Be investment fraud aware

If you’ve been tempted by a get rich quick scheme, you’re not alone. Online investment fraud and associated scams are now prolific on social media, often using celebrities to promote them.

Figures provided by Action Fraud are startling. During 2023-24 City of London Police, the national fraud leads, reported that the total UK financial loss to investment fraud was a staggering £569.6m. These types of investment scams can affect anyone. 41% of all reported crime in England and Wales is estimated to be fraud[1].

Recently a Fraud Caseworker from the Victim and Witness Care unit at Surrey Police supported a victim who was duped out of £350,000 by an investment fraudster. The victim had signed up to a crypto based online trading platform.

She was allocated a broker whom, after researching, she believed to be a senior broker at Goldman Sachs. Over the next year the trading account looked very healthy with money being invested in shares and a rapport and trust was built up.

The victim took out loans and liquidated her pension to boost the ‘investment’. “I was lulled into a false sense of security because I was allowed to take some money out on a couple of occasions.

“The plan was to pay off my mortgage and have a nice amount left.” However, when trying to withdraw £250k, she was instructed to pay a further £25k to facilitate. The money never materialised and the broker became uncontactable. The victim is still being supported and is looking to take legal action against the bank.

Prevention – be scam aware

Operation Signature lead PC Bernadette Lawrie BEM said: “Investment Fraud is consistently one our top fraud types by volume at Surrey Police affecting the vulnerable. Victims of investment fraud suffer the highest financial loss by fraud type”.

“Our Neighbourhood Policing Teams and our Fraud Caseworkers Teams work tirelessly to help victims and prevent these crimes. They help fraud victims recover and prevent them from being re-targeted.

“We run regular public engagement events across the county. Our next one is on Friday 26 September at Barclays Bank in Working from 10am-12pm.”

“Investment fraudsters run increasingly sophisticated schemes. Fraud victims are just as likely to be male as female. We would urge people to sign-up to our Fraud newsletter via In the Know, to keep up with the latest developments and preventative information or see our Fraud advice / Operation Signature | Surrey Police pages.”

Safety checks before you invest

In UK Savings Week, investing can seem a good option to maximise your savings but with so many online investment schemes out there, how can you be sure that your money won’t be filling the pockets of investment fraudsters?

There are several preventative actions to take before making any investments:

• Seek independent financial advice before investing
• Check with the Financial Conduct Authority (FCA) scam smart to see if a company is registered
• Verify the company's identity, location, and regulatory status
• Sign up for Action Fraud alerts to keep up to date with existing and new trends
• Understand what you are investing in (token, platform, mechanism, etc.)
• Be particularly wary in the lead up to the new financial year (Jan-March)
• Is a celebrity really endorsing a particular product? Look at their official website to check.
• Use a secure platform with 2-factor authentication and a good reputation.

There are many different types of investment fraud to be wary of. Typically, fraudsters will contact their victims and then convince them to invest in schemes or products that are worthless or do not exist. Common investment scams include being encouraged to buy any of the following commodities:

• Diamonds or rare metals
• Fine Wine
• Land
• Carbon Credits and alternative technology
• Crypto-currency

 

Eye-watering losses to investment

Fraud reporting analysis shows that victims are more likely to risk a greater amount of money, over a longer period of time, as they are conditioned to believe that a larger investment will increase the return. Furthermore, pension savings are some of the most substantial that an individual can accumulate over their lifetime.

The use of social media platforms, including WhatsApp as an enabler is prevalent with 
Cryptocurrency being the most common commodity that victims believe they are investing into. 

Fraudsters used AI generated images and videos of social media personalities and influential figures to gain the victims trust and persuade them into making investments. This type of fraud is expected to increase as technology develops further.

Surrey’s Police and Crime Commissioner, Lisa Townsend, said: “Investment fraud can be extremely sophisticated, and it is often difficult to distinguish between a real opportunity and a scam.

“Whether the scam is a fake property deal, a bogus social media investment or cryptocurrency fraud, victims are deceived into believing they are safely investing their hard-earned money to build for the future.

“Like all frauds, the impact can be severe, both financially and in terms of a victim’s mental wellbeing.

“If you fear you are a victim, you are not alone and this is not your fault. I urge you to speak to Action Fraud and Surrey Police.

“You can also turn to the Victim and Witness Care Unit, who offer truly fantastic support to those impacted by crime across the county.”

Investment Fraud - warning signs

Be scam aware and look out for the following warning signs:

• You were contacted out of the blue via phone, email, or social media
• Do not be rushed or pressured into making a payment or it’s a time-limited offer
• The returns promised are unusually high or 'guaranteed'
• You can't find the company on the FCA Register or there's no regulation
• The information is vague, or the company uses fake reviews or celebrity endorsements.

Reporting Fraud

 

Action Fraud is the national reporting place for all fraud or via phone on 0300 123 2040.

For Vulnerable victims call 101 or use our textphone service on 18001 101.

For deaf or hard of hearing, use out textphone service 18000 or text us on 999 if you pre-registered with the Emergency SMS Service.

 

Websites - Surrey

Home Page - In The Know - Surrey

https://uksavingsweek.co.uk/

https://www.actionfraud.police.uk

https://www.surrey.police.uk/advice/advice-and-information/wsi/watch-schemes-initiatives/os/operation-signature/

https://www.relayuk.bt.com/how-to-use-relay-uk/contact-999-using-relay-uk.html

 

[1] National Crime Agency: National Strategic Assessment 2025