Southern Oregon University loses $1.9 million in email scheme

ASHLAND, Ore. – Southern Oregon University lost $1.9 million in an email scheme.

The Mail Tribune reported University officials announced the loss Wednesday, stating the funds were intended for the contractor on the McNeal Pavilion and Student Recreation Center. But unknown suspects allegedly posed as Anderson Construction in an email, prompting officials to send the payment to a bank account the contractor did not control.

SOU spokesman Joe Mosley said the university wired the payment the last week of April. The construction company reported three business days later that it never received payment.

Mosley couldn’t share specifics as to how SOU fell prey to the fraud. The university says there is a process in place for vendors to change their bank account numbers.

The FBI is investigating the scheme.