Issue Date:  -  Tuesday, 19 December 2006

WA ScamNet’s worst scams for 2006

Fake Spanish lottery wins has edged out money mule recruiters and the David Rhodes chain letter to top WA ScamNet’s list of worst scams for 2006.

WA ScamNet Consumer Protection Commissioner Patrick Walker said Consumer Protection’s scam alert website, WA ScamNet, received about 32,000 letters and emails from consumers in the past year notifying the department of different scams.

“The efforts of our contributors has helped make WA ScamNet a leading global force in profiling and warning consumers against scams with about 200,000 visitors to the site in the past 12 months, including many international consumers,” Mr Walker said.

Letters and emails falsely claiming consumers had won millions of dollars in two legitimate Spanish lotteries, El Gordo and La Primitiva, topped the list as the most reported scam to WA ScamNet.

“These advance fee fraudsters are experts in convincing people to hand over money for various fees to access the lottery winnings,” Mr Walker said. “Unfortunately many ordinary Western Australians have fallen victim to this con and some have reported they have lost between $5000 to $90,000 to these scammers.”

Fake unsolicited email job offers which recruit people to launder stolen money through their bank accounts was the second most reported scam.

“There has been a proliferation of money mule scams led by Swiss Invest and its various incarnations, including Global Austrian Syndicate and Athens Financial Group, which use similar wording and sophisticated template websites,” Mr Walker said.

The infamous David Rhodes pyramid chain letter, which has undergone various name changes including Paul Richmond, Mike Fitzgerald, Pat Griffin, Edward L. Green, David Stein, and Paul Collins, also snared many people. In the past two years, about 2400 Western Australians have received formal warnings from Consumer Protection to cease their involvement in this illegal scheme.

The worst 10 scams are:

 Fake wins in the legitimate Spanish El Gordo and La Primitiva lotteries.
 Money mule scams led by Swiss Invest and its many incarnations.
 David Rhodes pyramid chain letter.
 Fake wins in the legitimate UK National Lottery or Euromillions lottery.
 Contest operators Opportunities Unlimited Publications.
 Carter, Hammond and Pierce and its 17 associated “contest entry compilations” scams.
 Brazen black-hearted Blacktacos which produce at least 15 different scams.
 Contest operators and junk jewellery promoters National Awards Commission.
 Fake prolific psychic Gabriel D’Angelo.
 Psychobabble promoters The Nuova Tech Society or NT Society.

“These scammers use postal and email address lists to prey on people’s vulnerabilities with false or misleading claims of lottery or contest wins; too-good-to-be-true offers; or personal psychic predictions promising hope,” Mr Walker said.

“I urge people to think twice before responding to any unsolicited offer and to research it carefully, even if the letter or email is personally addressed to you. If you are not sure, ask a family member or check with us at Consumer Protection.”

WA ScamNet’s website is www.docep.wa.gov.au/wascamnet <http://www.docep.wa.gov.au/wascamnet> or call the Consumer Protection advice line on 1300 30 40 54.