Financial Crime World

Bulgarian Authorities Dismantle Massive Online Investment Scam

A coordinated effort by judicial and law enforcement authorities in Bulgaria, supported by Europol and Eurojust, has led to the takedown of a vast online investment fraud network that defrauded investors of at least EUR 10 million.

Investigation and Arrests

On January 26, Bulgarian authorities arrested one suspect and searched 24 locations, interrogating 66 witnesses in Sofia and Burgas. A significant amount of electronic equipment, financial information, and recordings were seized as evidence.

International Cooperation

Europol deployed two experts to facilitate the exchange of information and provide real-time operational analysis and technical expertise. Eurojust coordinated the joint action day and provided cross-border judicial support. National authorities dispatched around 100 officers and prosecutors during the operation.

The Scam

The scam came to light after complaints from German and Greek investors who had lost all their deposits invested in the online scheme. The organized crime group behind the fraud set up bogus websites and call centers that appeared legitimate but were actually fraudulent.

How it Worked

Two call centers, operating in Bulgaria, posed as financial consultants, contacting potential investors in German, Greek, English, and Spanish, promising significant profits. Hundreds of victims made substantial investments, only to lose all their money.

The Investigation

The investigation, which began in 2019, involved a joint investigation team between Bulgaria, Germany, Greece, Serbia, and Europol. Following five coordination meetings with Europol and Eurojust, the team identified the two fraudulent call centers in Bulgaria. The Bulgarian police, supported by Serbian authorities, dismantled both centers on the action day.

EMPACT

This operation is part of the European Multidisciplinary Platform Against Criminal Threats (EMPACT), which targets the most significant threats posed by organized and serious international crime affecting the EU. EMPACT strengthens intelligence, strategic, and operational cooperation between national authorities, EU institutions, and bodies, as well as international partners.

Participating Authorities

The operation involved the following authorities:

  • Law Enforcement Agencies
    • Bulgarian Economic Crime Department
    • General Directorate National Police
    • National State Security Authority and Regional Directorate of the Ministry of Interior - Burgas
    • German Criminal Investigation Department Bayreuth
    • Federal Criminal Police Office, Wiesbaden
    • Greek Cybercrime Division of the Hellenic Police
    • Serbian Criminal Police Directorate, Service for Combating Organized Crime, Department for Cyber Crime
  • Judicial Authorities
    • Bulgarian Specialised Prosecution Office of Sofia
    • German Office of the Public Prosecutor General of Bamberg
    • Bavarian Central Office for Prosecution of Cybercrime
    • Greek General Prosecutor’s Office of the Supreme Court
    • Special Investigative Judge for Mutual Legal Assistance in criminal matters at the Court of First Instance of Athens
    • Competent Investigative Judge of the Court of First Instance of Athens and Thessaloniki
    • Republic Public Prosecution Office and Special Prosecution Office for High-Techn Crime of Serbia

Conclusion

The operation highlights the need for international cooperation to combat online investment fraud, which remains a significant threat to investors in the EU.