Protecting Your Freight fromCargo Theft & Fraud
How AB&M Logistics keeps your shipments secure in an industry plagued by sophisticated fraud schemes
AB&M Logistics Leading the Fight Against Cargo Fraud
Our own David King is spearheading national efforts to establish federal task force for cargo theft prevention
David King
AB&M Logistics
Board Member, Airforwarders Association
Leading Federal Task Force Initiative
David King, a key leader at AB&M Logistics and Board Member of the Airforwarders Association, is spearheading national efforts to combat the cargo theft and fraud crisis threatening the U.S. freight industry.
In October 2025, the Airforwarders Association—where David serves on the board—released groundbreaking survey data revealing that 8 in 10 logistics companies have been impacted by organized freight fraud. The alarming findings prompted David and the AfA to formally call for the establishment of a Federal Cargo Theft and Fraud Task Force.
"Cargo crime is no longer an isolated problem; it is a coordinated, technology-driven threat affecting every part of the logistics chain. We need stronger federal leadership and a unified approach to protect legitimate operators and customers alike."
— David King, AB&M Logistics
AfA Urges DOT to Establish Federal Cargo Theft Task Force
Washington, D.C. | October 23, 2025
The Airforwarders Association (AfA) has urged the U.S. Department of Transportation (DOT) to establish a Federal Cargo Theft and Fraud Task Force, following new data showing that eight in ten AfA members are reporting a significant rise in organized theft and cyber-enabled fraud.
The results show that identity spoofing, fake carrier operations, and fraudulent use of Motor Carrier (MC) and DOT numbers are among the industry's fastest-growing vulnerabilities.
AfA's submission highlights that 80 percent of respondents cited fragmented enforcement and unclear federal authority as major obstacles, while 75 percent reported multi-state barriers that hinder investigations.
To address these challenges, AfA Executive Director Brandon Fried has proposed a dedicated task force led by DOT and the Federal Motor Carrier Safety Administration (FMCSA), working alongside the Federal Bureau of Investigation (FBI) and Department of Justice (DOJ).
He has also recommended a national cargo theft database powered by artificial intelligence, stricter carrier verification rules, and uniform federal penalties for repeat offenders.
The Growing Freight Fraud Crisis
Sophisticated Criminal Operations
Freight fraud has evolved from opportunistic theft to highly organized criminal enterprises. These sophisticated operations use stolen identities, fake DOT authorities, and convincing carrier profiles to infiltrate the supply chain. Once they book a load, they hijack the shipment and disappear, leaving shippers with massive losses and no recourse.
The FBI's Cargo Theft Program reports annual losses exceeding $500 million, with the actual number likely far higher due to underreporting. Criminal organizations specifically target high-value goods including electronics, pharmaceuticals, consumer packaged goods, and automotive parts. These items are easy to resell through online marketplaces and underground networks.
Common Fraud Tactics in 2024-2025
Identity Theft & Fake Carriers
Fraudsters steal legitimate carrier identities, creating fake profiles with valid DOT numbers and insurance certificates. They appear completely legitimate until the load disappears.
Double Brokering Schemes
Dishonest brokers accept loads then re-broker them to unknown carriers (often multiple times), losing chain of custody and accountability. Each handoff increases fraud risk exponentially.
Load Board Scams
Criminals monitor public load boards for high-value shipments, then pose as legitimate carriers to book the load. Over 90% of freight fraud originates from public load board postings.
Strategic Cargo Theft
Organized groups use GPS jammers, fake delivery confirmations, and coordinated teams to steal entire trailers. They target specific commodities and have pre-arranged buyers waiting.
Phishing & Email Compromise
Fraudsters hack email systems to intercept communications, alter pickup details, or redirect shipments. They impersonate legitimate dispatchers and drivers to gain access.
Real-World Impact
A single pharmaceutical shipment stolen can result in $2-5 million in losses. Electronics theft from California warehouses has become so prevalent that some insurers have increased premiums by 40% or stopped covering certain routes entirely.
Beyond financial losses, freight fraud creates supply chain disruptions that ripple through entire industries. Manufacturing lines shut down waiting for stolen parts. Hospitals delay procedures due to missing medical equipment. Retailers face empty shelves during critical selling periods.
