Ukraine busts call center network behind €4.3M investment scam
What looked like a promising investment turned out to be a scam.
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- Ukrainian and German authorities dismantled call centers accused of running a fake crypto investment scheme.
- Investigators identified 135 German victims who lost more than €4.3 million ($4.76 million) in total.
- Police arrested four alleged members, including the suspected leader of the criminal group.
- The suspects face up to 12 years in prison if convicted, while investigators seek more victims.
Key Takeaways by nexos.ai, reviewed by Cybernews staff.
Ukrainian law enforcement authorities have dismantled a network of fraudulent cryptocurrency investment call centers, causing millions of euros in damages.
Officers of Ukraine’s Cyber Police Department, the Main Investigation Department of the National Police of Ukraine, and German law enforcement authorities participated in an international operation called “Trade”.
A group of scammers allegedly operated call centers nationwide, posing as financial consultants and persuading unsuspecting victims to invest in cryptocurrencies and stocks through a fraudulent online platform.
The scammers helped victims open accounts on a fake cryptocurrency exchange platform and transfer funds to wallets they controlled. In some cases, the fraudsters also accessed victims’ online banking accounts.
To hide the origin of the money, the stolen funds were moved through a network of bank accounts and cryptocurrency wallets.
Investigators identified 135 victims from Germany who lost more than €4.3 million ($4.76 million) in total.
In August and September, Ukrainian and German law enforcement authorities conducted more than 50 searches in Kyiv and other cities. Officers seized computers, mobile phones, SIM cards, hardware crypto wallets, documents, and more than $90,000 in cash.
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In addition, 4 alleged members of the criminal organizations behind the investment scam call centers were arrested, including the group’s leader.
The suspects face up to 12 years in prison and confiscation of their property if convicted. Investigators are still working to identify other members of the network and additional victims.
Back in September, Ukrainian police also shut down a fake crypto investment network targeting victims in more than 20 countries.
Investigators identified 62 victims, including citizens of Canada, France, Germany, Israel, Latvia, Lithuania, Poland, Spain, and the United Kingdom.
