Jonathan Arras

A black swan, within the chargeback business -Next level fraud, or fraud with fraud toppings ... defrauding fraud reporting fraud victims, via fraudulent evidence in fraud chargeback cases, yeah, that's a lot of fraud. "In Global E-Trading, LLC, the FTC and the Office of the Attorney General of Florida settled charges that the defendants, who operated a chargeback mitigation business known as “Chargebacks911,” used misleading information to contest chargebacks on behalf of their merchant clients.25 The complaint, filed in April 2023, alleged that the defendants submitted misleading chargeback evidence to consumers’ banks, making it more likely that chargebacks would be denied.26 The defendants also allegedly helped their clients wrongfully manipulate their chargeback rates to avoid fraud monitoring programs. In November 2023, the court entered a final order, which the defendants had signed, prohibiting them from providing chargeback mitigation services to certain types of high-risk merchant clients.27 The order further prohibits the defendants from knowingly using deceptive or misleading information on behalf of their clients and prevents them from using techniques to help clients evade fraud-monitoring programs. The order also requires the defendants to pay $100,000 in civil penalties for violations that harmed older adults and $50,000 in legal costs to the State of Florida." https://lnkd.in/dy435xuQ

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As 2025 approaches, it’s time to reflect and plan for the year ahead. It’s crucial to evaluate what strategies worked and what didn’t so we can continue improving. Our work is vital, directly impacting the mental and financial well-being of victims. With advancing technology and an abundance of compromised PII across the U.S., bad actors are constantly ready to exploit vulnerabilities and create chaos. Each year, we encounter familiar types of fraud, but with new twists and tactics. Check out the link below from Mitek Systems for my 2025 fraud predictions, along with insights from some of the industry’s top experts.

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Stopping or mitigating financial crimes is not an easy task. How should a fraud shop be set up? What’s involved? Technology? Team structure? Collaboration? This is another interview short from Mitek. Love talking about fraud and sharing best practices. #miteksystems #fraud #fraudprevention

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I had a great opportunity to be interviewed by Mitek Systems about bank fraud in general. To fight fraud, we all need to be open and talk about what we are seeing and collaborate on ways to fight it. In todays world, technology is critically important as schemes and fraudsters techniques are always changing. #fraudprevention #fraudfighters #technology.

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The rise of “crimefluencing”.  Positioning blatant fraud as a “glitch” and amplified through social media has created a new and alarming dynamic to flash fraud. https://lnkd.in/e8J4bDDH #financialcrime #fraud #Checkfraud

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What should other financial institutions learn from the recent scandal surrounding TD bank? One main takeaway is that banks need to act now when it comes to AML processes, rather than attempting to rapidly fix gaps once an incident occurs. This means taking investigative techniques, such as OSINT, seriously – learn more below: https://hubs.li/Q02zcyRr0 #AML #Compliance #FinCrime

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In these challenging times, organizations need a safe and effective resource to combat the rise in violent and egregious criminal behavior. Covert mobile surveillance provides organizations the opportunity to gather actionable intelligence and build prosecutable cases on a schedule you control. Of course, when it comes to field operations, your personal safety and your organization’s reputation are paramount. In this LPM exclusive, Subject Matter Expert Nancy Amoroso shares her top safety tips. https://lnkd.in/guKcDPjU

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Check out what Chartis had to say about #Quantexa and our newest feature Q Assist. It is a game changer.... cant spoil too much but remember the days of trying to find the needle in the haystack during your investigations. Well Q Assist does exactly that. Just ask, oh did I mention it creates narratives, reports and basically super charges your investigations! https://lnkd.in/eBWVFPzV

