Eagle Mountain reported a $1.13 million payment-fraud loss from August 2022
The city's October 2024 release says an email impersonation scheme in August 2022 cost $1.13 million, with $400,000 recovered so far, and announced a settlement with its construction contractor.
Continuing story: Auditing Eagle Mountain
On Sept. 20, 2022 the City Administrator told the council in a work session about an ACH fraud incident. The minutes record that the FBI found outside actors responsible and cleared city and vendor employees, and that fund recovery was unlikely except through the insurer. [1]
On Oct. 3, 2024 the city announced a settlement of a legal dispute with its construction contractor, headlined as following a loss of $1.13 million. [2] The city's release says an August 2022 cybercrime involving an external email impersonation scheme targeted a financial transaction tied to a major infrastructure project, and that $400,000 had been recovered so far. It says an IT review found no security breach in the city's internal systems and that no resident, client or vendor information was compromised. It says the city is cooperating with the FBI and had strengthened its financial policies, especially for ACH payments. [3]
Sources
- Eagle Mountain City Council · Minutes, Sept. 20, 2022
- Eagle Mountain City · EMC reaches settlement with contractor following loss of $1.13M (Oct. 3, 2024)
- Eagle Mountain City · Press release: legal settlement, Oct. 3, 2024
Reporting by The Utah Ledger from the public records above. AI-assisted, checked against those records.