EFRI establishes big data pools – and involve Regulators and prosecutors to recover funds for defrauded investors
On the one hand, EFRI organizes the fund recovery process against fraud more like a membership model, by setting up separate social media groups for victims of the different scams and by guiding the victims what authorities and how to approach them after having discovered that they have been defrauded. EFRI requests all victims to file criminal complaints themselves at their place of residence and to be persistent to the authorities in following up their criminal complaints.
EFRI requests all victims to deliver their deposit information for the transfers made to the fraudsters. In addition, we want to get all information on the fraudulent systems collected by the victims.
Based on the documentation provided, EFRI establishes data pools for each scam with the illegal and legal payment service providers and banks involved. In the case of credit card or debit card payments, we try to identify the acquiring organization which processed the victims’ payments.
Money Laundering complaints against European banks and payment service providers
Based on the documentation provided, EFRI establishes data pools for each scam with the illegal and legal payment service providers and banks involved. In the case of credit card or debit card payments, we try to identify the acquiring organization which processed the victims’ payments. Based on these databases, EFRI prepares money-laundering complaints against the involved banks and legal and illegal payment service providers.
Up to now, EFRI has filed money-laundering complaints with a total volume of more than €15 million. EFRI filed money laundering complaints about German banks and payment service providers like Wirecard or Deutsche Bank. Additionally, we filed money-laundering complaints against KBH Andelskasse and UPCConsulting with the respective regulators and public prosecuting offices. We guess BaFin or FCA, for example, knows EFRI’s letters by now quite well and feel already uncomfortable by recognizing the letterhead.
More often than not, even regulated payment processors such as Wirecard, Payvision, or Deutsche Bank did not terminate their business relations with the scammers. However, various jurisdictions’ financial market supervisory authorities have issued many public investor warnings.
In addition, many unauthorized and illegal payment processors such as B2G, Xtrabit, P2P, Hermes Solution, IntellEstate Bau, and many more have made themselves available for fraud processing in exchange for fat fees. These too must be held accountable and responsible for the losses of retail investors.
We are convinced that the involvement of the competent authorities in the fund recovery process is ultimately beneficial both for aggrieved retail investors and for the security of the online investment scene. The European payment processors must understand that they will be held accountable for their involvement in any scams. We are convinced that this is the only method to stop this kind of fraud in Europe.
Elfriede Sixt, EFRI principal
Support European prosecutors with data against fraud
Based on the information from the victims about the fraud itself, we file criminal complaints against fraudsters identified as we filed one in Denmark, several in Great Britain, and Israel. In addition, we try to push prosecutors in the different European countries to start investigations by delivering all collected information on criminal complaints in the other European countries (to help them exchange information) and delivering out databases about the fraud.
It is certainly not the fast lane but a rather holistic approach that hopefully will result in the recovery of funds and the punishment of dishonest actors. In any case, this approach documents the state of the financial scene for the authorities involved and leads the black sheep to be checked and punished.
We ask for justice for the defrauded retail investors.