Lutsk Authorities Shut Fraudulent Call Center That Made $500,000 Profit

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  • Police said they dismantled a call center that allegedly defrauded Ukrainian and EU citizens through purported investments in cryptocurrency, securities and foreign exchange markets.
  • Around 60 operators could have worked at the center, while the organizer’s monthly profit could have reached $500,000, according to police.
  • Authorities seized about $30,000, 468 mobile phones and more than 1,000 pieces of computer equipment.

Police said they dismantled a fraudulent call center in Lutsk whose staff offered purported investments in cryptocurrency, securities and foreign exchange markets. According to operational data cited by police, the organizer could have made as much as $500,000 in monthly profit.

Police said the operators presented themselves as financial analysts, brokers or representatives of international investment companies. They promised potential victims extremely high investment returns.

The operators persuaded people to register on specially created trading platforms and make an initial deposit. The platforms then artificially displayed rising account balances and supposedly profitable trades, after which clients were pressed to invest increasingly large amounts.

In some cases, the operators encouraged victims to take out loans to increase their investments, police said.

When clients attempted to withdraw money, they were told to make additional payments for “taxes,” “insurance premiums,” or a “transaction fee.” After a further payment—or if a client refused to pay—the operators blocked the account and ended contact, according to police.

Police said the money was actually transferred immediately to controlled transit cryptocurrency wallets. The suspects allegedly used internet telephony and virtual private network services to conceal their activities.

Property and equipment seized

According to law enforcement, the organizer and some alleged accomplices lived in Lviv and managed the Lutsk office through trusted intermediaries. Police searched the call center, the suspects’ residences and locations where equipment was stored.

Authorities said they seized about $30,000; 468 mobile phones; 214 SIM cards issued by Ukrainian and foreign operators; more than 1,000 pieces of computer equipment; and 193 devices containing information.

They also seized network-attached storage devices, video-surveillance equipment, a Lexus vehicle and draft notes containing prewritten texts in foreign languages. Law enforcement estimated the total value of the seized property and equipment at 10 million UAH.

Authorities are identifying all people who may have been involved in the call center’s operations and determining the range of potential victims. They are also considering whether to impose a legal hold on the seized property.

Source: Incrypted

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