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What I find most interesting about all of the BSA/AML monitoring consent orders is that whatever the case may be about how the varying agencies want the thing done, it is completely ineffective. In 2020, banks spent $180 billion (I bet that is an under-estimate) on AML monitoring. Meanwhile, the detection rate for money laundering crimes is estimated to be anywhere from 0.1% to 1.0%. To put it more concretely, one top 5 accounting firm's figure was that $499 of every $500 laundered is never detected. This amounts to "billions of dollars" in detected funds flows. Notice that it is always vague how much is laundered (estimates of $800bn to $2tn), how efficacious this is (see tenfold range above), and how many crimes are cleared by the labor-intensive way this is being done. At what true cost is this make-work, I would ask. You have what the banks spend on the programs. We can estimate what portion of bank exams and regulatory staff are aimed at this issue. They fine the banks probably $10 billion per year for ineffective programs, too. Add to that training expense and materials creation for the purpose. Finally, an end-around the 4th Amendment isn't something that can even be quantified. It's a cottage industry. It's a path dependency, too - we can't think outside of rulesets and bodies watching the flows. I hope for change in the future on these questions. Because this is an ugly apparatus, by most metrics.

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🚨 Credit Union Cyber Threats Are Escalating 🚨 According to Allure Security’s latest SPOOF ’25: Credit Union Brand Impersonation Threat Report, online attacks targeting credit unions have tripled year-over-year, with smaller institutions seeing an unprecedented 11-fold increase in impersonations. These attacks, powered by generative AI and phishing kits, are not only more sophisticated but also harder to detect. They’re eroding trust, impacting operations, and costing credit unions up to 11% of their annual income. Now more than ever, it’s essential to take a proactive stance in safeguarding your institution’s online presence. Let’s work together to protect member trust and secure the future of financial services. 💡 #Cybersecurity #CreditUnions #BrandProtection #FraudPrevention

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Maximizing our teams and capabilities.” In this session from the RILA Asset Protection Conference, Bill Corfield and Shane Bennet with Target discuss the need to go deeper into data tools, tactics, and technology to address trends in theft, fraud, and ORC. #Target #Organizedretailcrime #RILA

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Insider Risk Management is so much more than Data Exfiltration and DLP Tools. Businesses serious about managing their most vulnerable risk should read this guide from Gartner.

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It’s the holidays, which means fraudsters are also shopping for your money. Listen in to the ICBA podcast with Kausar Kenning as she shares tips and tricks to avoid being scammed this holiday season!

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In today's session on Synthetic Identity Fraud: Case Studies, attendees learned about the rising threat of synthetic identity fraud, where criminals offer “fraud-as-a-service” on the dark web. Experts shared valuable insights and strategies to help combat this growing threat.

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Fraud isn't just a data quality issue. Ghost Completes aren't seen by researchers (so they aren't a threat to the integrity of a survey), but they represent a huge hidden cost in the sample supply chain. At OpinionRoute, we staunchly advocate a holistic Data Quality strategy that adds security before pre-survey, in-survey and enhances post-survey cleaning activities (see comments for link). #marketresearch #mrx #dataquality

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Looking forward to another year sharing at the ACFE Global Fraud Conference. I will have as session titled "The Traditional Financial System and the Adoption of Digital Asset Technology" including the following agenda: - Terminology & Definitions - Digital Asset Taxonomy & Typologies - Retail & Wholesale CBDC (Architectures, Delivery Methods, Country Projects) - RWA Tokenization in TradFi - Issues Facing Digital Assets (e.g., security, privacy, inclusion, lost account restoration, ATOs, and fraud returns) #ACFE24!

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Exciting news! Brad Breslin, our EVP & Chief Delivery Officer, has been featured in Spiceworks! Check out his groundbreaking article "Tailwinds and Headwinds: Factors Shaping the Fight Against FinCrime" for some insightful inspiration. #AMLRightSource #FinCrime #Spiceworks #NewsAndInsights #SMESpotlight

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Are Your Bank's Data Practices SAFE? Find Out! Join SPEAKER_04 as they navigate the intriguing world of customer data concerns in a bank setting. From critical observations at a beauty salon to uncovering potential issues at Washington Federal Bank, this chapter dives into the importance of data privacy and industry accountability. #CustomerData #DataPrivacy #BankingConcerns #FinancialSecurity #WashingtonFederalBank #SalonObservations #PrivacyMatters #AuditingNews #DataVisibility #FinancialLiteracy

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