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  1. #1
    Member Reputation points: 194
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    Exclamation Eid App Lab - Hatem Eid - FRAUD ALERT

    This merchant seems to be altering documents. Caught him lying about paying off Greenbox - UCC was filed at end of September but somehow he claimed to have paid it off. The number on the payoff letter was a fake number, someone answered it and confirmed there was a 0 balance. When I called the actual number for Greenbox, they said that he has a balance. Found 2 other UCCs filed in the last 2 months which he also provided payoff letters for, those could not be confirmed and one was from a law firm that does not exist. The bank statements he submitted only show Knight taking money but he has to have an additional account where he is hiding them. Watch out for this merchant!

  2. #2
    Thanks for the heads up!

  3. #3
    Quote Originally Posted by Lexgroup View Post
    This merchant seems to be altering documents. Caught him lying about paying off Greenbox - UCC was filed at end of September but somehow he claimed to have paid it off. The number on the payoff letter was a fake number, someone answered it and confirmed there was a 0 balance. When I called the actual number for Greenbox, they said that he has a balance. Found 2 other UCCs filed in the last 2 months which he also provided payoff letters for, those could not be confirmed and one was from a law firm that does not exist. The bank statements he submitted only show Knight taking money but he has to have an additional account where he is hiding them. Watch out for this merchant!
    Thanks! Just found this post as he came to us for $$

  4. #4
    Senior Member Reputation points: 8424
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    Yeah I know the company that funded him 25k at the end of September and when i look at his statements the wire and debits are no where to be found. He also tried to fool the Underwriter by using photoshopped screenshots during a Join.Me session, instead of actually being logged into their bank account. what type of legal recourse is there to combat these guys??

  5. #5
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    We have seen this file a couple of times also. Found the same issues. Wire Fraud maybe?

  6. #6
    Senior Member Reputation points: 10944
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    Quote Originally Posted by MCABroker View Post
    Yeah I know the company that funded him 25k at the end of September and when i look at his statements the wire and debits are no where to be found. He also tried to fool the Underwriter by using photoshopped screenshots during a Join.Me session, instead of actually being logged into their bank account. what type of legal recourse is there to combat these guys??
    This is exactly why 95% of the time we insist on a true "one time login" right before funding, it's just become to easy for merchant to fake a join.me screenshot

  7. #7
    Senior Member Reputation points: 7162 TheShitzuofMCA's Avatar
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    Its sad most funders wont press charges, they will keep a list of flagged fraud deals and move on to the next. I believe we should make an example out of these, I have confirmed altered banks with proof comparing one with the other. Its gotten worse as the industry has grown, we now have defaulted merchants opening new entities and applying a year later. Some funding companies without the proper software miss alot of these and they get away with money again.

  8. #8
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    No problem! I am sure the join me session we did was fake as well. The formats of the 0 balance letters were extremely suspicious and contained random information. Also, one was a 0 balance letters was from a law office that doesn't exist but was filed under Corporation Service Company. One UCC was filed at the end of August but in just a few days he managed to pay it off....somehow. This is why I never just call the numbers on the 0 balance/pay off letters without making sure they check out first. Would be nice to press charges against these guys but it isn't easy, fraud can be hard to prove.

  9. #9
    Banned Reputation points: 4530
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    Eid App Lab - Hatem Eid - FRAUD ALERT

    Not that difficult when you have a paper trail.
    I believe this is a federal matter and if not reported you are almost aidung the merchant cheat someone else.
    Im involved with submitting another fraud claim so someone doesn't get stuck.
    I read that folks in this space are adament about not being regulated. Why don't we show we can regulate ourselves?
    Bob

  10. #10
    I agree that funders should press criminal charges against these merchants. Our industry to starting to make positive steps in regards to fighting this type of events. Having so many funders come together on DataMerch and sharing information is a huge step in the right direction.

  11. #11
    Member Reputation points: 194
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    Quote Originally Posted by bdshaw View Post
    Not that difficult when you have a paper trail.
    I believe this is a federal matter and if not reported you are almost aidung the merchant cheat someone else.
    Im involved with submitting another fraud claim so someone doesn't get stuck.
    I read that folks in this space are adament about not being regulated. Why don't we show we can regulate ourselves?
    Bob
    Bob, if you have any advice for initiating a fraud claim it would be greatly appreciated, I am not familiar with the process - info@lexgf.com - Thanks

  12. #12
    I am VERY late on this read. We funded the merchant too. Ironically, we are already working on pressing criminal charges on this merchant. If anyone wants to jump in / assist fee free to call us! 1-800-515-7531 ext 303.

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