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Investigation & Fraud News – Week ending 20 December 2024
‘Bogus’: Thousands of job ad scams and $24.4 million in losses prompts Aussie warning – 11 December 2024
In the first three months of the job scam fusion cell launched in September, the National Anti-Scam Centre (NASC) has taken down 200 job scam websites. Another 200 phone numbers were flagged, as law enforcement, government agencies, and cryptocurrency platforms work with NASC to freeze or restrict cryptocurrency wallets being used in job scams. Now, Aussies have been given a fresh warning — and informed about the links between these types of scams, and social media.
Ex-credit union head Lyndon Allen Kingston jailed for financial crimes – 12 December 2024
Former credit union chief executive and banking watchdog senior manager, Lyndon Allen Kingston has been sentenced to 18 months in prison for financial crimes committed six years ago. A jury found him guilty of unlawfully pocketing payments from two credit union contractors, without knowledge of the board. The court ordered Kingston be released from prison after six months, pending good behaviour for the remaining 12 months of his sentence.
Queensland company AGAT Business put into voluntary liquidation amid ASIC investigation – 13 December 2024
A Queensland call centre, currently under investigation by ASIC, has been put into voluntary liquidation. Customers had alleged AGAT sales representatives phoned them offering to check their current super arrangements for free, before referring them to financial advisers. Some of those financial advisers then recommended customers move their super to a troubled investment scheme called the Shield Master Fund.
Trio of serving ADF soldiers arrested on multiple charges after police investigation intercepted mail containing cash – 13 December 2024
Three serving Australian soldiers have been arrested over their alleged involvement in a drug trafficking syndicate. As part of the investigation, officers intercepted mail and seized cash. QPS alleges the money was intended to buy drugs that would then be resold for profit.
Aussie bank apps targeted by global cyber robbery – 14 December 2024
Cyber criminals have posed as recruiters offering unsuspecting Australians bogus lucrative jobs as part of a global theft of online banking details and other sensitive data.
Access to digital version of The Australian required to read article
Government confirms IBAC investigation into allegations of fraud at Melbourne hospitals – 15 December 2024
The government has confirmed Victoria’s anti-corruption watchdog is investigating allegations of fraud conducted by Melbourne surgeons. The Age reports surgeons have billed the Transport Accident Commission for medical procedures that were never carried out on patients. The health minister has welcomed the investigation, while the opposition has called on IBAC to release its findings.
https://www.abc.net.au/news/2024-12-15/ibac-surgery-tac-fraud-investigation/104727502
Ladbrokes owner took $152m from customers with ‘suspected criminal associations’, court documents claim – 16 December 2024
The Australian arm of Entain is part of one of the world’s largest sports gambling organisations. It is alleged that they accepted $152m in bets from 17 high-risk customers who had “suspected criminal profiles and associations” despite being aware they may have been laundering money.
Nigeria investigates nearly 800 suspects arrested in massive cybercrime raid – 17 December 2024
Nigeria’s anti-corruption agency, the Economic and Financial Crimes Commission, says it is investigating nearly 800 suspects arrested for alleged internet fraud during a massive raid in Lagos. The 792 suspects, including 193 foreigners, were nabbed December 10 in a seven-story building believed to be a “hustle kingdom” – a place where people are trained to carry out cybercrimes.
ACCC takes Optus to court over alleged unconscionable conduct at Mount Isa store – 19 December 2024
The Australian Competition and Consumer Commission is suing Optus over alleged unconscionable conduct. A statement of claim alleges its Mount Isa store preyed on vulnerable consumers, accumulating debt in excess of $150,000 for 42 individuals.
SA Health finds 18 staff have inappropriately accessed Charlie Stevens’ medical records – 20 December 2024
18 staff have been found to have inappropriately accessed the medical records of a patient. ABC News revealed in July that SA Health was investigating the alleged breach of a patient’s medical records, understood to be Charlie Stevens’, who died in November 2023 after a hit and run at Schoolies celebrations in Victor Harbor. An SA Health spokesperson says an additional employee is still under investigation.
https://www.abc.net.au/news/2024-12-20/sa-health-charlie-stevens-investigation/104576828
The lucrative scam business behind a non-existent Centrelink payment – 20 December 2024
Dodgy news websites might seem harmless, but they can have be a starting point for scammers to lure victims and obtain personal details. “Click farms” are scam sites, used to get numerous visits so the creators can make money from displaying advertisements on it. The creators use search engine optimisation (SEO) tactics to make sure their site is among the first websites displayed when people Google something. The article explains.
