A law enforcement and internal investigation have begun in Cañon City after a “fraudulent financial transaction” on Friday gave city funds to an incorrect vendor.

The city said the fraudulent vendor represented themselves as a current vendor and it will be able to recover all but $210. It did not state the total amount that was incorrectly transferred. 

At least two federal agencies, the FBI and Federal Trade Commission, were involved in the city’s recovery of the funds along with Cañon City staff, police and the city’s banking institution.

According to the city, quick actions lead to the fraudulent bank account being frozen. Cañon City has “processes and procedures” designed to prevent fraudulent transactions, and an internal investigation will “evaluate the event and procedures.”

“We would like to take this time to remind our residents and businesses to be vigilant about your online safety. There has been a large uptick in occurrences of financial scams such as phishing, smishing, ransomware, among others,” the city’s statement said.