The Australian Securities and Investments Commission (ASIC) has made significant progress in combating scammers, successfully shutting down over 7,300 phishing and investment scam websites in the past year.
The financial losses from scams have also decreased, dropping to $2.74 billion in 2023 from $3.1 billion in 2022. This reduction is partly attributed to ASIC’s efforts in removing fraudulent websites.
Out of the total website removals, over 5,500 were related to investment scams and more than 1,000 were phishing scams, with over 600 involving cryptocurrency investment fraud.
Phishing involves deceiving individuals into divulging personal information through fake emails or text messages that appear to come from reputable organizations.
ASIC Deputy Chair Sarah Court notes that as technology evolves, so do the tactics of scammers. “While technological advancements can enhance our daily lives and work, they also present new opportunities for scammers to exploit,†says Court.
“On average, ASIC takes down 20 investment scam websites each day. Rapid removal of these malicious sites is crucial to preventing further harm to Australians.â€
ASIC collaborates with a third-party company specializing in cybercrime detection and disruption to address these issues, particularly targeting websites operated by offshore criminal syndicates beyond the reach of Australian law enforcement.
The websites taken down include those run by unauthorized individuals offering financial services and ‘impostor’ scams where perpetrators falsely claim association with legitimate businesses.
Despite these efforts, scammers continue to adapt, using new technologies to lure victims. “Anyone can fall prey to these scams … the increasing sophistication of scams, including the use of AI and deep fakes, makes it challenging to distinguish between genuine and fraudulent content,†Court explains.
These scams often appear in social media feeds, designed to capture attention.
The decrease in scam-related financial losses is likely due to ASIC’s website take-downs, the establishment of the National Anti-Scam Centre, and other initiatives by the Albanese government. Nevertheless, the number of people affected by scams continues to rise.
Investment scams remain the most prevalent, causing $1.3 billion in losses in 2023.
For a list of sites taken down by ASIC, visit their website.
To check if a company or individual is licensed to offer investments, visit ASIC’s Moneysmart site. The regulator advises against sharing personal information or acting on investment advice seen on social media and cautions that scammers can create fake news and reviews to make their schemes appear legitimate.
