Chinese Iron Ore Scam

When most people think about scams they will think about fairly small scams which commonly only affect one person. Some scams are much bigger and can create huge problems for your finances. There are organized crime rings which profit from these scams and use it to fund their criminal activity.

Corporate Fraud

There is also another type of fraud known as corporate fraud. This is a very serious type of fraud which affects businesses. It makes the playing field unfair and happens more often than you might imagine.

Corporate fraud is made possible because of corrupt officials, and employees. Many employees help themselves to cash that isn't theirs.


One of the most common types of fraud is stealing things from the office. However, espionage also occurs regularly. Corporate scams happen fairly regularly but aren't often uncovered until it's too late.

Iron Ore

Iron Ore is the raw material used to make Steel. This means that it's a very valuable material which often increases in value. Because the production of steel is labor intensive there are large manufacturing plants in China.

Rio Tinto is one of the world's biggest steel producers. It's an Anglo-Australian firm with a long standing history. It has had plants in China for many years.

Rio Tinto and other large steel mills in China get special permission to import iron ore at discounted rates. Corrupt employees high up in the company often over order the amount of iron ore they require so that they can sell it on the black market for an inflated price.

This scam is said to be worth around $100 billion. This means that it's a lot bigger than any other scam that you might know about. The share prices of Rio Tinto fell sharply after these accusations were made.

Online Fraud

Although the Chinese Iron ore scam will probably never affect you, there are frauds to look out for. Online fraud is very common and is becoming more of an issue. There are a number of examples of online frauds which you need to be fully aware of.

Identity theft is one type of fraud which is affecting lots of people on the internet. This is where scammers manage to get their hands on your identity. Not everyone on the internet is a nice person. There are plenty of people trying to make money from your ignorance.

To protect yourself from online fraud you need to ensure your computer is fully protected. Install a virus scanner and high quality firewall to protect your computer from all angles.

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You can protect your computer from viruses without expensive software. Instead, follow these simple tips:

Stay up-to-date on all system updates.

Don't download any email attachments you weren't expecting.

Avoid freeware and peer-to-peer sharing sites.

Use alternative web browsers and email software.