What to Do if You're a Victim of Cargo Theft

If you've been a victim of cargo theft, the first thing you should do is confirm the location of the load and contact law enforcement. Ensure you preserve any communications related to the load, and pass along all relevant information to your insurance and your supply chain partners. Once the legal dust settles, report the incident to relevant industry authorities like TIA, CargoNet, and GenLogs.

No matter your line of work, an early-morning phone call is never a good sign. For some people, it can mean an extra assignment or a rushed deadline. But for those of us in the freight industry, it can mean something much worse.

If you've received that call, you know how harrowing it can be to realize you've been a victim of cargo theft. It's not just your cargo that gets stolen; it's your peace of mind and sense of security in your operations. For some it can even mean losing their identity, an identity built over decades of service wiped out overnight through no fault of their own.

Whether your business has been targeted or not, it's important to learn what the signs are of each type of cargo theft and what to do when it happens to you.

If you are a broker...

Your liability lies primarily in your data. Who you send that rate confirmation to, and how much information you give them, will all have a massive impact on the security of that cargo. Unfortunately, you likely won't realize anything has gone wrong until the load is already in trouble.

..you're most likely to be the victim of...

Double-brokering

While this doesn't always to cargo theft, when used to facilitate theft, double-brokering is a particularly insidious tool in a criminal's toolkit. Combat this threat by forming strong relationships with carriers you trust and regularly validating that they're still in control of their identity.

What it will look like

• The paperwork from an accident report doesn’t show the right carrier name
• You aren’t able to get your usual tracking information or updates from your carrier
• A load failing to be picked up because the double-brokered driver fell through
• A carrier letting you know there’s multiple delays at the receiver, or suddenly dropping communications
• Your carrier says they never booked the load, but the shipper is calling you to report that it failed to reach its destination

What to do next

1. If one of your loads is in serious legal trouble, contact a lawyer as soon as possible.
2. If needed, contact a broker specializing in emergency coverage to help take the cargo the rest of the way.
3. Once you have confirmed the source of the double-brokering, take steps to secure your data. Revoke access to any accounts, change passwords/credentials where needed, and inspect all other active loads.
4. Reconfirm a firm no-double-brokering stance with your other carriers, and establish a tracking requirement to prevent future incidents.

Ransoming

This was us. Our digital checks did nothing to prevent our cargo from falling into the hands of ransomers.

What it will look like

• A phone call letting you know your cargo is being held and demanding payment for its return

What to do next

1. Pay attention to everything they say. Take note of the payment method they demand, along with any routing numbers or associated information. Record the call and any other correspondence.
2. Do not pay any ransom or agree to meet any demands.
3. Contact the non-emergency line of your local law enforcement to report the theft. Ask to be connected to specialized cargo theft enforcement agencies/authorities if local law enforcement is unable to assist.
4. Contact your consignor, shipper, and insurance to inform them of the stolen cargo.

If you are a shipper...

Your liability lies in the physical cargo. As the primary storer and loader, you bear responsibility for ensuring the right cargo goes to the right person.

...you're most likely to be the victim of...

Driver impersonation

Many thieves will simply acquire the load number and name of the shipping company. While this is effective, it’s only effective because of the lack of standardization in carrier operations

What it will look like

• A new face arriving at the dock, offering little identifying information or documentation
• Hastily applied company decals matching the assigned carrier
• A driver attempting to check in for a load that’s already been picked up

What to do next

1. Contact local law enforcement and give them the truck’s information
2. Contact the broker to inform them of the theft
3. Re-check all outgoing loads

Carrier impersonation

More savvy thieves might impersonate the carrier itself, either spoofing documentation or (increasingly commonly) simply purchasing a reputable but insolvent carrier

What it will look like

• Sudden change in contact information, like email domain or phone number
• Recent FMCSA contact information changes
• Unusual payment instructions or pressure to release loads

What to do next

1. Report the theft to local law enforcement
2. Contact the broker to alert them to the stolen load
3. Contact the carrier to inform them that their identity has been compromised

If you are a carrier...

Your primary liability is your identity. One case of fraud can tank the reputation you've worked so hard to build. Unfortunately, many carriers do little to secure their most valuable asset.

...you're most likely to be the victim of...

Identity Theft

The identifying information needed to impersonate a carrier is sent out every day, with many businesses paying little mind to data security

What it will look like

• An angry phone call about a load you’ve never booked

What to do next

1. Check whether the FMCSA registration has been changed.
2. Notify the administrators of the load boards you participate in
3. Secure your email, load board, and other accounts
4. Reach out to your partners to warn them of the fraudulent activity occurring under your name

Rerouting

While the type of hijacking you see in movies does still occur, an increasingly common attack vector is for thieves to remotely hijack loads by rerouting them.

What it will look like

• A phone call from a driver letting you know the load was delivered to a place you don’t remember it going to
• Inquiries about email addresses suspiciously similar to your own

What to do next

1. Stop the shipment if possible
2. Confirm who issued the new destination
3. Investigate your accounts to see if one was compromised

Of course, even knowing what to do if you're a victim of cargo theft doesn't make the process any more pleasant. But you aren't alone. Organizations across the industry are working around the clock to prevent and combat cargo theft, and we're all working for the common goal of ensuring that reputable businesses don't fall victim to the actions of criminals.

Organizations like TIA, CargoNet, and GenLogs have cargo theft reporting systems which aggregate theft data from thousands of businesses across America to study trends and help law enforcement better tackle this growing threat. Reporting the theft to them will not only help you, but also every other business owner just like you who's been a victim of cargo theft.

If you're ready to go beyond reporting and take the next step in securing your freight, contact OnSight now!