Police shut down fake crypto call centers in Europe

European law enforcement agencies from several countries teamed up to shut down a multi-country network of organized crime groups committing online investment fraud. According to Europol, the network operated through call centers, tricking victims into investing in fake cryptocurrency schemes. Authorities believe they stole millions of euros from victims. 

The damage

Social media played a big part in luring victims to the fake cryptocurrency websites. Run from at least four call centers in Eastern Europe, these sites proclaimed exceptional investment opportunities, encouraging people to invest. The victims, the majority of which were from Germany, started by investing low, three-figure sums. However, after a while, the criminals implemented price hikes, encouraging investors to make higher transfers to get higher profits. German victims are believed to have experienced over two million euro in damages. Other reported victims hailed from countries like Switzerland, Australia, and Canada. However, law enforcement estimate that unreported cases are likely much higher and believe the criminal groups stole hundreds of millions of euro in the time they were running. 

The investigation

The investigation, supported by Europol and Eurojust, consists of law enforcement and judicial authorities from Bulgaria, Cyprus, Germany, and Serbia. Europol began supporting the inquiry in June 2022 following a request from Germany. Throughout, it provided analytical support, coordinated operational activities, and facilitated information exchange between countries. 

The result

On what Europol calls “Action Day” on January 11, 2023, law enforcement swooped in on the fraudulent call centers. They made 14 arrests in Serbia and one in Germany; questioned 261 people across Bulgaria, Cyprus, Germany, and Serbia; and searched 22 locations in each country, including the call centers and residences. Authorities also seized three vehicles, electronic equipment, data back-ups, documents, and three hardware wallets holding $1 million US in cryptocurrencies, as well as €50,000 in cash.

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