Police Warn Of ‘Fraudulent Schemes’ Circulating
Noting that “several persons have fallen victim to the scheme, with one Bermudian ‘investing’ upwards of BDA $10,000,” the police are “alerting the public to two fraudulent schemes currently circulating within the community.”
A police spokesperson said, “The Bermuda Police Service is alerting the public to two fraudulent schemes currently circulating within the community.
“The first is dubbed, the “Hyperfund Scam”. A company which appears legitimate, invites you to invest with them, whilst offering large returns on your investment. Hyperfund operates on a multi-level marketing model, similar to that of a Ponzi scheme. Several persons have fallen victim to the scheme, with one Bermudian ‘investing’ upwards of BDA $10,000.
“In the second scam, persons are being contacted by individuals purporting to be from the online shopping platform Amazon. The fraudster then informs the intended victim they have a monetary claim on hold and requests certain personal details to confirm their order. This is an attempt from the fraudster to obtain the personal banking details of unsuspecting victims.
“The following are red flags associated with these two fraudulent schemes:
- “Unusually high returns on investment.
- “Unclear as to how the companies are making high returns.
- “Companies that are not registered with the local regulatory authorities.
- “Investment schemes that ask you to recruit new members.
- “Unknown persons contacting you and asking for your personal/banking information.
“Detective Chief Inspector Sherwin Joseph, who heads up the Specialists Investigations Department, offered the following advice:
- “You should perform independent research of the company to confirm their legitimacy and identify if any adverse news exists about them.
- “Try to understand how the company is making such high profits.
- “Be wary of companies that ask you to recruit other members.
- “Be suspicious. If it sounds too good to be true, it more often than not, usually is.
- “Do not provide your personal information online, unless able to properly identify those requesting that information.”
“Any incidents of suspected online fraud should be reported to the Financial Crime Unit on telephone number 247-1757 or, via email address Group-FCU@bps.bm.”
