SG is financial loss/fraud/scam hub. Huat ah!

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Fixed deposit scam boasting high interest rates claims 12 victims, losses amount to $650,000​

The scammers would impersonate bank agents by using staff passes. PHOTO: SINGAPORE POLICE FORCE

Wallace Woon

APR 12, 2024

SINGAPORE - A series of scams promoting fixed deposit schemes with high interest rates has claimed at least 12 victims, with losses amounting to $650,000 since January.
The police said in a statement on April 11 that the victims would receive an SMS message from scammers who used unknown numbers beginning with +65.
The messages would claim to be sent from banks and offer the victims fixed deposit schemes with high interest rates that had a limited period for registration.
For example, one message from “UOB Bank” offered an interest rate of 4.38 per cent per annum. Current fixed deposit interest rates range between 2.6 per cent and 3.35 per cent, an online check by The Straits Times showed.
The victims would then be instructed to contact a number, provided within the text message, if they were interested and to obtain more information.
When contacted via the number, the scammers would pose as bank agents – providing fraudulent identification such as staff passes.
The victims’ personal particulars would then be requested by the scammers under the guise of applying for the “promotion”, with a new bank account registered under the victims’ names. In some cases, scammers would send forged bank statements to the victims to convince them that new bank accounts had been created under their names.

The victims would then be instructed to deposit or transfer money into these accounts. The conmen would dissuade them from verifying the accounts by claiming that the accounts were meant to “hold the funds prior to the creation of their account”, or lying that there was an “activation period”.
Victims would realise they had been scammed only after logging into their banking applications and finding no changes made to the system records.
After checking directly with the banks, the victims would find out that the accounts – which they had transferred money to – belonged to other individuals and were not the supposed fixed deposit accounts created for them.

A fake SMS message (left) from scammers who used unknown numbers beginning with +65. In some cases, scammers would send forged bank statements (right) to the victims to convince them that new bank accounts had been created under their names. PHOTOS: SINGAPORE POLICE FORCE
The police said those who have information on similar crimes should call the police hotline on 1800-255-0000 or submit it online at www.police.gov.sg/iwitness.
The public can also visit www.scamalert.sg or call the Anti-Scam Helpline on 1800-722-6688 for more information on scams.

 

[k1976]

https://www.bbc.com/news/world-asia-66840450

 

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Man jailed for cheating more than 10 victims of over $156k in luxury-watch scam​

Shaffiq Alkhatib
Court Correspondent

APR 17, 2024

SINGAPORE – A scammer who needed money after losing heavily on online gambling hatched a plan to cheat people by pretending to sell luxury watches online.
Foo Jun Kang, 29, cheated more than 10 victims of over $156,000 in total after duping them into believing he had watches for sale.
On April 17, the Malaysian was sentenced to jail for two years and two months after he pleaded guilty to two counts of cheating involving more than $91,000. He has not made restitution to the two victims in these cases.
Four other changes were considered during sentencing.
In June 2023, Foo listed several luxury watches purportedly for sale on an online marketplace platform called Little Red Book.
Later that month, a 29-year-old man contacted him through the portal as he wanted to buy some watches.
Between June 29 and July 11, Foo offered him three Rolex timepieces worth more than $44,000 in total.

The victim, who was told that he would receive them by July 14, transferred the amount to Foo.
On Aug 19, the victim lodged a police report after he failed to receive his orders and Foo refused to refund the money.
By using a similar method, Foo cheated a 30-year-old woman of nearly $47,000 that year. She made a police report on Aug 24.
For each count of cheating, an offender can be jailed for up to 10 years and fined.

 

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American man who ran fraudulent trading scheme involving over $18m gets 39 months’ jail​

Michael Philip Atkins was successfully extradited from the US to Singapore, and re-arrested here on March 18, 2023. PHOTO: FRANKLIN COUNTY SHERIFF’S OFFICE

Shaffiq Alkhatib
Court Correspondent

APR 25, 2024

SINGAPORE – An American man who ran a fraudulent forex trading scheme involving more than $18 million from over 1,300 clients was sentenced to three years and three months’ jail on April 25.
At the time of the offence, Michael Philip Atkins, 51, was a director at Singapore-based firm Aureus Capital.
He was its majority shareholder and had full control of the scheme, which used only a fraction of the clients’ monies for forex trading.
The operation was run in the style of a classic Ponzi scheme, where purported returns to clients were paid using the funds from other clients.
“Such a business model was clearly unsustainable and... the company finally imploded,” said Deputy Public Prosecutor Hon Yi in earlier proceedings.
In the end, the clients received around $12.7 million in total from Aureus Capital and they suffered nearly $6 million in losses.
On April 15, Atkins pleaded guilty in a Singapore district court to carrying on a business for a fraudulent purpose.

