In a three-day island-wide operation conducted between 7 and 9 April 2015, Police arrested 26 men and 18 women, aged between 18 and 54, for investigations into cheating offences in various scams, including online purchase scam. The 44 persons, which include six foreigners, are suspected to be involved in 150 cases where victims were cheated of monies amounting to more than S$150,000.
2 The number of people who had fallen for online purchase scams has increased by more than twofold[1] in 2014 from the previous year. Victims typically responded to online advertisements on the sale of items at attractive prices. They had communicated with the sellers over mobile messaging platforms or emails and were convinced by the scammers to make advanced payments for the delivery of the items. In most cases, victims were instructed to make bank transfers to a local bank account. However, the goods were not delivered as promised even after the victims made the payments. In some cases, victims were asked for further payments for customs duties, delivery charges and taxes.
3 Police investigations found that the perpetrators of e-commerce fraud, such as online purchase scams, are often based overseas and they actively recruit local bank account holders to receive the victims’ money. Director of Commercial Affairs Department, Mr Tan Boon Gin, said: “Victims are lulled into a false sense of security because they are asked to make payment to a Singapore bank account, not knowing that the funds will be transferred overseas immediately after payment. Police take a serious view against those who allow their bank accounts to be used by others. Police will not hesitate to prosecute account holders who are aware that their accounts are being used to transfer proceeds of crime.”
4 Investigations against the persons are on-going. The offence of Cheating carries a punishment of imprisonment for up to 10 years and a fine. The arrested persons may also be investigated for money laundering offences under the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act, which carry a punishment of imprisonment for up to 10 years and a fine of up to S$500,000.
5 Members of public who shop on online platforms should adopt the following measures to avoid becoming a victim of a scam:
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Check the track record of the party you are dealing with.
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Avoid making advance payments. If advance payments are necessary, insist on getting a contact number so that you may verify the beneficiary’s identity. Do be mindful that scammers may use a local bank account for the transaction to enhance their credibility. The owner of the bank account may not be the person communicating with you online.
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Never give your bank and credit card details and personal information to anyone you do not know or have not checked out. Your account and details may be misused by criminal syndicates.
[1] Cheating involving E-commerce increased by 225.3% in 2014, from 510 cases in 2013 to 1,659 cases in 2014.
SINGAPORE POLICE FORCE
10 April 2015 @ 5:20 PM