Shipping Documents Scam

In international trade, shipping documents are everything. They prove ownership, confirm shipment, and allow banks to process payments. Unfortunately, scammers know this too well and often exploit forged or manipulated documents to trick brokers and buyers. Here are three common red flags in shipping document scams, and how to avoid them.

1. Forged Bills of Lading (B/L)

How it works:
Fraudsters send falsified Bills of Lading to prove that goods have been shipped. These are often scanned copies with manipulated details or stolen templates from real shipping lines. By the time the fraud is exposed, the goods never existed, or never left the port.

Tips to avoid it:

  • Contact the shipping line directly to verify the B/L reference.

  • Check for inconsistencies in format, font, or spelling.

  • Be cautious of only receiving scanned documents, insist on telex release confirmation or independent verification.

2. Early Document Requests for Payment

How it works:
Scammers pressure buyers to release payment against documents that appear genuine but are never verified. They may request partial or full payment upon presentation of a fake Bill of Lading or Certificate of Origin, knowing banks often process quickly under documentary terms.

Tips to avoid it:

  • Never release funds until documents are independently validated.

  • Use trusted trade finance institutions or escrow services.

  • Confirm details (vessel, loading port, container numbers) with third parties before authorising payment.

3. Incomplete or Inconsistent Document Sets

How it works:
Legitimate shipping requires a complete set of documents: Bill of Lading, Packing List, Invoice, Certificate of Origin, Insurance, etc. Scammers often provide incomplete sets or mix details that don’t match (e.g., different quantities on the Invoice vs. B/L). They count on brokers overlooking small errors under time pressure.

Tips to avoid it:

  • Cross-check every document for consistency (dates, weights, product specs).

  • Don’t accept excuses for missing documents, delays in producing them are often a sign of fraud.

  • Build a checklist system for every transaction to catch mismatches early.

Shipping documents are the backbone of global trade, but also a prime target for fraudsters. By verifying documents directly with issuing authorities, cross-checking details, and refusing to rush payments, you can protect yourself and your partners from costly scams.

Red Flags Ai Ltd