Charlotte Plastic Surgeon Falls Victim to $300K Check Theft: Ways to Prevent Check Washing

In Charlotte, a local plastic surgeon became a target of a widespread issue when he discovered that several checks totaling nearly $300,000 had been stolen from his business. Dr. Garrett Harper, who runs Graper Harper Cosmetic Surgery, shared his shocking experience, highlighting the urgent need for awareness around check fraud.

Stolen Checks and the Discovery

Dr. Harper faced the grim realization when he casually checked his business’ online banking one week after mailing the checks. “I just kind of casually texted our accountant and said, ‘hey, did you end up writing this check to a patient for whatever reason?’” he recounted. “She said ‘no, but I did write that exact amount to the North Carolina Department of Revenue.’”

A check for $34,000 had been stolen and altered, landing in the hands of a woman in Savannah, Georgia. Although the bank was able to reimburse the funds after an investigation, similar thefts followed. A subsequent check for $275,000 made out to the IRS was also compromised and funneled to an unknown account.

The Rising Trend of Check Fraud

Dr. Harper’s alarming experience is part of a larger trend of check fraud, which has seen a staggering 385% increase nationwide since the onset of the pandemic. The U.S. Postal Inspection Service recovers over $1 billion in fraudulent checks and money orders each year, signaling the urgency of addressing this issue.

Lessons Learned and Preventative Steps

After going through this ordeal, Dr. Harper has taken steps to secure his financial dealings. “We’ve now set up accounts with North Carolina Department of Revenue and with the IRS to be able to do it online,” he mentioned.

Expert Advice on Prevention

In light of such incidents, the American Bankers Association offers crucial recommendations to minimize the risk of check fraud, including:

• Consider making payments using e-checks, ACH automatic payments, and other electronic payment methods.
• Use pens with indelible black ink to make it difficult to wash checks.
• Avoid leaving blank spaces in the payee or amount lines on checks.

Concluding Thoughts

Despite recovering his funds, Dr. Harper’s experience is a stark reminder of the vulnerabilities small businesses face. “If they can steal checks to the IRS, they’re pretty brazen,” he expressed. He encouraged fellow business owners to stay vigilant, saying, “If you’re not on top of things, it can ruin a place’s credit.”

Victims of check washing are advised to file a report online with the United States Postal Inspection Service, local police, and their financial institutions to mitigate the impacts of such fraud.