Cryptocurrency Scam Rocks Namibia: Police Hint at More Arrests as Investigations Continue
Namibian authorities have launched a massive crackdown on an international cryptocurrency scam, which has led to the arrest of over 50 locals. The sting operation has implicated a staggering 88 Namibians, primarily young individuals, who were recruited to participate in the fraudulent scheme.
The Scheme: “Romancing Pig Butchering Cryptocurrency Investment”
According to police Deputy Inspector General Major General Elias Mutota, the suspects were trained by suspected foreign nationals to create fake profiles on social media platforms such as Facebook and Instagram. These profiles were used to build trust with unsuspecting U.S. citizens before introducing them to cryptocurrency investments that promised quick and substantial returns.
The scam involved fraudulent investment opportunities presented within the context of a romantic relationship. The suspects were instructed by their foreign handlers on how to craft deceptive profiles and establish relationships with victims until they were willing to invest.
Police Investigation Reveals Shocking Details
Police investigations have revealed that the suspected foreign nationals controlled electronic wallets associated with the scheme, providing:
- Accommodation for the Namibian students who carried out the fraudulent activities
- Cash payments and transportation for the students
- Company cell phones, which were collected twice a week when they were off duty
Seized Assets and Charges
During the arrests, authorities seized:
- 163 computers
- 350 mobile phones
- Six motor vehicles
- 12 firearms
- Ammunition
- Drugs
- Protected resources
- An account holding $465,045 (N$8.9 million)
The arrested individuals face a range of criminal charges, including:
- Human trafficking
- Money laundering
- Fraud
- Tax evasion
Investigation Ongoing
Police Deputy Inspector General Major General Elias Mutota warned that police investigations are ongoing and the likelihood of apprehending more suspects and seizing additional assets cannot be ruled out.
The authorities have targeted several residential premises and office spaces in Ausblick, Kleine Kuppe, Klein Windhoek, and the Shapumba Towers Building as part of their investigation.
No Actual Investments Made
The authorities have also discovered that no actual investments were made, and client contributions were simply stolen from fake wallets and withdrawn from two Bitcoin kiosks located in local shopping malls using PayPal.