Sophistication of investment scams

OVER the weekend, there was a media report about another cash trust scheme imploding where there were 1,800 victims nationwide with losses estimated to be more than RM100mil.

This cash trust scheme promised 8% to 10% guaranteed returns per annum (which sounds reasonable compared to many other types of scams), but after the returns had been distributed for a period of time, the flow of payments stopped and eventually, capital withdrawals were halted.