Online Fraud

Online fraud is a related area of cybercrime. Internet or online fraud refers to fraud that is committed with the help of the internet. Online services are used to conduct fraudulent solicitations, fraudulent transactions and to transmit the proceeds of fraud to financial institutions. Online fraud can be committed on websites, message boards. From looking at current statistics, it is evident that online crime has emerged as a significant concern to all internet users. According to an article in the Irish Times date Wednesday February 11^th 2015, 13 per cent of Irish internet users have suffered online fraud , one third of Irish respondent to the Irish times survey said they had found malicious software on their devices. Of this significant number of Irish internet users only 50 per cent of those users had installed appropriate antivirus software. This figure is below the European average of 61 per cent of internet users who utilise adequate antivirus software. In comparison with other European states, Poland has the highest percentage of online fraud at 19 per cent while Greece has the lowest online fraud rate at 4 per cent.

Online fraud consist of many different types of criminal fraud including Phishing which is the most common at spoofing. Phishing is the process of collecting personal data through emails or websites. This information can include user names, password, credit cards numbers, social security numbers etc. Spoofing consists of events in which a person or software programme successfully masquerades as another by falsify data and in the process gaining an illegitimate advantage.

Email Spoofing or Phishing is used by dishonest advertisers and criminals when emails are sent with falsified entry to entice email recipients’ in to believing that the email is sent from a relivable source eg bank and they are prompted to disclose personal information such as bank account details. In a caller id attack the Spoofers will falsify the phone number they are calling from. Url Spoofing occurs when scammers set up websites to obtain information from its victims or to install viruses on their computers. Eg A person might be directed to a site which allegedly is a credit card company site. The victim that believes the site to be legitimate inputs their personal finical details on the request of the dummy site. In this way the scammer then gains direct access to accounts etc.

Online crime does not only effect big business but smaller and private individuals are also hurt by these criminal activities. There are numerous effects and consequences as a result of online crime

• Businesses lose customers as a result of online criminal activtity
• Company assets can be lost due to theft
• An organisation’s reputations can be injured publically as the publicity surrounding online crime becomes known
• Organisations and businesses can face lawsuits from disgruntled customers who have experienced loss due to online crime.
• The cost of online security and training is prohibitive.
   
  To prevent online crime businesses or organisations and indeed private individuals should invest in appropriate online protection such as, use of security information and event management solutions, intrusion prevention systems and network intelligence systems and data analytics. These all can greatly reduce the costs and damage damage caused by cyber attacks. Online crime is  investigated in Ireland by the Garda national economic crime bureau. When one suspects that there has been an online crime or an attempt to commit one the matter should be immediately reported to your local garda station and relevant institution. It is without doubt that online fraud is an emerging menace to both public and private enterprise. It is essential that all internet users beware all the threat of online fraud and arm themselves with adequate measures to combat this threat.