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Central Bank, FSC caution about increase in suspicious activity
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BARBADOS HAS CAPTURED another coveted Gold Medal at the prestigious Chelsea Flower Show in London, bringing the its impressive tally to 24 golds in 37 appearances at what is widely regarded as the greatest flower show in the world.
This year’s award-winning exhibit (at right), titled On The Road To 60, celebrates Barbados’ 60th anniversary of Independence through a striking floral and cultural display centred around a replica of the iconic Independence Arch
in Bridgetown. (GP)
Please see also Page 4.
by SHAWN CUMBERBATCH shawncumberbatch@nationnews.com
FRAUDS AND SCAMMERS have financial sector regulators on alert.
The Central Bank of Barbados and Financial Services Commission (FSC), which regulate banks and the non-bank financial entities, respectively, have in recent times been sensitising the public about being deceived by individuals with bad intentions.
This included the FSC issuing a public advisory notice informing Barbadians of someone wrongfully “holding himself out to be a representative of the commission and authorised to conduct regulated activities”.
Caution
With banks, credit unions and other providers of financial services also cautioning their customers about an increase in suspicious activity, especially online, in recent weeks, information systems security expert Edward Millington warned Barbadians that “2026 has seen a global increase of very sophisticated and person-aligned spam that is very difficult to detect for persons who are not accustomed”.
As it gets ready to put its national instant payment system, BiMPay, into use from June 12, the Central Bank has been educating consumers about what it called the troubling trend of “increasingly sophisticated financial scams” designed to exploit the convenience of digital financial transactions.
“As Barbados prepares for the introduction of its national instant payment system, BiMPay, these developments are particularly relevant.
Faster, more accessible payment systems bring significant benefits, but they also require users to be more vigilant about how and where they send money,” the monetary authority advised in a new commentary.
It noted that while financial fraud was a threat, and “typically involves unauthorised transactions, where a criminal gains access to your account and moves money without your knowledge or consent”, financial scams were more complex.
“They [financial scams] involve authorised transactions in which the victim willingly sends money, but does so due to deception on the part of the scammer. The key element is manipulation. The scammer convinces the individual that the payment is legitimate,” the Central Bank stated.
“This distinction is critical. Once you authorise a payment, even if you were misled, it can be difficult or impossible to recover the funds, particularly with fast, digital payment systems where transactions are almost instant and hard to reverse.”
The bank explained that scams were increasing because “as more financial activity moves online, scammers have more opportunities to reach potential victims”.
“Digital platforms allow criminals to operate across borders, impersonate trusted individuals or institutions, and create convincing narratives all while often remaining anonymous,” the Central Bank said.
“Newer payment systems, including BiMPay, incorporate strong security features like encryption and fraud detection systems to prevent breaches and hostile takeovers of users’ accounts.
“However, these are less effective when it is the account holder who has been manipulated into making the transaction or granting access to their account. It’s critical, therefore, that you are able to recognise the signs of a financial scam.”
The Central Bank said some common scams were investment ones which promised high returns with little or no risk and often encouraged quick decisions. Another involved emotional manipulation where “scammers build relationships over time, often through social media or dating platforms, before requesting money for emergencies or travel”.
There were also purchase scams that involved fake goods or services advertised online where victims pay up front but never receive the item.
Imposters
The Central Bank also warned customers of imposter scams, where “criminals pose as trusted organisations such as banks, Government agencies or utility companies, claiming urgent issues that require payment or sensitive information”.
Meanwhile, the FSC recently alerted the public that an individual named “Christopher Walcott” was not authorised to conduct any activities on its behalf.
“The commission wishes to make it unequivocally clear that there is no Christopher Walcott employed by, affiliated with or acting on behalf of the commission in any capacity,” the regulator stated.
“Further, there is no person bearing the name Christopher Walcott who is registered, licensed or otherwise authorised by the commission to conduct financial services business in or from within Barbados. The commission, therefore, advises members of the public to exercise caution in relation to carrying on business with the said Christopher Walcott.”
The FSC added: “It is an offence for anyone not registered with the commission to offer investment advice, sell financial products or deal in securities. Such activities are required by law to be registered with and regulated by the commission.
“The public is therefore encouraged to notify the commission of situations where entities or individuals engage in these practices without being duly registered with and/or licensed by the commission.”
Millington said the prevalence of online activities using “person-aligned spam” was a growing threat because of its increased sophistication stemming from “ the use of artificial intelligence (AI) and AI-enabled cybercrime tools to produce it”.
“The use of deep-fake videos, pictures and voice communication is on the rise, and the emotional effect to act is very real. One must be very cautious with emails, even from known and trusted sources. Individuals and businesses must understand the new dimension of spam,” he warned.
“I encourage all businesses and individuals to understand the threats posed by digital communications and develop the knowledge to reduce risk to themselves and their stakeholders.”
A SCREEN SHOT from the Central Bank of Barbados’ website showing some of the common types of
financial scams. (GP)
INFORMATION SYSTEMS security expert Edward
Millington.
(FP)
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