GEORGE TOWN: A 53-year-old sales officer from Penang lost RM1.97 million after falling victim to an online investment scam falsely using the name of a well-known US financial services company.
Penang police chief Comm Datuk Azizee Ismail said the woman lodged a police report at the George Town police headquarters Commercial Crime Investigation Department on Wednesday (Oct 29).
"Preliminary investigations found that the victim came across an investment advertisement on Facebook in mid-August, promoting high-profit stock investments.
"She later communicated with a woman via WhatsApp and was invited to join a group," he said here on Friday (Oct 31).
Comm Azizee said the victim was promised returns of between 150% and 200% within two weeks of investing.
He said the victim was instructed to download an application to register and begin investing.
He said the victim, a sales officer with a private company in the state, made 35 transactions amounting to RM1.97mil into six different bank accounts.
"The victim then tried to withdraw her 'profits' through the app that she downloaded, but the withdrawal was unsuccessful," he said.
The victim then lodged a report after realising she had been duped.
Comm Azizee said the case is being investigated under Section 420 of the Penal Code for cheating.
The offence carries a jail term of between one and 10 years, whipping and a fine upon conviction.
He advised anyone planning to make online investments, especially in schemes offering unusually high returns, to check with the authorities, such as Bank Negara or the Securities Commission, before investing.
