Australia is increasingly identified as a frontrunner in combatting scams, often being looked upon by other nations as a model to emulate. NAB Group Investigations Executive Chris Sheehan recently shared insights into the country's preventive measures against scams, drawing a contrast with approaches in places like the UK.
Sheehan recently visited London, meeting with UK banks, government officials, and industry representatives while attending the Global Anti-Scam Summit alongside colleagues from the Australian Banking Association (ABA) and the Australian Financial Crimes Exchange (AFCX). His observations centered around the differences in anti-scam methodologies between the two nations.
The UK has adopted a system mandating banks to reimburse customers who fall victim to scams within five days, effective from October 2024. Despite being perceived as "world-leading," Sheehan argues prevention is preferable to reimbursement. The Australian Scams Prevention Framework, legislated earlier this year, aims to prevent scams at their origin and extends protection to cover more organizations and payment types than the current UK model.
According to Sheehan, "We want to hit the source and symptoms of scams simultaneously, to make it much less likely that Australian citizens will be victimized in the first place." The new framework notably emphasizes prevention and accountability across telecommunications and digital technology firms.
Collaboration is integral to Australia's approach. The ABA Scam-Safe Accord, in conjunction with the AFCX, highlights data sharing and real-time capabilities to intercept suspected fraudulent transactions. Partnerships such as BioCatch Trust Australia represent the cutting edge of global scam protection.
Sheehan also highlighted two emerging concerns abroad. The first involves the recruitment of high school students as money mules by criminal gangs, a tactic increasing in the UK. The second relates to the rampant problem of phone snatching and "shoulder surfing" in London, where criminals exploit public transport users to access bank information. The lack of NAB customers affected by these incidents prompts Sheehan to underscore the value of preventive measures like two-factor authentication.
Chris Sheehan brings extensive experience from his prior role at the AFP, focusing on organized crime and security. His insights first appeared on his LinkedIn page.