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Sophisticated phishing scam steals $3M from Vermont’s largest solid waste district

By Timothy Page

SOUTH BURLINGTON, Vt. — The Chittenden Solid Waste District (CSWD), Vermont’s largest solid waste management entity, has fallen victim to a highly sophisticated phishing scam, losing $3 million—nearly 20% of its $15.6 million fiscal year 2026 budget.

The fraud occurred during payments related to the ongoing construction of a new Materials Recycling Facility (MRF) in Williston. Scammers impersonated CSWD’s legitimate construction partner by sending emails with “nearly identical” addresses and even including a photo of a real finance team member. This tricked experienced staff into wiring two payments totaling $3 million to cover what they believed was a past-due invoice and a current one.

The scheme was uncovered when the actual construction partner notified CSWD that they had not received the funds for those invoices. Sarah Reeves, CSWD’s Executive Director, described it as a “highly sophisticated scam that misled even experienced and trained staff,” adding, “We are devastated.” Officials emphasized that the MRF project will continue uninterrupted and is on track for completion in early 2027, with additional safeguards now being implemented to prevent future incidents.

CSWD is sharing the story publicly to warn other municipalities, organizations, and businesses to double- or triple-check transactions. Vermont’s Attorney General reportedly believes this may be the largest amount ever lost to a phishing scam in the state. No details on recovery efforts, specific law enforcement involvement, or arrests were immediately available.

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