Losses due to jobs & investment scams continue to rise steeply in Australia

Maria Nikolova

As the sum lost to jobs & investment scams jumped 29% in just one week, Scamwatch had to reiterate warnings concerning cold calls and emails about investment opportunities that sound too good to be true.

August continues to bring gloomy news concerning the victims of investment fraud in Australia. The latest snapshot of data provided by Scamwatch, an organization operated by the Australian Competition and Consumer Commission (ACCC) shows that the week to August 27, 2017, was not an exception to the general trend of rising losses due to jobs & investment scams.

The latest numbers show that the losses due to such scams rose 29% in the week to August 27, 2017, reflecting 200 reports. The continued losses have prompted Scamwatch to reiterate its warnings against responding to investment opportunities that sound too good to be true.

In the first week of August, Australia saw a 128% jump in the sum of money lost to jobs & investment fraud, whereas more than $2 million was lost due to jobs & investment scams during the August 14-20 week. This month is likely to be among the months with highest losses due to investment fraud for Australians this year.

The amount lost by Australians due to fraudulent investment schemes has reached $15,246,831 in the first seven months of 2017. The sum lost reflects 1,016 reports submitted to ACCC, with the biggest losses incurred by those aged 55 to 64 years.

In 2016, the ACCC and the Australian Cybercrime Online Reporting Network (ACORN) received a total of 200,103 reports about scams. Losses reported to Scamwatch, ACORN and from other scam disruption programs amount to approximately $300 million.

The worrisome numbers have provoked reaction from the police too. The Queensland Police, for instance, have earlier this month launched an “R U in Control?” campaign targeting fraud. The goal of the campaign is to help Queenslanders avoid becoming a victim of cyber and financial crime. Estimates, quoted by the Queensland Police, show that organised crime costs the Australian economy $21 billion per year with $8.5 billion of that figure stemming from cyber, identity and corporate crime.

Read this next

Institutional FX

Invast Global ramps up its offering with 10 soft commodity CFDs

Sydney-based prime-of-prime provider Invast Global has expanded its offering with the addition of ten soft commodity CFDs, which increases their index and commodity CFD offering to 35 instruments.

Retail FX

FF Simple and Smart Trades says Goodbye to CySEC authorization

The Cyprus Securities and Exchange Commission (CySEC) confirmed that it has wholly withdrawn the Cyprus Investment Firm (CIF) licenses of FF Simple and Smart Trades Investment Services Ltd.

Crypto Insider

Shining the Light in Crypto’s Dark Places

Something changed in regulators’ minds after the November crash of the FTX crypto exchange.

Executive Moves

Financial Commission Adds Sam Low to Dispute Resolution Committee

The Financial Commission (FinaCom PLC), a dispute resolution service that caters to the financial services industry, has appointed Sam Low as the newest member of its Dispute Resolution Committee (DRC).

Digital Assets, Uncategorized

De-facto owner of Bithumb exchange arrested in South Korea

South Korean prosecutors have arrested Kang Jong-Hyun, the anonymous chairman and owner of the country’s largest cryptocurrency exchange, Bithumb, on charges of embezzlement and stock manipulation.

Retail FX

Interactive Brokers volumes snap three-month losing streak

Electronic brokerage firm Interactive Brokers LLC (NASDAQ:IBKR) said its trading volumes rose in January, an indication that investor confidence in the financial markets is rebounding after having been fairly mixed over the past few months.

Digital Assets

VVF invests $5 million in Everscale, a potential Layer 2 solution for Venom blockchain

“For us, this is a strategic investment aimed at the technological development of projects and teams around technologies that we focus on and actively develop. In particular, we are talking about the Venom blockchain project and its ecosystem, which is planned to be launched soon and for which Everscale is a potential Layer 2 solution.”

Institutional FX

FXSpotStream volume ends string of declines on January rebound

Trading volumes on institutional FX platforms surged in January as traders increased their bets on central bankers’ policy with evidence mounting that inflation and economic growth are both losing momentum.

Industry News

DeFi firm Aurox launches SEC-compliant crowdfunding campaign on tZERO

“This is a great opportunity for us to raise capital from our community and the broader public on a leading fully regulated platform. We are confident that the tZERO Markets platform will provide us with the exposure and reach we need to attract a diverse investors to support our business growth.”

<