Gadens impersonated in US-based recruitment fraud

The firm became aware that its name was being used to manipulate and target individuals by way of fraudulent recruitment practices – without, of course, the knowledge or permission of Gadens.

“Gadens is aware the name of our law firm is being used without our knowledge or permission in connection with an employment scam targeting individuals in the United States,” said the firm in a statement.

The firm reiterated that it is not committing overseas recruitment practices.

“Please be advised that Gadens is not conducting any recruitment outside Australia and is not affiliated with any overseas hiring or job offer communications,” it said.

In a statement provided to Lawyers Weekly, a Gadens spokesperson confirmed that individuals contacted the firm about the validity of the communication used in the employment scam.

“A small number of individuals who were directly approached under the scam contacted the firm, seeking confirmation of the legitimacy of the communication. These individuals have been advised not to engage or provide their personal information, and to report the activity to the appropriate local authorities and agencies,” it said.

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Gadens technology partner Dudley Kneller added: “Unfortunately, we are seeing a number of Australian organisations targeted using AI-based technologies to undertake these recruitment scams. For organisations that have been targeted, it serves as timely reminder to stay vigilant online, to implement appropriate cyber security practices, report anything suspicious and ensure you are managing personal information securely.”

According to the Australian Competition and Consumer Commission (ACCC), the basis of these fraudulent recruitment practices is to scam and target jobseekers for personal information.

“Job and employment scams are targeted to steal money and personal information. Scammers often impersonate legitimate businesses or well-known recruitment agencies.

“They use a variety of methods to advertise non-existent jobs, including messaging platforms or social media platforms,” said the ACCC.

ACCC deputy chair Catriona Lowe claimed the issue is extremely prevalent across Australia, with reported losses of $24.3 million in 2023.

“Jobseekers should be cautious before clicking on unexpected messages and before sending money or information to sources they have not independently verified. As always, be alert and particularly sceptical of promises of good returns for small or basic tasks,” said Lowe.

Lowe claimed that social media has proven to be a valuable tool for bad actors who develop these employment scams.

“In the September [2024] quarter alone, we saw a 146 per cent increase in reported financial losses linked to social media,” she said.

“It shows just how lucrative these scams are for the criminal groups behind them – and serves as a reminder to us all of the need to be suspicious of anyone who unexpectedly contacts us on social media.”

Gadens noted that it is still “actively working” to “report” and “address” the impersonation and misuse of its firm’s name, calling on those who may have received messages from the fraudulent scam to ignore and report.

“If you have received such a message, we recommend that you do not respond, and do not share any personal information. We encourage you to report the incident to local authorities or relevant consumer protection bodies,” it said.