Many of us are familiar with 'phishing'. This is the means by which fraudsters acquire sensitive information, such as bank account details, by posing as a known or trustworthy entity in an electronic communication. One of the latest pools in which fraudsters have decided to phish, however, is that of the e-mail accounts of real estate conveyancing solicitors. It seems that this has been a lucrative recent development for cybercriminals because a combination of ignorance of the risks; the general public's rightful trust in solicitors' firms and the conveyancing process; the tempting prospect of purchase monies; and a lack of sufficient data security has meant that, just in the last few months, significant property transaction funds have fallen prey to fraud.

Property investors at risk
In what are being described as some of the most worrying scams seen by the Solicitors' Regulation Authority, fraudsters are
hacking into law firm e-mail accounts and intercepting e-mails between solicitors and their clients and between solicitors and their counterparts in conveyancing transactions.

Despite heightened awareness of, and action to combat, money laundering and ID fraud, it is nevertheless commonplace today for entire transactions to take place electronically. Increasingly, ID checks can be carried out via eVerification, which means that sensitive personal data is communicated electronically from the outset. Even where solicitors and clients meet face-to-face initially, the bulk of conveyancing transactions, whether residential or in a commercial real estate context, are conducted almost entirely over e-mail. Initial instructions and seller's information packs contain personal and financial data for clients; and pre-exchange and pre-completion advice contain solicitors' bank account details and payment instructions.