Purchase order fraud
Purchase order fraud uses a false or misrepresented order to obtain goods or services without the claimed buyer's legitimate authorization or intended payment.
The seller can be the victim
Someone impersonates a buyer and asks a vendor to release goods on credit. The immediate loss can be the shipment itself, rather than a payment sent to the wrong bank account.
The FBI’s 2023 advisory describes false credit references and tax forms used to obtain Net-30 or Net-60 terms. Those terms gave criminals time to place more orders before the unpaid bills exposed the fraud. GSA’s Inspector General also documented fake government requests for quotes and purchase orders.
A purchase order is the buyer’s request to supply something. An invoice is the seller’s request for payment. Keeping that distinction clear helps explain why invoice fraud checks alone will not protect a vendor about to ship goods to a fictitious buyer.
Before dispatch
Confirm the buyer and order through independently obtained contact details. Check the delivery instructions as well: a recognizable agency name on the paperwork does not establish that the destination belongs to it. GSA recommends researching delivery addresses and confirming suspicious requests with the procurement official.
The purchase-order article follows those decisions through sales, credit, and dispatch. If goods have already left, give the fulfillment and fraud-response teams the order, correspondence, delivery changes, and shipment record promptly so they can assess the available options.