Tech support frauds in India partner with Chinese groups to pick up and launder victim money. How does this system work? Interesting insights into those networks
Money mule networks in the US expanded to 168% in the first half of this year
Los Angeles: Two men (Indians?) arrested for laundering money into gift cards and electronic equipment they sent out of the country; handled $611 million
Does prosecuting scammers work? From time to time I hear people say that you can’t arrest yourself out of scams. To the extent that such voices are saying that there are other things that can be done (education disruption, dealing with the avenues where scam money travels, etc.) that is doubtless true. But I fear that at times this is just as excuse by law enforcement which does not have the resources, training, or internal support to take action. In my experience, though, the frauds do keep a close eye on what enforcers are doing, and since they really don’t want to go to jail they avoid engaging in scams where there has been effective enforcement. For example, after the Southern District of Illinois successfully extradited some scammers who ran call centers in Canada and convicted them in the US the number of fraud call centers in Canada plummeted. And there are other types of frauds and scams that we have eliminated. If burglaries were never prosecuted wouldn't they skyrocket? I doubt they would ever be eliminated, but they might be kept to manageable levels. The crooked and greedy will ever be with us. But we should all honor and encourage the law enforcement agencies that take the time and work to successfully send the crooks to the clink. They are watching what we do.
Need an expert witness for consumer protection or fraud issues? Let me know.
Fraud Studies: Here are links to the studies I’ve written for the Better Business Bureau: puppy fraud, romance fraud; BEC fraud, sweepstakes/lottery fraud, tech support fraud, romance fraud money mules, crooked movers, government imposters, online vehicle sale scams, rental fraud, gift cards, free trial offer frauds, job scams, online shopping fraud, fake check fraud and crypto scams
Fraud News Around the world
- Singapore investigating 274 fraudsters and money mules in most recent effort
- Toledo: Man from India gets 46 months prison, last of eight, for fraud calling and claiming victim needed to move money to a “safe” account; group handled $4 million
- Brooklyn: Jury convicts man from India of laundering money for tech support frauds out of India; handled $12 million
- Florida: Nigerian man who was extradited from the UK gets 90 months prison for inheritance fraud; two others in scheme previously sentenced
- New study finds 27% of banks fraud losses are to scams, and scammers are increasingly personalizing their approaches to potential victims
- Spain bust large phishing scam, arrest 11, seize crypto
- India busts large investment scam supposedly producing Iridium; 30 arrested
- India busts two scam call centers selling fake insurance policies to victims in the UK
- Police in Chicago suburb arrest man who had claimed to be law enforcement and need to keep money “safe;” went to home to pick up funds
- Singapore: Six men fined for “renting” properties they didn’t own
- Miami: Nigerian man gets 97 months prison for inheritance fraud; sent victims US mail letters; 8th member of gang to be sentenced
- New York: Operator of website that was a forum for hacked goods and child porn gets resentenced to three years prison
- Iraq: Baghdad police shut down factory making fake electrical products
- Rochester: Anti fraud push leads to arrest of eight on separate cases; including Indian who picked up gold bars for tech support, romance fraud and other scams
- Ohio: Two Kent State students (from India?) arrested for money laundering for tech support and impersonating FTC officials in claims victims needed to keep money “safe”
- Vandals break humpty dumpty statue from wall at miniature golf course
- Colorado men use cannon to try to shoot tobacco and meth into prison; now staying there
- FTC settles with two individual defendants in student loan debt relief scam
- FTC resolves case with education tech company Clegg over making it hard to cancel subscriptions; to pay $7.5 million
- FTC returns $666,000 to victims of online business opportunity
- Maryland: Previously convicted felon gets 66 months prison for PPP fraud; got $281,000
- Boston: Man pleads guilty to PPP fraud; got $43,000
- Tennessee: Man pleads guilty to fraud in claiming $3.4 million in Covid unemployment tax credits
- Philadelphia: Woman pleads guilty to PPP fraud; got $2 million
- Baltimore: Man pleads guilty to PPP fraud; got more than $500,000
- Sacramento: Man pleads guilty to ID theft to get unemployment benefits; got $1.5 million
- West Virginia: Man gets 14 months prison for PPP fraud; got $2.1 million
- Tennessee: Woman gets 18 months prison for PPP fraud; got$5.1 million
- UN says scam call centers are spreading to East Timor
- Bank of Thailand freezes three million accounts to fight money mules and fraud
- Thailand arrests 48, over half from South Korea, in raid on scam compound
- Thailand and Cambodia agree on joint plan to fight fraud call centers
- Tennessee: Gatlinburg police arrest Canadian man (Chinese?) who went to victims home to pick up money in crypto romance fraud
- Denver: Nigerian man gets 71 months prison for romance fraud; got $1.7 million
- Chinese gangs in SE Asia scam compounds use ChatGPT to con US real estate agents into crypto romance frauds