Fake taxi fraud drains helpful bystanders' bank accounts in Winnipeg, police say

An emerging taxi fraud in Winnipeg swindles bystanders into helping cover a fake ride fare and then drains their bank accounts in a card-skimming operation, police warn.

Fraudsters posing as taxi operators and passengers are roaming high-traffic areas in the city, such as parking lots, in vehicles displaying fake taxi signs on their roofs, police said.

The fraud starts when a person posing as a taxi passenger exits the car and approaches a bystander, telling the person the taxi driver is not accepting cash for the fare.

The passenger then asks the bystander to use their debit card to pay for the ride in exchange for cash.

Once the card is handed in for the payment, skimming techniques are used to withdraw "far more" than the alleged fare amount, police said.

The fraudsters either manufacture a new card with the victim's PIN, or keep the original card and give the victim back a different one,saidWinnipeg police Const.Dani McKinnon.

"It's really a crime of quick opportunity and sleight of hand," McKinnon told CBC News in an interview Wednesday.

'Happening across Canada'

About a dozen reports have been filed to police about the scam, McKinnon said, but it's not limited to Winnipeg.

"This is happening across Canada," she said. "Either they are all working collectively together or they're just going, 'Wow, that's interesting, let's try it here.'"

Authorities in other Canadian jurisdictions have also warned of similar taxiscams targeting residentsin EdmontonandCalgary, as well asin southern Ontario, includingKingstonandOttawa.

McKinnon said the taxi fraud has been reported indifferent neighbourhoods in Winnipeg, and it is unclear at this time how many people are involved in it.

Police are also still trying to determine the dollar amount that has been swindled through the scam so far.

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Fake taxi scam costs Canadians thousands

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Scammers are posing as taxi drivers in Canadian cities to access peoples debit card information and steal money directly from their bank accounts, but Amazon refuses to stop selling what appears to be a key element of the scam a generic light-up taxi sign.

Police are cautioningpeoplenot to allow strangers to borrow their credit or debit cards with the promise of cash in return, given that the security PIN can be acquired and used afterward.

"There's many ways you can do good deeds to citizens in our community. Let's not make sharing your debit card one of them," McKinnon said. "The likelihood of you being victimized is very high."

Shealso reminded cab customers thatall legitimate taxis have decals with the company's name on their doors, as well as three-digit identification numbers outside and inside the car.

As well, "all taxis accept cash in our city," she added.

McKinnonsaid police are asking anyone who hasbeen the victim of a scam to file a report,evenif someone attempted to pull the fraud unsuccessfully. Residents are also asked to contact police if they spot what seems to be an illegitimate taxi.

"We need to catch them in the act. We need to be able to find out more about the vehicles they're in. in order to do the followup," she said.

Any suspicious transactions or fraud attempts can be reported to police or through the city's complaints line at 311.