International investment fraud scheme dismantled: seven arrests | Eurojust

In 2022, a German couple filed a complaint after investing their savings through an online platform and finding themselves unable to withdraw their profits. The complaint triggered an investigation that uncovered an international scheme targeting victims worldwide.

The fraudsters promised enormous profits within a short period through trading in cryptocurrencies, foreign currencies and stocks. After transferring a small sum of money, the victims were shown inflated profits, making the platform appear legitimate. The alleged brokers then put psychological pressure on the victims to invest further large sums of money. When the victims requested to withdraw their profits, the fraudsters used various stalling tactics to prevent them from doing so. Eventually, the perpetrators disappeared, and the victims realised their money was gone.

After more than four years of investigation, a first international action day dealt an initial blow to the fraudulent scheme, leading to two arrests and the seizure of large amounts of evidence. After analysing this evidence, investigators identified seven more suspects, including the managers of the call centres used to convince victims to invest more money. Authorities organised another international action dayduring which they arrested more suspects and seized evidence and money.

The evidence gathered during the second action day led to today’s operation. The analysis exposed a company based in Cyprus and Israel that allegedly offered ‘crime-as-a-service’, supplying various criminal groups with fraudulent websites used to carry out online scams. Authorities also identified suspected clients of the company in Albania, Kosovo* and North Macedonia, believed to operate fraudulent call centres. The action day targeted these suspects and the servers used for their criminal activities. In total, authorities searched 17 locations, including a call centre in Kosovo*. Authorities seized more than 100 servers, along with other evidence and assets. Seven suspects were arrested for surrender or extradition to Germany.

International cooperation has been key to dismantling the fraudulent scheme, with Eurojust and Europol at the heart of the operation from the outset. Eurojust supported the execution of several European Investigation Orders, European Arrest Warrants and freezing orders and ensured that different countries came together throughout the investigation to exchange information, decide on strategies and plan joint actions. Two joint investigation teams were set up at Eurojust: one involving German, Polish and Albanian authorities and one involving Albanian and Kosovar* authorities. The Western Balkan Criminal Justice Project supported the Albanian and Kosovar* authorities. During today’s action day, the Agency coordinated all judicial actions from its headquarters in The Hague.

Europol delivered extensive analysis, cross-checked data against Europol’s databases and brought national investigators together to prepare joint action. On the action day, Europol deployed its experts to Albania and Kosovo* to support digital forensic work and run immediate checks against Europol’s databases. Its Virtual Command Post supported the coordinated intervention.

The actions were carried out by the following authorities:

• Germany: Public Prosecutor’s Office at the Itzehoe Regional Court, Department for Combating Cybercrime; State Criminal Investigation Office Schleswig-Holstein
• Cyprus: Cyprus Police
• Finland: National Bureau of Investigation
• Albania: Special Prosecution Office against Corruption and Organised Crime(SPAK); National Bureau of Investigation; Albanian State Police
• Israel: Israel Police – National Cybercrime unit Lahav 433 and Legal Assistance Unit – Intelligence Branch
• Kosovo*: Special Prosecution of the Republic of Kosovo; Kosovo Police – Directorate for the Investigation of Economic Crimes and Corruption – Financial Investigations Sector
• North Macedonia: Basic Public Prosecution Office for Prosecuting Organized Crime and Corruption; Ministry of Interior, Bureau for Public Security – Department for Suppression of Organised and Serious Crime

* This designation is made without prejudice to positions on status and is in accordance with UNSCR 1244/ 1999 and the ICJ Opinion on the Kosovo Declaration of Independence