AFP charge four men in relation to global $150M cyber scam
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The Australian Federal Police (AFP) have charged four men over their involvement in a massive cyber scam that saw people worldwide lose about $US 100 million (approximately $150 million AUD).
Investigators say the four men, predominantly students from China, are accused of working with the syndicate behind the scam by registering companies (fronts) with the Australian Securities and Investments Commission (ASIC).
In addition, they also opened business accounts with Australian banks to launder money sourced in the elaborate scams.
Twenty-four bank accounts tied to the syndicate containing $22.5 million have been taken over by authorities, according to the ABC.
Each of the men, whose ages range from 19-27, face one count of dealing with proceeds of crime.
Two were arrested in Pyrmont, NSW while two were nabbed separately in Sydney and Melbourne airports attempting to escape to Hong Kong.
Investigators say the two men arrested at the airports are the ringleaders in Australia.
In August of 2022, the US Secret Service informed the AFP of the scam, which primarily targets Americans.
Unsuspecting people were made to believe their money was being put through a legitimate trading platform using a mix of fake and real sites and returns edited to display positive gains.
Authorities are still assessing the extent of the syndicate’s operations when it comes to Australian institutions.
AFP Detective Sergeant Salam Zreika has issued a warning in relation to the prevalence of scams, with people losing their life savings in some instances to fraudsters.
‘It is essential people exercise the utmost caution if cold-approached online or on the phone by people trying to sell financial or investment services. Criminals are ruthless and will stop at nothing to take your money,’ she said.
‘Refrain from investing in foreign exchange, cryptocurrency or speculative investments with people you’ve only ever encountered in the online environment. If you are unsure, get a second opinion from a professional, in-person.’
The four men are set to appear in separate courts on January 18 and 19.
The Australian Competition and Consumer Commission (ACCC) earlier said Aussies are expected to lose $4 billion by the end of this month to scammers.
Authorities have also come out with warnings over the past couple of weeks cautioning people against the resurgence of scams as the climax of the holidays nears.
We’ve told you these tips in one form or another in the past, but they warrant repeating:
1. Research the company or individual you are dealing with. Before doing business with someone, make sure you do your research. Check for any consumer reports about the company or individual, look for reviews and feedback from other customers, and search for any red flags or complaints about the company.
2. Don't give out personal or financial information. Scammers often ask for personal information, such as licence numbers, bank account numbers, or credit card numbers. Never give out this type of information to someone you don't know.
3. Watch for suspicious emails. Be wary of emails that ask for personal information, promise money or prizes, or offer a ‘free trial’ product. If an email looks suspicious, delete it without clicking on any links or attachments.
4. Don't pay up front. If someone is asking for money before delivering a service or product, it's most likely a scam. Legitimate businesses rarely ask for money up front.
5. Don't trust too-good-to-be-true offers. If someone is offering something that seems too good to be true, it probably is. Be wary of deals that seem too good to be true and always read the fine print.
You could also look for updates in our Scam Watch forum on the latest ways scammers trick people out of their money.
If you or anyone you know have fallen victim to a scam, we encourage getting in touch with the ACCC and other government agencies here.
What is your reaction to this news?
Tell us in the comments section below!
Investigators say the four men, predominantly students from China, are accused of working with the syndicate behind the scam by registering companies (fronts) with the Australian Securities and Investments Commission (ASIC).
In addition, they also opened business accounts with Australian banks to launder money sourced in the elaborate scams.
Twenty-four bank accounts tied to the syndicate containing $22.5 million have been taken over by authorities, according to the ABC.
Each of the men, whose ages range from 19-27, face one count of dealing with proceeds of crime.
Two were arrested in Pyrmont, NSW while two were nabbed separately in Sydney and Melbourne airports attempting to escape to Hong Kong.
Investigators say the two men arrested at the airports are the ringleaders in Australia.
The four men were linked to a scam run by an international crime syndicate. Stock Image Credit: Pexels/Tara Winstead
In August of 2022, the US Secret Service informed the AFP of the scam, which primarily targets Americans.
Unsuspecting people were made to believe their money was being put through a legitimate trading platform using a mix of fake and real sites and returns edited to display positive gains.
Authorities are still assessing the extent of the syndicate’s operations when it comes to Australian institutions.
AFP Detective Sergeant Salam Zreika has issued a warning in relation to the prevalence of scams, with people losing their life savings in some instances to fraudsters.
‘It is essential people exercise the utmost caution if cold-approached online or on the phone by people trying to sell financial or investment services. Criminals are ruthless and will stop at nothing to take your money,’ she said.
‘Refrain from investing in foreign exchange, cryptocurrency or speculative investments with people you’ve only ever encountered in the online environment. If you are unsure, get a second opinion from a professional, in-person.’
The four men are set to appear in separate courts on January 18 and 19.
The Australian Competition and Consumer Commission (ACCC) earlier said Aussies are expected to lose $4 billion by the end of this month to scammers.
Scammers have been coming up with tricky ways to swindle people out of their money. Stock Image Credit: Pexels/Mikhail Nilov
Authorities have also come out with warnings over the past couple of weeks cautioning people against the resurgence of scams as the climax of the holidays nears.
We’ve told you these tips in one form or another in the past, but they warrant repeating:
1. Research the company or individual you are dealing with. Before doing business with someone, make sure you do your research. Check for any consumer reports about the company or individual, look for reviews and feedback from other customers, and search for any red flags or complaints about the company.
2. Don't give out personal or financial information. Scammers often ask for personal information, such as licence numbers, bank account numbers, or credit card numbers. Never give out this type of information to someone you don't know.
3. Watch for suspicious emails. Be wary of emails that ask for personal information, promise money or prizes, or offer a ‘free trial’ product. If an email looks suspicious, delete it without clicking on any links or attachments.
4. Don't pay up front. If someone is asking for money before delivering a service or product, it's most likely a scam. Legitimate businesses rarely ask for money up front.
5. Don't trust too-good-to-be-true offers. If someone is offering something that seems too good to be true, it probably is. Be wary of deals that seem too good to be true and always read the fine print.
If you or anyone you know have fallen victim to a scam, we encourage getting in touch with the ACCC and other government agencies here.
What is your reaction to this news?
Tell us in the comments section below!
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