Are you a farmer who likes to look for used equipment online? It can be a great way to save some money. But Federal Trade Commission (FTC) officials are issuing new warnings about scammers impersonating farm equipment businesses and advertising machinery that simply doesn’t exist. The FTC is investigating several recent cases focused on thousands of dollars wired by farmers for equipment that never arrived.
They say the scam often follows a similar pattern, too. A farmer finds a piece of equipment at what appears to be a reasonable price, contacts the seller, and receives a purchase agreement and invoice. The seller then requests a wire transfer, and schedules delivery.
But delivery day comes — and the equipment doesn’t.
The $20,000 backhoe that never arrived
One farmer reports finding what appeared to be the equipment he’d been looking to buy. It was a John Deere 310 backhoe priced around $20,000. He sent the money and expected the backhoe to arrive on a Thursday, a few weeks later. When it didn’t show up, the seller blamed a loading mix-up and promised delivery over the weekend.
“Monday rolled around, still no backhoe,” the farmer told FTC officials.
Turns out, he isn’t alone.
A Better Business Bureau Scam Tracker report from earlier this month involves a buyer who reported losing $44,000 to a company called Bedford Farm Equipment. And another report involves a $24,000 loss to DFF Equipment after the buyer received what appeared to be legitimate shipping information — but nothing ever arrived.
Some scammers are facing charges
Authorities are pursuing crooks accused of operating fraudulent equipment businesses. Federal officials recently arrested Bogdan Alexandru Gherghevici, who is now facing wire fraud charges. Prosecutors say Gherghevici was able to steal more than $600,000 in connection to a scheme targeting farmers in the southeastern part of the country.
Officials with the FTC say if you are a buyer, you should be especially cautious when purchasing expensive equipment online. They suggest verifying that a seller and the equipment are legitimate before sending payment.
And there may also be a new wrinkle. Artificial intelligence can make fake equipment websites look convincing. And for farmers, that means a professional-looking website isn’t necessarily proof that the business — or the equipment — is real.
Before you wire thousands of dollars for farm equipment, verify the seller independently, confirm the equipment actually exists, and be extremely cautious about pressure to pay by wire transfer.
If you believe you’ve been the victim of a similar scam, you can report it here.
You can also find more information about shopping safely online here.
