Lottery and Sweepstakes
There are fraudulent letters circulating throughout the United States. The letter informs the recipient that they have won prize money in a lottery or sweepstakes. The prize money ranges from $30,000.00 to over $100,000.00. The letter further states that there is a processing fee that must be paid prior to the recipient collecting the prize money. A check is enclosed to assist in the processing fee. The checks are in various amounts but to-date range between $3,000.00 and $5,000.00. Although the checks reference Cathay Bank as the drawee bank, the checks are counterfeit. The letter instructs the recipient to deposit the check into their bank account and transfer the funds to a company in Canada. The letter provides a phone number for the recipient to call to obtain transfer instructions. The letter further states that after the funds are transferred, the recipient will receive the grand prize. Many victims of this scam have already transferred the funds to the company in Canada. Unfortunately, these victims may be responsible for reimbursing their bank for the counterfeit check amount.