Police take down investment fraud network that stole €100 million a month
Dutch police, working alongside Belgian authorities and Europol, have dismantled a major criminal network accused of operating a global investment fraud scheme through dozens of fraudulent call centers.
Investigators estimate the organization generated more than €100 million a month by targeting victims in multiple countries. The group operated around 20 call centers staffed by more than 700 people posing as financial advisers.
The main suspect, a 46-year-old man with Israeli and Polish citizenship, was arrested at an airport in Poland on May 26 after arriving from Dubai. He has since been extradited to the Netherlands, where a judge ordered him held in custody for 14 days.
Between July 7 and 10, authorities arrested several Dutch and Belgian nationals in Cyprus, Greece, and Belgium on suspicion of involvement in the operation. Belgian police arrested five people believed to have worked in one of the call centers. Investigators said additional arrests remain possible.
The operation behind the scam
According to police, the network operated under the cover of a legitimate business. A central headquarters coordinated the operation, while individual call centers were divided into teams responsible for targeting victims in different countries.
Employees used aliases and technical measures to conceal their identities and locations, making the organization difficult to trace, investigators said. Authorities believe the main suspect’s background in cybercrime helped the network avoid detection for an extended period.
Fraudsters contacted victims by phone and online over weeks or even months to build trust. Initial deposits appeared to generate quick profits on fraudulent trading platforms designed to display fake returns. Once victims believed the investments were successful, they were encouraged to deposit larger sums, often in cryptocurrency.
“During the investigation, it became apparent that many people were unaware they were being scammed,” the Dutch Politie said.
“Many of them were approached by the police to prevent further financial damage. It is unknown exactly how many victims the criminal organization has made, but it is estimated that there are tens of thousands of victims worldwide. The damage suffered by Dutch victims amounts to nearly €25 million.”
Dutch authorities have received around 550 reports linked to the investigation, while Belgian police have recorded about 200. Most victims in the case lost more than €10,000 each.
International cooperation helped crack the case
Police worked with hosting providers to dismantle parts of the group’s online infrastructure during the investigation. Financial records and IP address data helped investigators identify equipment, office locations, and suspects, while Europol facilitated the exchange of intelligence with authorities in other countries.
Police also warned victims to be cautious of so-called recovery companies that claim they can recover lost investments in exchange for an upfront payment.
“However, these ‘recovery companies’ are presumably part of the same fraudulent criminal organizations that try to swindle victims out of even more money,” they concluded.