QUEENIE BREAKS THE NEWS: “FTC says Walmart allowed fraud involving money transfers”

Hey TCPAWorld! Just picked this up.

TCPAWorld readers know the FTC has been much more aggressive lately.  I have been keeping a very close eye on content to make sure digital advertisers that we are working with are staying on the straight and narrow. As the Czar has been noting, the FTC is hiring and appears to be gearing up for more aggressive enforcement. The fact that they are going after Wal-Mart for being nothing more than an instrumentality through which fraud flowed, should be eye opening for everyone.

If you see something, say something — just became the FTC’s new motto.



“Scammers want payments that are quick, anonymous, and tough to reverse. In other words, scammers are asking for wire transfers. That’s why money transfer businesses like Walmart need to warn people about fraud risks and train employees to spot scams. And that’s why the FTC is suing Walmart in federal court.

The FTC says Walmart has known for many years that scammers use its locations to get money for grandparent, romance, and other scams, but it didn’t properly warn people or train its employees to prevent fraud. According to the FTC, many Walmart locations didn’t display or give people information about potential fraud, which could have stopped them from sending money to a scammer. The company didn’t consistently post warning signs, put out fraud awareness brochures, or use the required money transfer “send” forms with front-page fraud warnings.

For years, according to the FTC, Walmart even looked the other way when scammers picked up money at stores. The FTC says that a single Walmart employee could process hundreds of thousands of dollars of customer financial transactions a day. But for many years, the company didn’t confirm that employees who handle money transfers had the correct — or current — training before they started processing transactions. Walmart employees processed tens of millions of dollars in fraud-related wire transfers annually for many years, according to the FTC.

That’s why the FTC is asking the court to order Walmart to return money to people who were scammed, pay civil penalties, and stop violating the Telemarketing Sales Rule and FTC Act.

To protect against wire transfer fraud







  1. And, it is not just Walmart. Home Depot is also facilitating overseas fraudsters in their efforts to scam money from innocent US victims. Let’s hope that the FTC does something.

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