On Monday, March 31st, eleven people in Poland were arrested in connection to a foreign exchange brokerage scam. The Polish Police & reporters at InfoSecurity24 have noted that the individual’s arrests have been detained alongside others who helped with the fraud in Cyprus.
Polish & Cyprus police worked in conjunction with one another, raiding both groups in both countries simultaneously. The police confiscated computers, documents and data carriers. The eleven detained were the senior management at this brokerage scam and were responsible for business operations. There were a total of 45 individuals, who were responsible for operating this criminal enterprise; it is not clear if these 45 individuals were split up evenly amongst Poland and Cyprus locations. Police only determined it was needed to arrest senior management for toppling the foreign exchange brokerage scam.
Run of the mill scam
Polish police said in their statement that they believe these eleven individuals helped steal more than 2 Million Zloty from retail investors. Police were luckily able to recover some of the money taken during their raid.
The kind of scam that this brokerage used has been seen dozens of times before. They con the retail market as a whole by calling hundreds to thousands of stores, telling them that they can give them high returns if they invest in their product. The fraudsters would then make it seem as if the investors were making money, but anytime an investor would ask to withdraw their money, the cheats would refuse and immediately cut off all contact with the prior client.
This isn’t the first time that Polish police have caught foreign exchange brokerage scams operating in Poland and it most likely won’t be the last. It was only in November of 2018 that another operation that stole 18 Million Zloty was stopped.
