Reinstated MC Numbers
In a time where frauds and scams become more prevalent, there is an increase in the number of older MC numbers being reinstated. While the reinstatement of MC numbers is not necessarily fraudulent, it serves as reminder for carriers and brokers to research companies they are doing with for the first time. According to Internet Truckstop, 22% of the reinstated MC numbers were not reinstated by the original owner. The MC number was purchased by a different company thus the need for due diligence when selecting a carrier or broker.
One of the advantages for a carrier or broker to purchase an older MC number is to make it appear they have been in business longer than they have. This appearance lends to immediate credibility for the purchaser and make them a more viable selection for an interested carrier or broker. While not always the case, these MC numbers can be purchased by individuals looking to commit fraud.
All America Transportation Inc. instituted our own due diligence policy earlier this year. Tools such as Carrier Watch and Safer System allows All America Transportation Inc. to research carriers prior to selection. In turn this information is recorded on an in house carrier qualification check list and filed along with all associated carrier paperwork. Selection parameters include CSA Ratings, safety ratings, and the TIA Watchdog Ratings.