Cybersecurity—Sophisticated Scams Target Corporate Transactions and Confidential Information: Cyber Criminals Are Reportedly Pairing Falsified Wire Instructions with Seemingly Credible Justifications in Attempts to Misdirect Funds to Third-Party Accounts and Tricking Executives and Advisers into Compromising Sensitive Non-Public Information

Sullivan & Cromwell LLP - April 16, 2015

Recent reports indicate that sophisticated cyber criminals are increasingly targeting company executives and their outside counsel, advisers, and consultants in connection with corporate transactions in fraudulent efforts to obtain funds or inside information.  These schemes involve hacked systems or forged emails that appear legitimate to redirect funds transfers or obtain confidential information.  To avoid loss of funds or confidential information, companies should consider implementing heightened verification procedures with respect to significant financial transactions or sensitive information requests.