GEORGE TOWN: A retired civil servant has suffered losses exceeding RM1 million after falling victim to an online stock investment scam, highlighting the growing threat posed by sophisticated financial fraud targeting senior citizens.
Penang Police Chief Datuk Azizee Ismail said the 67-year-old male victim was first approached by a woman he befriended on Facebook in August last year. The acquaintance later introduced him to what was described as a lucrative stock investment opportunity.
According to Azizee, the suspect promised returns of up to 200 per cent within a short period, convincing the victim to pursue further communication via WhatsApp. The victim was then instructed to download a mobile application purportedly used for registering as an investment member and monitoring profits.
Between Oct 8 and Dec 10, the victim carried out 22 fund transfers amounting to RM760,200 into six different bank accounts provided by the suspects. During this period, the application displayed accumulated profits allegedly totalling RM7.48 million, further reinforcing the victim’s trust in the scheme.
However, when the victim attempted to withdraw the displayed profits, he was informed that an upfront payment equivalent to three per cent of the total returns was required as part of the withdrawal conditions.
“Between Dec 18 and Dec 24, the victim made six additional transactions amounting to RM242,200 into another bank account as instructed,” Azizee said.
The victim only realised he had been deceived when he was unable to withdraw any funds despite fulfilling all payment requests. Instead, he was asked to make further payments purportedly for tax purposes and payments to the Inland Revenue Board.
Police have classified the case under Section 420 of the Penal Code for cheating and are continuing investigations to dismantle the syndicate behind the scam.