Fraud attempts with sports and internet betting are growing in Puerto Rico

The analysis also found that digital fraud attempts originating in Puerto Rico had an interannual increase of 16% when comparing the data from January to June of this year with 2022.

“There are several important aspects when trying to measure the impact of digital fraud in a particular industry,” Rodney Curbelo, manager of TransUnion in Puerto Rico, stated in writing.

“Factors such as the overall size and growth rate of different industries need to be considered. “This is not only relevant for contextualizing fraud-related data, but also for predicting where fraudsters might focus their efforts in the future,” the executive added.

Another significant finding was the growing risk in the financial services industry, which includes digital banking, as it faced the largest increase in fraud attempts initiated from Puerto Rico, with 36%. In turn, this increase in volume is 22% higher than that detected in the first half of 2022.

Meanwhile, 15% more fraud attempts were recorded in online communities, which include social networks; and 11% more in e-commerce transactions.

In contrast, Puerto Rico's travel and leisure industry appears to be more effectively managing fraud threats originating from the island, experiencing 15% fewer fraud threats, even though their digital transactions increased 11%.

“Puerto Rican companies need to take proactive measures to protect themselves and their customers against fraud,” Curbelo added. “This means they must ensure their identity verification and authentication solutions are as up-to-date and robust as possible.”

Curbelo stressed that the urgency responds to the fact that “scammers are innovative and change their focus to where there are new opportunities to obtain illegal financial gains.”

“They will be agile in targeting consumers and businesses in Puerto Rico as the country navigates the current period of global uncertainty and financial pressure,” he added.

TransUnion's analysis is based on its intelligence solutions to detect fraud and verify identity. The rate or percentage of suspected digital fraud attempts reflects interactions that TransUnion customers rejected in real time due to fraud indicators or determined to be fraudulent after a manual review process.

In addition to Puerto Rico, the company conducted specific analyzes by country and region, which included the United States, Brazil, Canada, Chile, Colombia, Dominican Republic, Hong Kong, India, Kenya, Mexico, Namibia, Philippines, Rwanda, South Africa, Spain , United Kingdom and Zambia.

Gaming Commission assures that it has not received complaints
The interim director of the Gaming Commission of the Government of Puerto Rico, Juan Santaella Marchán, meanwhile, assured this Thursday that the regulatory body has not received information, complaints or any notification about acts or suspicions of acts of fraud through the platforms. digital by the Authorized Sports Betting Operators on the Island.

“The regulation in Puerto Rico for this industry is very rigorous. The player is required to register in person and configure their payment and deposit methods. These provisions have the objective of preventing a person from placing bets for another person, and in the same way, they allow a record of each player's monetary transactions to be kept. Added to these are a series of controls that operators are obliged to follow and resources that they must have to maintain the licenses that authorize them to provide service in Puerto Rico,” the official indicated.

On the other hand, the Commission has visibility of the geolocation of the players to ensure that they comply with the conditions of the agreement that they sign when registering with each operator.

As he explained, in those cases where suspicious activity or fraud is detected, operators have the responsibility and obligation to notify both the Gaming Commission and the relevant federal agencies.

“We encourage citizens to place bets in places authorized by the Gaming Commission. In this way, the player prevents incidents of fraud or identity theft. In those cases that may have been victims of a suspicious transaction, you can contact the Investigation and Regulation Office of the Gaming Commission at 787-294-4000 Ext. 2021, Ext. 2034, as well as via email; infocjpr@comjuegos.pr.gov”, he concluded.