The City of Pittsburg says it has recovered most of the money lost in a phishing scam that resulted in an unauthorized electronic payment of $913,839.81 earlier this year.
According to city officials, the fraud occurred in February 2026, when a payment intended for a legitimate city vendor was instead sent to a fraudulent bank account after scammers impersonated the vendor. Once city staff discovered the unauthorized transaction, the Pittsburg Police Department immediately began working with state and federal law enforcement agencies, including the FBI, to investigate the incident and recover the stolen funds. Authorities were able to quickly freeze the account that received the payment.
As a result of those efforts, the city has recovered $696,241. Officials said insurance claims are underway to recover the remaining funds, while the FBI and the U.S. Attorney’s Office continue to investigate the case. In response to the incident, the city has strengthened its financial controls, enhanced payment verification procedures and implemented additional cybersecurity measures aimed at preventing similar attacks in the future. City officials acknowledged that cybercriminals have increasingly targeted public agencies across the country through sophisticated phishing and financial fraud schemes. They said the incident has prompted the city to review and improve its security practices while reaffirming its commitment to protecting public funds.
And has any public employee be disciplined if they did not follow procedure?