City of Saskatoon hit by internet fraud that sends $1M to wrong bank account

The city contacted police after the fraud was discovered on Monday

The City of Saskatoon says it has lost $1 million after it was targeted in an online scam. Saskatoon mayor Charlie Clark speaks with media at the Legislative Building in Regina, Tuesday, April 10, 2018. THE CANADIAN PRESS/Mark Taylor

The City of Saskatoon says it has lost $1 million in an online scam.

City manager Jeff Jorgenson says a fraudster electronically impersonated the chief financial officer of a construction company that has a contract with the city.

He says the culprit asked to have a payment sent to a new bank account and the city complied.

The city contacted police after the fraud was discovered on Monday.

It has hired experts to try to recover the money.

ALSO READ: ‘Sextortion’ emails on the rise, targeting Canadians who may or may not visit porn sites

Jorgenson says the city is reviewing its financial controls to make sure it is secure from future attacks.

“The attacks are always there. They’re always changing,” he said at a news conference Thursday.

“The fraudsters are becoming more and more sophisticated, and our controls and systems have to become more and more sophisticated as well.”

Mayor Charlie Clark said the city decided to go public with the fraud to be up front with taxpayers and warn others so it doesn’t happen to them.

Two years ago, MacEwan University in Edmonton reported that it had been defrauded of $11.8 million when three staff members were fooled into changing the electronic banking information of a construction company.

The university said it was able recover $10.9 million because of a quick response by the school, lawyers, banks and the police.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

Vehicle of missing Maple Ridge man is found in Abbotsford

Barrie Holt, 63, is also known to frequent Chilliwack area

UPDATE: Vehicle located and driver arrested in relation to fatal hit-and-run

Male pedestrian in his 50s died after being struck by vehicle on Highway 11 in Abbotsford

Incumbents in Abbotsford ridings heavily outspending challengers on Facebook

Liberal Jati Sidhu, the incumbent in Mission-Matsqui-Fraser Canyon, has spent the most, by far

ELECTION HUB: Candidate profiles, voter information and news for Abbotsford’s ridings

We’ve collected our election coverage in one spot to help you decide who to vote for

Cascades goal scoring king leading UFV to playoffs

Abbotsford Soccer Association product Gurmaan Jhaj establishes new goal mark

Scheer, Trudeau, Singh haggle over potential minority government outcome

If you believe the polls, it appears the Liberals and Conservatives are neck-and-neck

‘The more you test, the more you find’: Beef recalls a sign of success, experts say

Despite appearances, experts say a recent rise in major recalls is not a sign of food supply problems

Workers at four Vancouver hotels ratify contract with higher wages, job security

Unite Here Local 40 president Zailda Chan says it’s the first hotel strike in Vancouver in nearly two decades

Japanese buyer expands wood pellet contract with B.C.’s Pinnacle

Mitsui and Co. increases contract with Interior energy producer

ELECTION 2019: Have Justin Trudeau’s Liberals really cut middle-class taxes?

Conservative Andrew Scheer vows to cut bottom bracket, NDP’s Jagmeet Singh targets wealth tax

B.C. RCMP officer suing the force for malicious prosecution

Cpl. Tammy Hollingsworth cleared of wrongdoing after misconduct hearing

Talk to your kids about vaping, B.C.’s top doctor says

B.C. health officials have discovered the first vaping-related illness in the province

Alberta truck convoy plans counter-protest at climate rally with Greta Thunberg

United We Roll organizer says similar protest planned for Swedish teen’s event in Edmonton

Most Read