybercrime affects solicitors
Fraudsters are using increasingly sophisticated methods to obtain money or sensitive information
Cybercrime issues affecting solicitor firms are increasing, the Solicitors Regulation Authority (SRA) has revealed.
The SRA has received an increase in reports of firms either being contacted by con artists or falling victim to fraudulent activity, with potentially serious consequences for clients buying or selling property.
The SRA is, therefore, urging solicitors to step up their efforts to protect client interests.
Recent scams include firms receiving calls from fraudsters who pretend to act on behalf of banks to obtain sensitive information, such as account passwords.
Also of concern is an increase in emails between firms and clients being intercepted, leading to client funds being paid into fraudsters' accounts.
The warning comes against a backdrop of continued instances of scammers pretending to be solicitors, using either fake names or stealing the identities of genuine firms.
SRA chief executive, Paul Philip, said: 'Law firm client accounts are being targeted and solicitors and their clients are suffering disruption and potential loss. It is essential that firms understand the risks and take precautions to avoid falling victim to these attacks.
'This is an issue that is not going away. This is obvious not just from the reports we are receiving direct from law firms and members of the public, but also in our discussions with local law societies.'
The SRA has warned repeatedly against the threat of cybercrime since it was first highlighted in its Risk Outlook spring update in February last year.
The increase in cloned websites and identity fraud affecting both firms and individual employees was a feature of last autumn's risk update. The SRA also published information about the risk associated with cloud computing in November 2013.
The risk has not eased, however, and criminals are using increasingly sophisticated methods to obtain money or sensitive information fraudulently.
The SRA has advised firms to check their systems for safeguarding against cybercrime attacks.
John van der Luit-Drummond is deputy editor for Solicitors Journal
john.vanderluit@solicitorsjournal.co.uk | @JvdLD