Police warns about investment frauds – Victims have lost up to hundreds of thousands of euros

Targets of investment frauds are usually first invited to invest small, insignificant sums of money through different channels. Over time, they are pressured to invest larger and larger sums to take out their profits. Police encourages people to discuss this increasingly common trend with family and friends.

A national unit specialising in the investigation of online assisted property crimes started its operations at Tampere in Central Finland Police Department on 1 May 2024. The up-to-date overview created by the unit has revealed several aggravated means of payment frauds. These are investment frauds where the injured parties have invested their funds and borrowed money in virtual currency and have ended up losing tens of thousands or even hundreds of thousands to fraudsters. Often, the committed crime only comes to light when recovering the funds is impossible.

From police perspective, investment frauds are challenging partly due to their long-term nature and the gradual transfer of funds. A fraud may come to light only when the funds cannot be taken out as promised. Tracking down the suspects takes extensive, international investigative measures. Even though means of payment frauds and investment frauds taking place online are growing more common, they are staying partly hidden due to the shame felt by the injured party; sometimes people are wary of asking for help, talking about the issue with others or even reporting the crime to the police.

However, the police emphasises that a victim of a crime should never feel ashamed for getting scammed. Modern scams are professionally conducted and anyone can fall for them. This phenomena should also be discussed with family and friends.

How investment fraud works

In a typical case, the injured party has first invested a moderate sum in an international company offering virtual currency investment services. In several cases, these services are advertised with the name or face of a famous person. 

The investment company’s service advisor will personally contact the investor by phone or message. Due to their sales pitches and pressure, the moderate initial investment often leads to large invested sums and finally financial losses when the invested funds remain out of the reach of the injured party. 

In some cases, the injured party is already investing funds of their loved ones and borrowed money, in addition to their existing funds. Over-indebtedness can happen unnoticed, in the hopes of profits to be won. 

Notify the police and your bank if you suspect a fraud

Contact your bank immediately if you suspect you have transferred money to a fraudster’s bank account or if you gave your online banking credentials to someone. Contact the card deactivation service of your own bank or call 020333 to be referred to the right number.
You should also file a report with the police. You can submit a report online or visit a police station. Submitting a report is recommended even if the chances of getting your property back are low. The reports allow the police to serialise crimes. Attempted frauds should also be reported.

How to protect yourself

• Be reserved about any contacts you receive.
• Double check the background and intentions of your prospective partner.
• Use a mobile certificate instead of your banking credentials when signing in to online platforms.
• Consider carefully what applications you download to your computer, phone or tablet and why.
• Be aware that get-rich-quick schemes are often just a dream, also when it comes to investments.
• Patience is the key in this, too. Be reserved if you are being rushed.
• Talk about the topic with your loved ones.

Police to publish true stories to warn people

It is good to speak openly about investment frauds and other online scams with friends and family so that people know to protect themselves against them. The police will publish scams experienced by people through the social media channels of the police of Finland to increase awareness and help people avoid these pitfalls.  The police encourages to share these stories and bring them up in conversations.