Investigation & Fraud News – Week ending 12 December 2024
Australians turned into money mules chasing crypto cash – 5 December 2024
Middle-aged Australians are being turned into “money mules” to convert cash raised by organised criminals into cryptocurrency, so it can be moved out of the country via a record number of specialist ATMs springing up around the nation. These Australians were often being persuaded by scammers to deposit cash into the machines, inadvertently becoming part of organised criminal networks that were using cryptocurrencies to launder profits. In some cases, they are losing their life savings.
NSW trio’s failed bank fraud ‘like trying to win lotto’ – 5 December 2024
A trio’s bungled attempts to scam $20 million from NAB through various schemes were said to be unsophisticated and ultimately doomed to fail. Monika Singh, 42, Davendar Deo, 68, and Srinivas Naidu Chamakuri, 51, were convicted of a myriad of fraud-related offences between 2018 and 2020 following a lengthy trial in the NSW District Court. They attempted to use internal bank vouchers to withdraw almost $16.9 million in cash.
MS One-Time Passwords no longer enough to fight Australia’s AI-driven fraud, says Visa – 8 December 2024
Visa, a world leader in digital payments, today announced it will require Australian financial institutions to move away from SMS One-Time Passwords (OTPs) as the sole factor for payment authentication to address the threat of AI-driven fraud and scams. In Australia last year, scam losses reached $2.7 billion with over 601,000 scam reports, and attacks.
Vietnamese property tycoon Truong My Lan must come up with $14 billion to avoid death penalty – 8 December 2024
Truong My Lan, a Vietnamese property tycoon is in a race for her life to come up with $US9 billion (A$14 billion) to escape the death penalty for masterminding the world’s biggest bank fraud. She was convicted earlier this year of swindling money from Saigon Commercial Bank (SCB) — the country’s fifth biggest lender — and sentenced to death for embezzling $US12.5 billion
AUSTRAC initiates crypto ATM crackdown – 9 December 2024
Australia’s financial intelligence and crimes investigation agency AUSTRAC has launched a targeted crackdown on cryptocurrency ATMs (CATMs). ATMs, or crypto kiosks, which are growing in number across Australia, enable individuals to purchase a variety of cryptocurrencies, including Bitcoin or Dogecoin, in cash, credit/debit cards or via their digital wallets.
https://financialnewswire.com.au/investment/austrac-initiates-crypto-atm-crackdown/
Apple’s all-seeing eye’: Worker alleges illegal surveillance of employees – 10 December 2024
‘Apple has been accused of the “systematic invasion of employee privacy” and the monetisation of the personal data of its workers in a lawsuit launched by an employee of the tech giant. It is alleged that the tech company is breaching the state’s laws by snooping on the personal and work devices of its workers.
$10m tax scandal lands 6 fraudsters with combined 43-year sentence – 10 December 2024
A 43-year combined prison sentence was served to six people in Operation Bordelon which uncovered a tax and money laundering scandal worth up to $10 million. It was found the syndicate siphoned off the money allocated for the pay-as-you-go withholding tax component instead of remitting it to the ATO. The syndicate members then moved the defrauded funds to companies they directed, relatives, associates and offshore accounts.
Police Officer Sent to Prison for Falsifying Evidence – 11 December 2024
A police officer has been sentenced to imprisonment for fabricating evidence against a woman during an investigation into drug offences. Former police detective Jye Symes pleaded guilty to one count of misconduct in public office after falsely claiming, DNA linked to a tenant suspected of being linked to the supply of prohibited drugs secreted in children’s toys and sent by post, was found on a pair of gloves at the property.
ASIC briefed government about Rex investigation before $80m lifeline – 11 December 2024
The corporate regulator warned the Albanese government it was investigating Regional Express for serious governance failures before the Commonwealth controversially committed $80 million into bailing out the collapsed airline. ASIC is taking Rex Airline and directors Sharp, Lim Kim Hai, Lincoln Pan and Siddharth Khotkar to the NSW Supreme Court over “serious governance failures”, alleging they misled the market in February 2023 about the health of the company’s finances.
