Criminal Gang Busted in Ukraine: Posing as Bank Officials, Defrauding Victims in Czech Republic of Millions
Overview
- Authorities in Ukraine and the Czech Republic announce the dismantling of a criminal gang that defrauded people in the Czech Republic over the phone, posing as bank officials.
- Between 2022 and 2023, the fraudsters reportedly caused over 30 million Czech crowns ($1.2 million) in damages to their victims.
The Criminal Gang
- Nine individuals were detained in Ukraine in connection to this case.
- The criminal gang had a call center based in Odesa, Ukraine.
- Suspects were seen in custody in a video published by Ukrainian authorities.
Fraudulent Activities
- Criminals posed as employees of the Czech National Bank.
- Convinced victims that their banking accounts had been compromised.
- Installed malware enabling unauthorized online banking access in some instances.
- Asked people to withdraw cash and hand it to a bogus courier in others.
Damages and Assets
- The fraudsters reportedly made over 150 phone calls between 2022 and 2023.
- Nearly 30 million Czech crowns ($1.2 million) in damages.
- Funds obtained from illegal activities were converted into cryptocurrency and used to purchase luxury cars and real estate.
Investigations and Collaborations
- Czech police spent over a year and a half to identify the suspected criminals and their connections.
- Hackers used the real names and phone numbers of actual bank employees to mask their identities during fraudulent phone calls.
- In January, cybercriminals stole banking information by posting phishing links on European e-commerce websites and then calling victims (unrelated to this case).
Raids and Penalties
- Over 100 police officers from both countries conducted 23 searches and raided the criminals’ headquarters in Odesa.
- Detainees included the 40-year-old organizer and a 50-year-old woman who recruited new members.
- Members of the gang could reportedly earn up to 200,000 Czech crowns ($9,000) per month.
- Ukrainian members of the gang could face up to 12 years in prison and confiscation of property if found guilty.
- Other suspects are awaiting extradition to the Czech Republic for up to 10 years in prison.
Previous Collaborations
- The second time Ukrainian and Czech police collaborated to apprehend criminals responsible for internet schemes.
- Previous dismantlement of a criminal group making millions of dollars through fraudulent phone calls in November.
- The modus operandi of the criminal groups is remarkably similar, but it is undetermined if they are connected.