JOHOR BARU: A 64-year-old Singaporean engineer has reportedly lost RM1.9mil to an online investment scam.
Johor police chief Comm Datuk M. Kumar revealed that the police were alerted to this case after receiving a report from the victim on Thursday (Oct 17).
The victim encountered an investment advertisement on Facebook while in Singapore in December 2023 and clicked on the link for further information.
He was then added to a WhatsApp group related to investments, where he received a briefing on the investment process.
He was informed that he only needed to provide the initial capital, while the company would manage the investment, promising returns of 5% to 12% on the invested amount.
Comm Kumar explained that, lured by these potential profits, the victim followed the suspect’s instructions to download an application for registration and to monitor his investment's status and gains.
Between February and March 2024, the victim made online payments amounting to RM1,948,000 to a designated bank account in Malaysia.
The victim only realised he had been scammed when he could not withdraw the profits shown in the investment application.
Additionally, he was asked to make further payments, including taxes, to recover his invested capital, while efforts to contact the suspect failed.
The case is being investigated under Sections 420 and 411 of the Penal Code.
Offenders convicted under Section 420 may face imprisonment of no less than one year and up to ten years, with whipping, and may also be fined.
A conviction under Section 411 can result in a maximum imprisonment of five years, a fine, or both.
"We remind the public to be cautious of online investment schemes offering high returns.
"They should verify the legitimacy of companies or investments with relevant bodies such as the Securities Commission and Bank Negara Malaysia.
"We also encourage the public to use the online 'Semak Mule' service to check the status of phone numbers or bank accounts for records of fraudulent activity," he advised.
Further information on commercial crime modus operandi is available through the Commercial Crime Investigation Department's Facebook, Instagram, and TikTok accounts.
