Financial Crime World

Financial Crimes on the Rise in Cyprus: What You Need to Know

Financial crimes have become a significant concern for individuals and companies in Cyprus, with consequences that can be severe and long-lasting. As an investor, it’s essential to be aware of the common types of financial crimes and take steps to protect yourself.

Who is Targeted?

Experts warn that anyone can fall victim to financial crimes, but certain groups are often targeted. These include:

  • The elderly
  • Individuals with high financial wealth
  • Those from specific geographic locations

For example, pension schemes are often targeted at older adults.

Types of Financial Crimes

The most common types of financial crimes include:

  • Mortgage fraud
  • Advance-fee schemes
  • Ponzi schemes
  • Stealing identifying information
  • “Pump-and-dump” schemes
  • Credit-card theft
  • Pyramid schemes
  • Foreign-lottery schemes
  • Recommending unsuitable trades or trading techniques to traders who do not have a high-risk trading history

Suing for Financial Crime

Investors who believe they have been victims of financial crime may be able to sue in the jurisdiction where the alleged tort/crime occurred, where they reside, or where the defendant resides. However, if the parties stipulated a specific jurisdiction in their contract, that clause will govern.

It’s essential to consult with an experienced securities lawyer to determine whether you have a case. The lawsuit can only be brought forward if there is a cause of action, and simply losing money due to investment risks does not automatically entitle you to sue for the losses.

Red Flags to Watch Out For

Be cautious of investments that promise:

  • Guaranteed returns
  • False sense of urgency
  • Claims that other investors have already invested

Statute of Limitations in Cyprus

In Cyprus, the statute of limitations for suing in cases of financial crime is typically six years from when the claimant or their agent discovered the fraud or could have discovered it with reasonable diligence. However, different jurisdictions have different statutes of limitations, and it’s crucial to consult an attorney immediately to ensure you are not time-barred from suing.

Victims of financial crime should seek legal advice as soon as possible to protect their rights and fight against the perpetrators. Don’t wait – take action today to secure your future and prevent further losses.