Investigation & Fraud News – Week ending 6 December 2024
Framlingham community reacts to jailing of former leader Geoff Clark – 30 November 2024
Geoff Clark has been sentenced to six years and two months in prison for the fraudulent use of almost $1 million from the Framlingham Aboriginal Trust.
People from the Indigenous township of Framlingham have spoken following the verdict which brings an end to a decades-long saga. The whistleblower who helped uncover the corruption says he hopes the verdict will bring renewal to the township in south-west Victoria.
Comanchero Brisbane vice president charged over Australia’s largest ever cocaine seizure- 2 December 2024C
A transnational organised crime syndicate with links to the Comancheros is alleged to have attempted to bring 2.34 tonnes of cocaine into Australia. Several arrests were made including the vice president of the Comancheros Brisbane chapter, and a patched member. Authorities allege the group attempted to import the drugs into Queensland by sea.
Vietnam Property Tycoon Loses Appeal Against Death Penalty In $12.5 Billion Fraud Case- 2 December 2024
The High People’s Court in Ho Chi Minh City rejected Lan’s appeal for a reduced sentence. The 68-year-old real estate mogul is convicted of embezzlement for her role in the country’s largest fraud case, amounting to around $12.5 billion. Aside from the death penalty, Lan has been handed two 20-year prison sentences for engaging in bribery and violation of lending regulations and she has been ordered to pay $27 million to compensate the bank impacted by the fraud.
Deloitte Hacked – Brain Cipher Ransomware Group Allegedly Stolen 1 TB of Data – 4 December 2024
Notorious ransomware group Brain Cipher has claimed to have breached Deloitte UK, allegedly exfiltrating over 1 terabyte of sensitive data from the professional services giant. Brain Cipher has announced plans to release detailed information about the breach, including: Evidence of alleged security protocol violations; analysis of contractual agreements between Deloitte and its clients; Details about the firm’s monitoring systems and security tools; and Examples of compromised data.
https://news.az/news/deloitte-uk-reportedly-hacked-over-1tb-of-data-stolen
Principal accused of defrauding $1.4m from the education department – 4 December 2024
A Western Sydney school principal was among two arrested in dramatic raids, accused of defrauding $1.4 million from the education department through fake invoices.
Global investigation dismantles alleged billion-dollar money laundering scheme linked to rich Russians and cybercriminals – 5 December 2024
A global investigation led by the United Kingdom’s National Crime Agency has uncovered an alleged billion-dollar money laundering network used by Russians. “Operation Destabilise” involved law enforcement agencies from the US, Ireland, France and the UAE. Authorities have said about 84 suspects have been arrested, and almost $40 million in cash and cryptocurrency has been seized.
Five Eyes nations sound unprecedented alarm on ‘shocking’ teenage terror threat – 6 December 2024
The Five Eyes multinational intelligence sharing network has sounded an unprecedented alarm about the threat of young people being radicalised by extremist online content, as authorities warn Australian children as young as 12 are at risk of becoming terrorists. In a first-of-its-kind intervention, security and law enforcement authorities from Australia, the United States, Canada, the United Kingdom and New Zealand said in a joint paper that they were battling to combat an alarming rise in young people who support extremist causes or plan terrorist attacks.
https://cybersecuritynews.com/deloitte-hacked/
Construction boss George Alex jailed for conspiring to defraud ATO of more than $10 million – 6 December 2024
George Alex has been jailed for nine years and three months over a $10 million ATO fraud. The Sydney construction boss was found guilty of conspiring to defraud the tax office along with four others. Alex will serve a minimum six years and two months, with his non-parole period due to expire in October 2030.
https://www.abc.net.au/news/2024-12-04/principal-accused-of-defrauding-1-4-million-/104686356
Alleged phishing scammers used Apple Pay to spend $350k stolen from bank customers using fake text messages – 6 December 2024
Four men who allegedly scammed bank customers out of more than $350,000 after obtaining their account details in an elaborate phishing scam have been arrested by WA Police. It is alleged members of the syndicate operating in WA sent messages to multiple victims pretending to be their bank to steal online logins, credit card details and passwords.
