Cyberfraud Costs CannGroup $3.6 Million

Reported yesterday in the AFR

To use an analogy they hadn’t even gotten around to building the brewery before organising the pissup

Ganjapreneur report

Cann Group Limited in Australia said last week it lost $3.6 million when payments meant for an overseas contractor were, “received by an unknown third party as a result of a complex and sophisticated cyber fraud.”

First up here is the official announcement

This is the key sentence

The Company has recently made payments of approximately A$3.6 million to an overseas contractor (in relation to works being undertaken for Cann’s Mildura facility), however those payments have been received by an unknown third party as a result of a complex and sophisticated cyber fraud perpetrated against the Company and its overseas contractor.

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Here at CLR we’ve been asking (into the wind) why on earth it was so important for their deal that they have overseas contractors build their facility in the middle of a pandemic. Obviosuly it was so that somebody could Cyber-Scam them

See

Cann Group Australia: Just In -“24 November 10am 2020 Chairman’s & CEO’s addresses to Annual General Meeting”
Australia: Cann Group Announce This Morning They Have Secured $50 Million Debt Facility From National Australia Bank

There’s plenty more stories of this ilk at the site – just use our search function

Bizarrely on the announcement their share price is up.

So the question now is – how long does the insurance claim take, will insurance pay and do they still need to bring in an overseas contractor to do the work or suddenly miraculously we’ll see a press release saying they have hired an Australian contractor.

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