As the global economy continues to struggle, criminals seem to be bucking the trend and staying profitable. In fact, Moscow-based private investigation and background check companies report a noticeable increase in demand for due diligence and verification services. With a population of 10 million people, Moscow remains the heart of the Russian economy, and international business lives on here. Despite the recession and economic crises, investment and business deals are still getting done, albeit at a slower rate. So if economic activity is down, what’s driving demand for verifications and background checks?

With increased risk comes increased demand for verification and Russia due diligence services. The fact that fewer deals are getting done, and people have less money to spend and less money to lose suggests that criminals are targeting fewer fish in the barrel. Internet criminals are posting fake opportunities online, and networking with people and business leaders who are investing in Russia, or just looking for opportunities abroad. When a criminal is able to gain the confidence of a potential victim, and present a very attractive and lucrative business proposal, it can be hard to pass up. And, many people and businesses are falling for it.

Criminals are targeting potential victims on trade bulletins, Facebook, Linkedin, and even contacting the companies directly, claiming to be a “referral”. In other cases, internet criminals will target individuals who are seeking an investment or business opportunity abroad, often related to commodities such as gold or crude oil. Ironically, the scammers may present the deal as a way to hedge risk in today’s volatile markets. Under pressure and excited about the idea, many individuals in the U.S., Australia, Canada and the U.K. have fallen for such scams, which are often operated by criminal groups in Moscow or St. Petersburg. Because these crooks hide behind internet cafes or proxy servers, they can be hard to catch. Not to mention filing a police report or legal case in Russia can be extremely difficult given the Russian language. In short, the risk is up.

Internet scams and business fraud affect people from all over the world. It drives the cost of doing business up, as companies have to take extra steps to conduct their due diligence. Experts say that even the most skeptical can fall victim, and in many cases there simply isn’t any way to be sure, without having a professional Russia private investigator on the ground verifying the facts and the people involved.

To be safe and minimize your risk for scams and fraud in Eastern Europe and Russia, law enforcement and Embassies in Moscow suggest to never provide your personal data to anyone in Russia who has not been verified. Check references and search Google for information on the claimed individual or business. Make sure the email address ends in a proper domain, and don’t be afraid to ask for references and referrals. If in doubt, consider a discreet Russia background check service to verify.

C. Wright
© 2011 Russia PI