RM1.47bil lost to investment scams via social media platforms


KUALA LUMPUR: Investment scams resulted in RM1.47bil in losses across 9,603 cases, with police identifying five primary methods that predominantly use social media as a channel.

Bukit Aman Commercial Crime Investigation Department director Comm Datuk Rusdi Mohd Isa outlined several tactics that have been identified, including the creation of fake companies (often referred to as ‘clone firms’), promises of quick and high returns, Ponzi schemes, love scams, and fraudulent cryptocurrency platforms.

He said syndicates lure victims via Facebook and Instagram, switch to WhatsApp or Telegram, then add them to fake investment groups run by supposed “professional traders”.

“Victims see profits on fake platforms but can’t withdraw funds, and they are then asked to pay extra processing fees, taxes or other charges,” he told Bernama.

He said alongside social media and messaging apps, trends now show growing use of crypto like USDT (Tether), with victims told to send funds to syndicate digital wallets via illicit platforms.

“In Ponzi schemes, the initial profits are generated from the contributions of new investors, continuing until no further participants join, at which point the scheme inevitably collapses,” he said.

Comm Rusdi said non-existent investment cases had risen ­sharply, with 6,337 cases causing RM848.6mil in losses in 2024, surging to 9,603 cases and RM1.47bil in 2025.

“Between January and March this year, police recorded 2,204 cases with losses of RM246.7mil, proof that this crime is ongoing and worrying,” he said, adding that stock investments topped the number of cases, followed by crypto and gold, showing the syndicate’s trend of exploiting popular investment options.

“Victim profiles show those aged 31 to 50 are most affected, especially the 41-50 group.

“This trend is followed by ages 51-60 and 21-30, showing ­working-age groups active in finance and investments are most vulnerable,” he said.

Comm Rusdi said private sector workers ranked highest among victims, followed by civil servants and the self-employed.

He also urged the public not to be easily swayed by investment offers promising high returns in a short time and to conduct checks before investing.

“Members of the public are also reminded not to make any payments to suspicious accounts, including those belonging to unregistered individuals,” he added.

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