In June, Singapore witnessed a significant rise in impersonation scams, with fraudsters swindling $10.6m from 63 victims.
According to Finextra Research, these sophisticated scams involved perpetrators posing as bank officers and government officials to deceive victims. Initially, victims received calls from individuals claiming to be bank officers, alerting them to unauthorized transactions.
When victims denied such activities, the call was handed over to another scammer impersonating a government official, typically from the Singapore Police Force or the central bank.
These scammers accused the victims of crimes like money laundering and coerced them into transferring funds into so-called ‘safety accounts’ under the guise of assisting with investigations. In certain instances, a third scammer would intervene for ‘further investigations,’ convincing victims to transfer additional funds.
This alarming trend in impersonation scams has prompted police and banking authorities to escalate their warnings. The scam involves a multi-stage process where victims are methodically convinced of the legitimacy of the claims through impersonation and psychological manipulation. Such scams not only lead to financial losses but also cause significant distress to the victims involved.
The scammers’ tactics are notably refined, using fear of legal repercussions to pressure victims into making financial decisions against their interests. This issue underscores the urgent need for increased public awareness and enhanced security measures within the banking sector.
“Singapore Police Force spokesperson Lim Wei Loong said, “We urge the public to remain vigilant and verify the authenticity of any unsolicited communication. If in doubt, always hang up and contact the organization directly through official channels.”
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