The National Anti-Scam Centre is urging Chinese students in Victoria to be wary of sophisticated and threatening scams targeting them after a massive rise in reports last month.
Reports of scammers posing as Chinese police to target young people studying in Australia more than doubled in August, compared with previous months. Since the beginning of the year, there have been a total of 1,244 reports and $8.7 million in losses to the scam.
“We are very concerned by the rising number of reports we have had from Chinese students, who are understandably terrified by the threatening nature of these scams,” ACCC Deputy Chair Catriona Lowe said.
“Scammers are using deplorable tactics to scare their young victims into handing over their money and providing their personal information. We are particularly disturbed by the intrusive video surveillance many victims have been subjected to over extended periods.”
“The National Anti-Scam Centre is sharing its intelligence with Australian police and working with universities to warn Chinese students, particularly in Victoria, NSW and the ACT,” Ms Lowe said.
Scammers make a phone call to the victim, initially pretending to be from a phone company or financial institution and inform them that their phone or identity is being used to in a scam or in serious financial crime. When the victim says that they are not involved they are transferred by the scammer to another scammer pretending to be the Chinese police. The number seen on caller ID during the transfer will seem to be the official police phone number as scammers are using telephone spoofing technology.
The victim is told they may be extradited to China or deported. However, the victim is offered the chance to remain in Australia while the investigation takes place, on the condition of a payment. The scammers use technology to create fake documentation including arrest warrants.
This scam often involves many calls from different people and sometimes video calls with what appear to be Chinese police. There have also been reports of a person dressed as a police officer visiting the Australian homes of the victims to deliver documentation.
Many of the victims were monitored 24 hours a day using messaging platforms and device video technology.
“This type of scam is highly sophisticated and convincing because it involves multiple perpetrators who play on their victim’s fears by threatening them and their family with years of jail time,” Ms Lowe said.
“In one case, a young man paid over $400,000 to scammers after he was told he would be arrested. He was also told he was under surveillance and was instructed to have Facetime open 24 hours a day.”
For more information on how to protect yourself, visit www.scamwatch.gov.au.
