Noosa Council โConfirms $2 Million Lossโค inโ Alleged International Fraud
Noosa, Queensland – Noosa Council has revealed it โlost $2 million inโ an alleged โขinternational fraud incident that occurred 10 months ago.โข The council publicly disclosed the details on Monday evening via a statementโฃ on โits โwebsite and a social media post, prompting questions about the โคdelay in releasing the data.
Chief Executive Officer roger Sengstock โคdefended the timing โคof the announcement, stating he was restricted from speaking publicly sooner to avoidโ compromisingโค an ongoingโข examination. “I had been unable โto do โsoโค until now,โค soโ as not to compromise [the] โฃ ongoing investigation,”โค Sengstock said in a statement.
The council reported theโ incident to โthe Queensland Audit Office and โrelevant ministers,fulfilling its statutory responsibilities,according to Sengstock. He further revealed that the alleged perpetrators โwere already under investigationโ and that “social engineering โAI โคtechniques”โ were employed in theโ fraud. While details remainโ limited, Noosa Council confirmed these โคtechniques can include tools like deepfake video โฃand audio, but โขdeclined to comment further on specifics.
In responseโฃ to the incident, an “incident crisis response team” was immediately established, and existing operating procedures were reviewed to mitigate future risks. The โคcouncil has โalready begun implementingโข improvements to its financial processes โbased on recommendations โfrom the Queensland Audit Office, โincluding the installation of additional third-party software.
“Council โtakesโ its financial obligationโ very seriously and on behalf of management, I am โsorry that this has happened,”โฃ Sengstock stated. He also issued a warning โฃto other councils and localโ businesses to remain vigilant and continuously review their financial โฃprocedures.
Despite the significant โfinancial loss, Sengstock expressed relief that no individuals were directlyโ impacted and thatโ theโ incident did not disrupt council operations or ongoing projects.
The incident highlights the growing threat ofโ sophisticated โขfraud targeting local governments, and the increasing useโ of artificial intelligence in criminal activity. Noosa Council’s response underscores the importance of robust โฃfinancial controls and proactive cybersecurity measures in the public โsector.
(ABC Sunshine Coast:โค Owen Jacques) – Image accompanying the original โคreport shows a general viewโ of Noosa Council.