Investigation & Fraud News – Week ending 29 November 2024
Corrupt Victoria Police officer jailed after falsifying evidence in drug squad investigation – 19 November 2024
A former police officer has been jailed after he was caught faking evidence in a drug trafficking case.
The sentencing judge said Jye Symes’s actions had undermined public confidence in the police force.
Symes will have to serve at least 18 months behind bars before being eligible for parole.
Bunnings releases brutal CCTV amid privacy debacle – 20 November 2024
The Office of the Australian Commissioner (OAIC) declared home improvement retailer Bunnings “breached Australians’ privacy” by collecting personal, sensitive information through a facial recognition technology system. The system – which was incorporated into CCTV – captured the faces of “likely hundreds of thousands of individuals” across 63 Bunnings store.
https://ia.acs.org.au/article/2024/bunnings-releases-brutal-cctv-amid-privacy-debacle.html
Financial adviser faces 26 dishonesty charges – 21 November 2024
ASIC has reported that Kristofer Ridgway faces 26 charges of dishonest conduct and allegations of misleading clients about commissions,. The charges stem from allegations that he failed to disclose substantial commission payments while facilitating investments for clients.
Filipino police raid romance scam centre – 26 November 2024
Police in the Philippines have arrested 250 romance scammers in a raid on a criminal call centre, after an investigation involving intelligence from the Australian Federal Police. It’s believed the dodgy centre has scammed thousands of Australians, alongside many more victims from other countries.
https://www.abc.net.au/news/2024-11-26/naus_manilascamspm_2611/104650392
Alleged exploitation of migrant workers investigated in Lockyer Valley – 28 November 2024
Farmers and labour hire providers in the Gatton region, west of Brisbane, are being investigated over worker exploitation allegations. Federal government officers visited seven locations, including farms that produce broccoli, onions, pumpkins and shallots, to check for compliance. Officials will review any evidence collected and decide if legal action or education is required.
For the sake of our democracy, Australia urgently needs a whistleblower protection authority – 28 November 2024
It’s become clearer that a dedicated agency to enforce the nation’s various whistleblower protection laws will be an important priority for the 48th parliament, after the next election. The body would support employees who speak up about wrongdoing. It would also help employers and regulators resolve claims of detrimental action and it would help make legal protections real, by shouldering the huge costs of securing compensation for impacts suffered by those doing the right thing.
Scam Risk Management – 29 November 2024
Scams are a persistent issue in Australia and globally, affecting individuals and businesses alike. Reports of scams have surged over the years, with Australians losing billions annually. This paper looks at the difference between fraud and scams, who is most vulnerable and the shift towards regulated scam risk management in Australia. It also explores how global banks are preventing and detecting scam payments, highlighting common gaps and a bank ‘wish list’ to improve scam management.
https://www.fticonsulting.com/insights/articles/scam-risk-management-strategies-protect-organisation
Shoppings sites pretending to be Australian businesses – 28 November 2024
An ABC NEWS investigation has identified 57 online shopping websites engaging in deceptive and misleading conduct – pretending to be Australian businesses when they are instead international import operations. The websites advertise heavily on Facebook and Instagram. Consumer group, Choice and the ACCC are calling on social media giants to do more to check the identities of their advertisers and crack down on dishonest behavior.
Former ATSIC head Geoff Clark jailed for defrauding Framlingham Indigenous community – 29 November 2024
Former ATSIC head Geoff Clark, has been found guilty on 25 charges, spanning roughly two decades of offending. Clark has been sentenced to six years and two months in jail. The 72-year-old will be eligible for parole in three years and nine months, with 78 days already served behind bars.
Chinese military official Miao Hua under investigation amid ongoing corruption crackdown in China’s army ranks – 29 November 2024
One of China’s top military officials, Miao Hua, has been suspended amid a probe into his conduct. He is more powerful than China’s defence minister and was hand-picked for the role by Chinese President Xi Jinping. Experts say it’s a sign of a growing corruption scandal at the top of China’s army.
NDIS property developer’s luxury car and property portfolio revealed amid ASIC probe – 29 November 2024
An ASIC investigation found Mr McWilliams spent close to $40 million of investors’ money at a Gold Coast casino. While no charges have been laid, he is being investigated for allegedly providing financial services without a licence, misleading or deceptive conduct, breaching a director’s duties, misappropriating funds and engaging in fraud.
