August 13, 2024
Authorities have dismantled a major investment scam that has been active since the start of the year, swindling more than RM20 million. The operation led to the arrest of 10 individuals.
Datuk Seri Nannli, Director of the Bukit Aman Commercial Crime Investigation Department, revealed at a press conference today (13th August) that the fraudulent syndicate had been using social media platforms to deceive victims.
On July 30th and 31st, police conducted raids across Selangor, Kuala Lumpur, Johor, Perak, Kedah, Sabah, and Sarawak, resulting in the apprehension of five men and five women, aged between 21 and 52."Authorities seized eight mobile phones, a bank card, and a copy of a company registration document," Nannli stated.
Promising Monthly Returns of 11-15% Investigations revealed that the online investment platform operated by the scam syndicate falsely claimed to be associated with the internationally renowned firm Warburg Pincus. The group used Facebook and WhatsApp to lure victims."
They even used algorithms to place advertisements on social media, promising monthly returns of 11% to 15%," Nannli added.Victims were often contacted by "investment teachers" or "investment experts" who provided guidance online."To participate in the investment, victims were required to click on a link sent via WhatsApp, download a fraudulent app, and transfer funds to a specified account under a company name," Nannli explained.In the end, victims never received the promised returns.
Charged with Fraud and Money LaunderingThe police have opened 44 investigation files, with total losses amounting to RM21,933,640.40."Twenty bank accounts, registered under different companies, were found to be used as mule accounts," Nannli said.
The case is being investigated under Section 420 of the Penal Code for cheating, and the culprits will also be charged under the Anti-Money Laundering, Anti-Terrorism Financing, and Proceeds of Unlawful Activities Act 2001.
The police have urged the public not to trust investment advertisements on social media to avoid falling into similar traps.
Relevant Info
Commercial Crime Investigation Department
The Commercial Crime Investigation Department (CCID), established on 1st December 2004, was formerly known as the Commercial Crime Investigation Division. The CCID's primary function is to apprehend, investigate, and prosecute white-collar criminals involved in fraud, criminal breach of trust, forgery, cybercrime, and other related offenses, whether committed individually or by syndicates. The department is led by a Director with the rank of Commissioner of Police (CP), supported by two Deputy Directors, holding the ranks of Deputy Commissioner of Police and Senior Assistant Commissioner (SAC), respectively.
Datuk Ramli bin Yusuff
Datuk Ramli bin Yusuff, born in 1953, is a former Director of the Commercial Crime Investigation Department (CCID) at Bukit Aman, Malaysia. He joined the Royal Malaysia Police (PDRM) in 1979 and was the highest-ranking officer charged by the Anti-Corruption Agency in 2007, though he was acquitted. Originally from Kelantan, Ramli previously served as Commissioner of Police in Sabah and Chief Police Officer in Pahang. His planned award of the Pingat Gagah Pasukan Polis (PGPP) was canceled due to the charges.