The Organized Crime and Corruption Reporting Project and its media partners, with the Guardian Australia, conducted an interview revealing anonymous fraudulent activities from a so-called “boiler room” operation whose strategy of scam involves salespeople making phone calls to potential scam victims from a call center.
It was discovered that the operations are carried out all over the world by a 140-strong team working via phones from a call center office in Kyiv, Milton Group, with the objective being to defraud people of their cryptocurrencies.
The total losses that have been wheedled out of victims all over the world were estimated above €60m same as A$100 million.
Further investigations show that about 20 Australians are victims of the alleged cryptocurrency scam. However, four of these Australians were interviewed, one of who was Kate, a pensioner who couldn’t afford to lose the $4000 of which seems to be lost already.
She said a man who called himself William Bradley had initially convinced to invest her US$250 dollars in a website “CryptoMB,” but she couldn’t afford it. They asked how much she could afford, whereby she told them US$150, and they asked her to send it through with an assuring conviction of her making gains from the investment.
These scammers’ approach of convincing people via calls made false, misleading, and deceptive statements to get clients to hand over cash with claims to release ‘unreal’ profits proves to have commenced as recently as January.
Another victim, Rhonda Rutherford, invested US$350 after getting a likely deceitful call from a woman. She later refused to put in more money that has geared unending calls from the Scammers.
Experiences from the four interviewed Australian victims exposed the scammers’ strategies;
First, they convince victims to make small investments of a few hundred dollars in cryptocurrencies, then give them exciting news of how the value of their investment increased.
However, when these excited victims want to claim their winnings, they get obstructed by unspecified problems thereby getting deceived by the scammers that they can only withdraw their gains when their balance has reached a certain significant amount, causing victims to invest more so they can collect their earnings which turns out to be a disappointment at the latter end of it all.
The investigators had contacted the said mastermind, William Bradley for comments, but he is still mute at the time of the report.
Meanwhile, in a similar development, Hegion reported last month that an unnamed man pleaded guilty to a $147 million crypto-related scheme involving gemstones.