580K SGD Lost in an Online Investment Scam Advertised on Facebook

A 64-year-old Singaporean engineer has fallen victim to an elaborate online investment scam, losing S$580,000 (approximately $442,600).

The scam began in December 2023 when the victim came across an investment advertisement on Facebook while in Singapore. Intrigued, he clicked on the link, which directed him to a WhatsApp group related to investments. Inside the group, he received detailed briefings on what appeared to be a lucrative investment opportunity.

The scheme promised returns of between 5 to 12 percent on the initial capital, with the company purportedly managing all aspects of the investment. Tempted by the high returns, the engineer followed the instructions provided by the scammers. They instructed him to download a mobile application that would serve as a registration platform and allow him to monitor his investments progress.

Between February and March 2024, the victim transferred a total of RM1.948 million to a designated bank account in Malaysia. He soon discovered he had been deceived when he attempted to withdraw his profits, which were displayed in the app but remained inaccessible. Further requests from the scammers for additional payments, supposedly for taxes and the recovery of the invested capital, confirmed his suspicions. The victim's efforts to contact the scammers were unsuccessful, and he realized his money was gone.

Commenting on the case, Malaysian police chief M. Kumar urged the public to be vigilant when engaging with online investment schemes, particularly those offering unusually high returns. He stressed the importance of verifying the legitimacy of such investments with recognized regulatory authorities, including the Securities Commission and Bank Negara Malaysia.

To prevent falling victim to similar frauds, Kumar also encouraged the public to make use of the “Semak Mule” online service, which allows individuals to check the status of phone numbers and bank accounts for any history of fraudulent activities.