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Business Consumer Alliance Blog

Blowing Smoke: Fire Inspection Scam Alert

Fire equipment inspection service scams have been around for decades. Although the schemes have evolved over the years, the basic premise remains the same—the scammers are out to rip off unsuspecting businesses. Small business owners especially should be on the lookout for this type of activity.

Fire Inspection Scams

Typically, these crooks make unsolicited visits to area businesses, claiming to be an authorized fire equipment inspection company. Some have even misrepresented themselves as employees of the local fire department and have gone so far as to dress similarly to actual fire officials. These scam artists often claim to have been dispatched to provide on-site visual inspection of fire protection equipment, such as fire sprinklers and extinguishers. They may even claim to be there for an annual state required inspection, test, and certification. Once they gain access to the business, they then do a brief “examination”, usually no more than ten minutes, place a sticker on the fire extinguisher(s), ask for a signature on their verification form, and leave. Shortly after their visit, the scam company sends fraudulent invoices billing for inspection services and, in some cases, multiple inspections. The invoices can range from a few hundred to thousands of dollars.

Owners who contact the companies about the phony invoices are generally informed that the services were authorized and are threatened with further collection action, even litigation, if they fail to remit payment at once. Some have been able to get the schemers to cancel the invoices, while others find it difficult to obtain refunds in cases where the fraudulent bill was paid.

Not only do these deceitful practices hit owners in their wallets, they also can lead to safety concerns. Businesses that believe their equipment has been serviced and inspected may have equipment that is not up to code, or that needs to be replaced.

Fire officials nationwide have issued warnings to businesses warning them to look out for these swindlers. If your business receives an unsolicited visit from anyone claiming to be a fire official authorized to inspect your equipment, contact your local police department. Businesses should caution their employees to also be on alert. Some tips that may help you ward off these criminals are:

  • Always ask for identification from any unsolicited visitor claiming to be on official business, asking to inspect your property or equipment. Contact the local fire department and confirm if the representative is authorized.
     
  • Be wary of unfamiliar personnel wearing uniforms with patches similar to those worn by fire department staff, giving the impression that they are from the fire department. Official inspectors arrive in visibly marked vehicles, not private unmarked cars.
     
  • Most often, when officials are done with an inspection, they leave a written copy of their findings on a form that has the Fire Department’s official seal. Contact the local Fire Department to verify the validity of any invoice received regarding inspection services.
     
  • Check with the local authority about inspections. In some areas, the officials charge nothing for routine inspections.
     
  • Refuse to do business with anyone using high-pressure tactics to get you to utilize their services.
     
  • Businesses have the right to dispute any bills for work they did not authorize or that was performed under false pretenses.

As always, if you have been a victim of this type of scam, warn others by filing a complaint with BCA. Being aware of these types of situations may help business owners avoid getting burnt by scammers that are only blowing smoke.

Do you know of a company in your area that's operating a scam? Report it to BCA's Scam Watch team so we can investigate.