Between April 2013 and July 2014, Aureus Capital offered leveraged foreign exchange trading services and schemes.
Clients entered into agreements allowing it to engage in forex trading on their behalf.
Under these agreements, the company would be entitled to 40 per cent to 50 per cent of the profits generated from the trading, while the losses from trading would be fully borne by the clients.


At the time of the offence, Aureus Capital maintained two trading accounts with Oanda Asia Pacific, a separate company which offers foreign exchange trading.
Clients were told that Aureus Capital would manage their funds by trading forex on Oanda. They were also instructed to transfer cash into a bank account.
The bank account received more than $18 million in total from clients between April 2, 2013, and July 15, 2014.
Instead of using the monies for forex trading, more than $14.7 million was used for other purposes, such as paying Aureus Capital’s directors, including Atkins.
Only around $1.7 million of the more than $18 million was deposited into Oanda, the court heard.
Weekly statements sent to clients concealed the fact that only a small portion of clients’ funds was used for forex trading.
The statements reported profits which were not reflective of actual trading results. In fact, Aureus Capital was making losses on its Oanda trading accounts.
The clients said they were told on June 13, 2014, that Aureus Capital needed to cease trading as it was “acquiring a banking licence”.
The clients did not receive any money when they asked for their investments to be withdrawn.
E-mails from the firm claimed it was being rebranded and that all clients’ monies would be refunded by July 28, 2014.
Clients alerted the police when the company and its directors became uncontactable.
Atkins was arrested in 2014 and an Interpol red notice was issued against him after he jumped bail. Such a notice requests law enforcement units worldwide to locate and provisionally arrest a person pending extradition, surrender or other legal actions.
He was traced to the United States in 2017 and an extradition request was sent to the authorities there in 2020. He was successfully extradited to Singapore and re-arrested here on March 18, 2023.

 

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Director of two firms used to move $18 million in scam monies jailed for more than 10 years​

Chin Hui Shan

APR 25, 2024


SINGAPORE – A 34-year-old man who was the director of two firms that received $18 million from e-mail impersonation scams was sentenced to nine years’ jail and three strokes of the cane, and another enhanced sentence of 450 days’ jail on April 24.
The enhanced sentence was for committing the offences while he was released from prison under a remission order. The police did not say what he was previously jailed for.
Muhammad Zahir Johana pleaded guilty to five charges, including two for drugs and one for possession of an offensive weapon.
The other two related to the bank accounts of his companies being used for criminal activity to receive the scam monies.
Another 10 charges, which included several for drugs and criminal intimidation, were taken into consideration for sentencing.
Zahir was the director of Imcomz Trade and Infra Tradez, which received about $18 million from e-mail impersonation scams perpetrated against foreign companies in December 2021.
He had incorporated both companies under the instructions of an unidentified individual whom he knew as one Mr Ma, whom he met through a group named SG Black Market Hire on Telegram, and was promised a reward of $20,000 for doing so.

To facilitate the incorporation of both companies and the opening of their corporate bank accounts that were used to receive criminal benefits, Zahir relinquished his Singpass credentials to the person, the police said.
Investigations also showed that Zahir had reason to believe that the unidentified individual was engaged in criminal conduct, and that his actions would facilitate the control of this person’s benefits from criminal conduct. This offence carries a jail term of up to 10 years and a fine of up to $500,000.
The police said Zahir also failed to exercise reasonable diligence in the discharge of his duties as a director of both companies and the authorised signatory of the companies’ corporate bank accounts.
As a result, criminal benefits of about $18 million were moved through the corporate accounts of both companies, with most of it later being transferred to several local and overseas bank accounts.
Those found guilty of failing to use reasonable diligence in the discharge of duties as a director can be jailed for up to 12 months or fined up to $5,000.
Those found guilty of relinquishing their Singpass credentials for wrongful gain can be jailed for up to three years and fined up to $10,000.
Zahir had been released from prison under a remission order on Sept 25, 2021, and was to stay out of trouble until May 12, 2024. But because he committed the offences during this period, he was handed an additional enhanced sentence.
The police said they will take stern enforcement actions against anyone who commits these offences and people who knowingly allow their bank accounts to be used by scammers to receive monies, hide their tracks and launder the proceeds of crime.
“There is a need to deter these offenders from using Singapore’s financial system as a conduit for illicit funds as it affects Singapore’s reputation as an international financial centre,” the police added.