Only a very small number of victims of online investment fraud (including boiler room fraud, ponzi and pyramid schemes) report their fraud cases to the relevant authorities. With estimates ranging from only 5–10% of the actual victims reporting these crimes, for sure the dark figure of unreported investment fraud victims is gigantic.
The reasons for not reporting the fraud are diverse and range from being ashamed, being afraid, or knowing that the authorities will dismiss the case anyway, as experienced by so many other victims.
A lot of the victims who do not report the crime to the relevant authorities are not seeking help at all, nor even talking with their relatives about it. These people do not address their banks or their respective credit/debit card companies for refunds. They are just suffering and telling no one.
THE NON-REPORTING OF A CIME REPRESENTS A BIG ISSUE:
On the one hand, being ripped off is a very traumatic experience, but victims say that being able to talk about the ordeal with relatives or other people having suffered the same helps a lot.
On the other hand, not reporting the case and not getting active in fighting against the scammers actually supports the scammers to continue defrauding other unsuspecting consumers.
We at EFRI understand that it is very hard to talk about the traumatic experience, even with relatives, and not least of all because of the prejudice still predominant in our society that people who are falling victim to such scams are dumb and greedy.
Society and sometimes even the authorities have not yet understood that boiler room fraud is perpetrated by organized criminal gangs using all kinds of high-level social engineering methods to lure people into transferring money to them. These organized criminal gangs have been able to develop this kind of business for over 10 years now. So far, the authorities have not properly addressed this type of crime, and the criminals have been able to steal a vast amount of money, which enables them to deploy the latest techniques and best-educated psychologists to draft elaborate and deceptive scripts for boiler room employees to use. No one need be ashamed of having been tricked into transferring money to these fraudulent schemes – they are carefully structured to appear professional.
DO NET LET THEM GO!
But, not reporting the fraud case to the authorities and not acting against the scammers means the crime is not exposed at all. This is not a wise alternative because it actually supports the scammers as they remain hidden and go on to steal money from other unsuspecting victims.
You lost a significant amount of money and you would be foolish to simply let that go. But pls get aware that you have to fight for your money.
We at EFRI request each of our members to file a criminal report with law enforcement in their respective country and to report fraud to their banks as well as ask for refunds from the banks and of course of the credit/debit card companies.
We even request our members to push the prosecutors and to be persistent with the banks’ fraud departments.
We actively run Telegram groups for our members and we contribute to a big Facebook group (Financial Fraud Victims International – 745 members) as well as other Facebook groups dedicated to specific scam investment brokers which total another 450 members.
We file money laundering complaints against banks, request FATF to act against the banks involved in the scams and challenge the EMP´s to take action against the scammers.
JOIN IN AND LET US ACT UNITED
With a growing number of EFRI members (now 830) we have a loud voice but we must get even larger to make our voice heard in the right places. We ask all victims out there to to join in our active community of victims to share knowledge and experience because it all helps fight the fraud. The scammers have to be exposed. The authorities must finally act against them, but if we do not request them to act, none of them will act. The more we are the stronger we are.
PROGRAMME FOR OUR UNITED AGAINST INVESTMENT FRAUD WEEK!
To emphasize the topic of to act UNITED AGAINST INVESTMENT FRAUD we will conduct a special campaign during the week starting Dec. 7, 2020. During this campaign we will address the following topics:
- Victims tell about what happened to them and how they addressed it and how their life changed afterwards.
- Fraud Fighter organizations tell about their experience with victims and with scammers.
- Definition, methodology, scope, status assessment, prosecution of boiler room fraud in Europe
- Definition, methodology, scope, status assessment, prosecution of money laundering in Europe.
- How to identify scammers?
- What are the shortcomings of the EU settings to address investment fraud of criminal organisations appropriately?
We are still in the planning phase, so everyone who wants to contribute, to participate please contact us: office @efri.io.