Source: Radio New Zealand
The FMA says it has seen a significant increase in ads, fake news articles and fake investment platform websites linked to scams which use prominent figures to entice consumers to invest in fake trading platforms. 123RF
The Financial Markets Authority is warning consumers about an increasing number of scams using fake news articles featuring prominent politicians and business leaders to entice consumers to invest in fake trading platforms.
“This isn’t a new scam, we first warned about these tactics in August 2024, but we’ve recently seen a significant increase in ads, fake news articles and fake investment platform websites linked to the scam,” FMA manager regulatory services Samantha McGuire said.
The fake articles used the logos of real news sites including RNZ, TVNZ and the NZ Herald but the articles they linked to contained false endorsements of investment platforms.
These articles directed users to websites where would-be victims were asked to register their contact details.
Scammers then contacted victims posing as investment brokers, and referred them to fake platforms, where victims were encouraged to make an initial small investment of about US$250.
Victims were then shown manipulated profits to pressure them into investing more. When victims tried to withdraw funds, they were told to pay fees, but no money was ever returned.
“Do not click on these ads or links, and do not enter your personal information into these websites,” McGuire said.
“If you have been contacted by a scammer after entering your personal information into one of these websites, block the contact, do not transfer any money to the scammers.”
The FMA identified 110 ads linked to the scam published in one 24-hour period on Meta sites.
More than 190 of fake trading platform websites had been identified and flagged for removal since the beginning of March.
“The scammers are using artificial intelligence to create deepfake images and videos featuring likenesses of politicians and business leaders to create a sense of credibility,” McGuire said.
“We recommend exercising extreme caution when engaging with online content promoting investment opportunities, particularly when it uses images of high-profile New Zealanders.”
The current wave of clickbait headlines claimed to have information authorities did not want revealed.
Individuals impersonated using deepfakes included Winston Peters, Kiwibank chief executive Steve Jurkovich and Westpac chief executive Catherine McGrath.
“But the scammers continuously switch the identities they’re impersonating, so stories may still be fake if they feature a different individual,” McGuire said.
What to do if you have been scammed:
- Contact your bank or payment provider immediately to ask if a transaction reversal is possible.
- If you have downloaded remote access software on the instructions of the scammers, immediately contact an IT professional to have your device checked for malware.
- If you have accessed your bank account or other payment systems while the remote access software was operating on your device, report this to the relevant account providers.
- If you are receiving phone calls from scammers, block their numbers and report them to your telecommunications provider. See the NZ Telecommunications Forum’s instructions for reporting scam calls.
- If you are getting spam emails and text messages, report these to the Department of Internal Affairs.
- Tell a trusted relative or friend what has happened. They may help you see the situation more clearly, help you deal with the scammers, and suggest what to do next.
- Contact Victim Support on 0800 842 846. They can provide free emotional and practical support and information.
Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.
– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand
