13 stories this week:


ME Bank faces criminal prosecution by corporate regulator – 27 May 2021
Industry-super-linked ME Bank has been hit with a criminal lawsuit by the corporate regulator after 3700 home loan customers were incorrectly charged interest on mortgages.


‘Clearview AI’ Hit With Legal Complaints In 5 Countries, Accused of Face Recognition Abuse – 27 May 2021
Clearview AI, the American maker of a controversial facial recognition tool used mostly by police, is facing a downpour of legal complaints across Europe, alleging privacy violations based on internal documents showing the company’s algorithm at work.


Future of Australian steelworks in doubt as UK fraud office investigates Gupta – 27 May 2021
The future of the Whyalla Steelworks in South Australia hangs in the balance as the fallout continues from the recent collapse of Greensill Capital. The UK Serious Fraud Office announced that it was investigating Greensill Capital over “suspected fraud, fraudulent trading and money laundering… including its financing arrangements with Greensill Capital.” It was also that the Gupta-owned Wyelands Bank, which is currently being wound up, has been under investigation since 2018.


‘Toxic breach of trust’: Investments watchdog sends fraud warning – 28 May 2021
A spate of investment scams highlight the dangers posed by deceptive financial advisers who abuse the trust of friends and family. As an example an investment manager was sentenced to at least four years in jail for stealing $2.9 million from 13 clients. Making 167 authorised transactions from clients’ accounts, he spent the money paying off debts and personal expenses including rent, holidays and school fees.


How Brad lost $5600 in Domain email scam – 31 May 2021
Domain revealed to its customers it had been the victim of a cyber attack that allowed scammers to access personal information, including email addresses and phone numbers of people who have made property enquires. So far this year, Australians have reported 18,689 phishing attacks, and have lost $887,390 to those scams. Brad was one of those vicitms losing $5600.


(Access to digital version of AFR required to read article.)

Google promotes bond scam amid police probe – 31 May 2021
Google is continuing to make money by unwittingly promoting new websites that funnel investors into a complex fraud schemes. They tricks consumers with fake high-yield bond prospectuses in which savings are siphoned through the cryptocurrency ecosystem. There is an ongoing NSW police investigation into the matter.


(Access to digital version of AFR required to read article.)

Further six charged after cryptocurrency money laundering investigation – Cybercrime Squad – 31 May 2021
A further six people have been charged by Cybercrime Squad detectives as part of an ongoing investigation into a criminal syndicate allegedly involved in laundering money via cryptocurrency, across state and territory borders.


Former policeman who made up same-sex relationship found guilty of fraud – 31 May 2021
A former police officer (Okan Yesilhat) who was found to have fabricated a lengthy same-sex relationship to claim a $6 million inheritance, has been found guilty of misappropriating funds from the deceased’s accounts within hours of his death.


Freedom Foods loses fraud case in Federal Court – 31 May 2021
Australian-owned Freedom Food has been slammed in the Federal Court over fraud and breach of contract allegations put forward by Blue Diamond Growers (BDG). BDG claimed Freedom Foods used other suppliers for nut-based and non-organic almond based products for manufacture and sale in Australia and New Zealand, when their agreement should have precluded that. Freedom Foods claimed this was not true.


ATO signals crypto crackdown as tax time looms – 31 May 2021
The anonymous nature of trading crypto assets has led many taxpayers to believe their investments were untraceable. The ATO will employ data-matching methods to link transactions from cryptocurrency-designated service providers to individuals’ tax returns, to ensure investors are paying the right amount of tax.


Pfizer warns on fake online COVID vaccine shots – 1 June 2021
Fraud experts remain concerned about the potential for vaccine fraud to make its way to Australia, after Interpol issued a global warning this year about fake vaccines and treatments being sold online.


Warning about ‘unsuspecting friends’ sharing hoax app – 3 June 2021
The Commonwealth Bank has issued warning against a hoax app called “Hope Business” which has cost them thousands of dollars. It claims that anyone can earn significant returns after transferring funds to use as an investment, while completing in app tasks.


Automotive fraud and scams skyrocket in 2021, according to the ACCC – 3 June 2021
Automotive fraud and scams have skyrocketed in 2021, according to the ACCC. 97 per cent of reported cases claimed the seller was enlisted in the military or to work for the Department of Defence, under the pretence they were selling their vehicle prior to deployment.