The reputational damage can be even worse than the financial loss. Shippers lose customer trust, face breach of contract penalties, and damage relationships built over years. In the logistics industry, your reputation is everything—one major fraud incident can destroy it permanently.
How AB&M Protects Your Freight
Our multi-layered security approach eliminates fraud risk at every stage of the shipping process
Pre-Vetted Carrier Network Only
We maintain direct relationships with trusted carriers we've worked with repeatedly. Every carrier undergoes rigorous vetting including DOT authority verification, insurance validation, safety rating checks, and carrier history review. We know our carriers personally—not through anonymous load boards.
No Public Load Board Exposure
We NEVER post loads on public load boards, eliminating the single highest-risk fraud vector in the industry. Over 90% of freight fraud originates from public postings where criminals monitor for high-value shipments. Our loads only go to pre-approved partners.
Driver Credential Verification
At pickup, we verify driver identity, commercial driver's license, carrier authorization, and vehicle documentation. Our dispatchers confirm the driver matches carrier records and photographs are taken of the driver and vehicle. No exceptions.
Real-Time Tracking & Monitoring
GPS tracking on every shipment with automated alerts for route deviations, unexpected stops, or tampered devices. Our 24/7 dispatch team monitors all active shipments and immediately investigates any suspicious activity or communication gaps.
Direct Communication Protocols
We maintain direct phone contact with drivers throughout transit—never email-only communication. Pickup and delivery confirmations require voice verification. Any change to routing, delivery location, or timing must be approved by multiple parties.
Chain of Custody Documentation
Complete documentation trail from pickup to delivery including photo verification, signature confirmation, and tamper-evident seals for sensitive shipments. Every touchpoint is recorded and verified independently.
Zero Fraud Incidents
In over 15 years of operations, AB&M Logistics has maintained a perfect security record with zero cargo theft or fraud incidents. Our proactive approach works.
Protecting Yourself Beyond Your Broker
While choosing a secure freight broker like AB&M is your first line of defense, shippers should also implement their own fraud prevention practices:
Shipper Best Practices
- Verify broker credentials including MC number, insurance coverage, and Better Business Bureau ratings before engaging
- Request carrier information upfront including DOT number, insurance certificates, and safety ratings
- Never share full shipment details on public forums or social media where criminals monitor for opportunities
- Require photo confirmation at pickup showing driver, truck number, and trailer number matching documentation
- Implement GPS tracking with alerts for geo-fence violations and unexpected route deviations
- Use high-security seals on trailers and document seal numbers with photographic evidence
- Establish verification procedures for any communication requesting routing changes or delivery modifications
- Maintain cybersecurity protocols including multi-factor authentication and encrypted communications
- Partner with law enforcement and industry groups like CargoNet for theft prevention and recovery
- Review cargo insurance policies to ensure adequate coverage for high-value shipments
Red Flags to Watch For
If you're working with a new broker or carrier, watch for these warning signs of potential fraud:
What to Do If Fraud Occurs
If you suspect your shipment has been compromised, immediate action is critical. The first 24 hours are crucial for recovery:
1. Contact Law Enforcement Immediately
File a report with local police, state police, and the FBI's Cargo Theft Program. Provide all documentation including bills of lading, carrier information, and tracking data.
2. Notify Your Broker and Insurance Company
Alert your freight broker (if not already aware) and file an immediate claim with your cargo insurance provider. Time-sensitive notification requirements apply.
3. Report to Industry Databases
Submit reports to CargoNet, NMFTA (National Motor Freight Traffic Association), and other industry theft prevention networks to alert other shippers.
4. Preserve All Evidence
Save all emails, text messages, phone records, documentation, and communications. Do not delete anything—it may be critical for investigation and prosecution.
5. Monitor for Resale Activity
Watch online marketplaces, auction sites, and industry channels where stolen goods commonly appear. Law enforcement can track and recover items if identified quickly.
AB&M Clients: If you ever suspect an issue with your shipment, call our 24/7 emergency line immediately: 803-244-9897
Ship with Confidence
Don't risk your valuable cargo with unknown carriers and public load boards. Partner with AB&M Logistics for fraud-free expedited freight shipping.