Date: 29/11/2021

How can companies recognise online payment fraud?

AmCham panel discusses how to detect and prevent fraud in online payments

Online payment fraud is becoming increasingly common, and the best way of preventing them is to educate staff, concluded the online panel ‘Online payment fraud and how to detect and prevent it’. AmCham member companies were able to hear a variety of perspectives on how to spot online fraud in time and how to avoid its consequences if it does occur.

Branko Subotić, Senior Manager in Cybersecurity and IT Advisory Services at EY, said that online fraud had increased since the start of the pandemic, with many staff switching to remote working and insecure home computer networks making it easier for malicious hackers to gain entry. He commented on various types of computer fraud, including phishing, e-mail spoofing, and creation of lookalike domains, but added that banks offered additional security that deters fraudsters.

Jovan Bogićević, Manager in Cybersecurity and IT Advisory Services at EY, called on companies to be more proactive in addition to training staff and raising their awareness of cybersecurity issues. He explained how software tools forced staff to use longer passwords and multi-tier authentication systems and check suspicious transactions, which were all highly efficient means of preventing fraud.

Boris Majlat, from Special Prosecution Office for High Tech Crime, highlighted the difference between traditional fraud, where human beings are deceived, and computer fraud, in which computers are in effect misled. If fraud is detected between 24 and 48 hours after it is committed, the funds are highly unlikely to be recovered, he said.

Ivan Lazarević, Managing Director at Ecolab, shared his company’s practical experiences in combating computer fraud. He said the first step was to offer seminars and training events to staff to familiarise them with online fraud and teach them how to recognise these practices in their day-to-day work. He cautioned companies to be wary of new business partners and perform detailed and thorough checks, especially when working with firms that require advance payment.

Andrej Jelenković, Attorney at Law with Karanović & Partners, who moderated the panel, concluded that the human factor posed the greatest risk of online fraud, followed by limited awareness of fraud, and, in third place, lack of software that could be used to prevent fraudulent practices. Nevertheless, he added, each company can work on training its staff and making them more cautions, which did not require major financial outlay, consulting assistance, and specialised software.

For integral video record from the event please click here (in Serbian).