Protecting yourself against fraud

What you should know

An estimated 9 million people in the UK fell victim to financial fraud in the past year, according to Citizens Advice.  Well-funded criminal networks are increasingly targeting wealthier victims, using prevalent tactics such as fake communications (“phishing”), identity theft and account takeover as well as advanced technology including deepfake videos and generative AI. The fraudsters also use cloned websites which appear to be run by genuine firms offering investment opportunities.  

Investment scams account for just over a quarter of all authorised push payment (APP) fraud cases with average losses being over £25,000. These scams are not immediate but take place over months to establish trust before floating a plausible scenario waiting for the victim to bite. The fraudster may pose as a financial adviser or somebody running an investment firm. They may approach through legitimate web forums or group chats or via online advertisements including social media posts. On the face of it they may look to be supported by recognisable faces, but in reality those faces have been digitally enhanced, created to give the advert more legitimacy.  

Once fraudsters have obtained contact details, they may cold-call or send unsolicited emails offering investment opportunities.  Fraudsters may deploy a combination of high-pressure tactics, claims of scarcity, principal protection or high returns to generate interest.  In reality the securities are either worthless or non-existent.

Fraudulent Telegram Channels
We have become aware of fraudulent Telegram channels that are unlawfully using our bank’s name, logo, and branding to impersonate us and contact customers. These channels are not affiliated with the bank in any way.

EFG does not operate any Telegram channels or groups - If you are contacted by someone via Telegram or see a channel using our branding, do not engage and report it to us immediately.

Brand Mis-use

The bank is aware that malicious actors are using the bank's brand to attempt to carry out investment scams, obtain fictious refunds or steal funds through fraudulent methods.  This involves fraudsters impersonating the bank or its employees/agents to deceive individuals into fraudulent investment opportunities, making payments or facilitate claims for unclaimed money, refunds or reimbursements. 

In particular, the Bank is aware that the malicious actors are using an address ending in @sc-path.com (https://www.sc-path.com, [email protected], [email protected]) and a telephone number +44 7510 677564. The bank is also aware of fraudulent documents claiming to facilitate refunds, which reference a US-based firm, DJK Law Group, and a Polish-registered company, Trustback SP. Z.O.O., neither of which has any affiliation with the bank.

The bank and our associated entities, EFG International and EFG Bank AG have been notified of fraudulent documents relating to a suspected real estate/investment fraud known as “Project 2035”. 

These are part of a scam and whilst may appear legitimate, they are fraudulent. Neither the documents, websites, email addresses nor the telephone numbers are used by EFG. Please report any correspondence you receive from the above email addresses or calls from the above numbers to the Police. DO NOT TRANSFER MONEY IF REQUESTED TO DO SO.

Fraudulent Refund/Compensation Scam

EFG have also been made aware of members of the public being contacted by criminals purporting to be companies or working for or on behalf of regulatory agencies to assist the public in obtaining refunds or compensation for prior instances of fraud loss. The correspondence through these channels will contain the use of intellectual property, such as the FCA logo, to make it appear legitimate. These scams often involve impersonation and social engineering tactics, aiming to trick individuals into further financial loss. Paying a fee to access allegedly recovered funds held by a financial institution is a common scam, often referred to as an advance-fee scam or recovery room scam. This tactic is used by fraudsters to trick people into sending them money for services that will never be provided.

What should I look out for?

Some potential indicators of fraudulent activity with regard to investment scams include:

• Have you received unsolicited contact about an investment opportunity via phone, email, or social media?
• Have you seen adverts on your social media feeds offering unusually high returns on investment?
• If you've spoken to someone, did you feel pressured to make a payment, transfer funds, open an account or invest without time to consider the investment?
• Have you been offered a high return on your investment with seemingly little or no risk?
• Have you been told that the investment opportunity is exclusive to a small group, of which you are a part?
• Have you been asked to invest an initial small amount?
• Does the offer sound too good to be true?
• Are there gaps in the information you're being given?
• Does the contact information match up with what you find in the public domain?

EFG, like most financial services firms, offers a variety of products and services BUT

• EFG do not have a Refund Department and do not use WhatsApp to facilitate banking or investment services with clients/external parties.
• EFG will not ask for passwords or PIN numbers
• EFG does not cold-call potential clients to sell investments.
• EFG will never ask for an upfront fee to access legitimate funds.
• EFG would never rush you to make an investment decision.

How can I protect myself?

• Be vigilant if you have been approached to make an unsolicited investment or payment.

• Always approach unsolicited contact containing urgent appeals for investment or personal information with caution.

• Confirm the validity of the source of the message, ensuring it comes from a trusted source by carefully examining the address itself, as well as the content within it.

• Don’t make any payments unless you have confirmed the legitimacy of the transaction. If in any doubt contact your bank directly through a trusted contact before investing or making a payment.

• Check the legitimacy of websites offering financial services before considering investing.

• Stop and review - before making any decisions to invest or provide personal information, take a moment to stop and think, especially if a call, letter, email, or text has come unexpectedly.

• Use the Financial Conduct Authority’s (FCA) register to check if the company is regulated by the FCA.

Further information on the types of scams as well as guidance and resources can be found at www.takefive-stopfraud.org.uk

What you can do to help

Please get in touch with our Financial Crime Team [email protected] if:

• you think you have received unsolicited contact by individuals claiming to represent EFG
• you have received questionable marketing material or other documentation in the name of EFG
• you are being pressured in to making a payment or investing
• you have doubts as to the whether an investment opportunity is genuine

Report Suspicious Activity: If you are contacted by someone claiming they can help you recover funds and asking for a fee, end contact immediately and report it to the relevant authorities.

What can you do if you suspect you have been the victim of fraud

Report it immediately to your bank – contact details are found:

• on debit or credit cards
• the firm’s mobile app
• the firm’s official website (however do not use links through emails or text messages, but type the financial institutions web address directly in to the search engine bar)
• also Stop Scams UK can also connect you safely to your bank: you can access this service by dialling 159 (calls are charged at the standard national rate).
  StopScams - https://stopscamsuk.org.uk/159

Report it to law enforcement. If you live in the UK, this would be Report Fraud.

• Report Fraud - https://www.reportfraud.police.uk/

Report it to the Financial Conduct Authority. Their ScamSmart pages provide information on how to report a scam as well as containing other useful information and guidance.

• FCA ScamSmart - https://www.fca.org.uk/scamsmart