Increased Sophistication In ‘Forward Fee’ And Financing Scams: Red Flags And Practical Mitigation Steps

There has been a noticeable uptick in sophisticated scam arrangements targeting corporates in the energy, infrastructure and broader commercial sectors, particularly in relation to purported financing and procurement opportunities.

These schemes no longer follow a basic level of complexity. In several recent matters, counterparties presented seemingly credible transaction packages and supporting documentation, including:

• professionally prepared financing agreements tailored to the client;
• audited financial statements attributed to reputable international audit firms;
• commercial registration documents and corporate materials; and
• credible group structures involving well-known regional entities.