California city loses nearly $1M to scammers

A city in California was defrauded of nearly $1 million after scammers impersonated a construction company and a city employee to misappropriate funds for a recreational project. The scammers sent an altered email and hacked an assistant’s account to authorize the payment, which was then quickly moved through multiple accounts, with some funds used to buy bitcoin. Authorities have traced the money to suspects in the US and Nigeria, recovered about $696,000, and are seeking insurance for the remaining amount, while the city has strengthened its payment verification procedures. The project, a sports and recreation complex, is expected to be completed soon despite the financial loss.

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