LYON, France: A global stop-payment mechanism developed by INTERPOL has helped Singapore authorities make their largest ever recovery of funds defrauded in a business email compromise scam.
On 23 July 2024, a commodity firm based in Singapore filed a police report stating that they had fallen victim to a business email compromise scam, in which a scammer obtains access to or impersonates a business email account to deceive employees into transferring money to their bank account.
On 15 July, the firm had received an email from a supplier requesting that a pending payment be sent to a new bank account based in Timor Leste. The email, however, came from a fraudulent account spelled slightly different to the supplier’s official email address.
Unaware, the firm transferred USD 42.3 million to the fake supplier on 19 July, only discovering the crime four days later when the genuine supplier said it had not been paid.
On receipt of the police report, the Singapore Police Force (SPF) swiftly requested assistance from authorities in Timor Leste through INTERPOL’s Global Rapid Intervention of Payments (I-GRIP) mechanism.
I-GRIP uses the global police organization’s 196-country police network to speed up requests for assistance in financial crime cases.
On 25 July, the SPF’s Anti-Scam Centre received confirmation that USD 39 million was detected and withheld from the fake supplier’s bank account in Timor Leste.
Moreover, Timor Leste authorities arrested a total of seven suspects in relation to the scam through follow-up investigations, leading to the further recovery of more than USD 2 million. Steps are being taken for the return of the stolen funds to the victim in Singapore.
Isaac Oginni, Director of INTERPOL’s Financial Crime and Anti-Corruption Centre (IFCACC), said:
“Speed is crucial to successfully intercepting the proceeds of online scams, with police, financial intelligence units and banks cooperating across multiple jurisdictions in a race against time.
“The cooperation between authorities in Singapore and Timor Leste in this case was exemplary and demonstrates how quick action through INTERPOL can help recover funds taken from the fraud victims and identify the perpetrators.”
Global threat
David Chew, Director of the SPF’s Commercial Affairs Department, said:
“Scams are a global threat that requires a global response from law enforcement. Today, money moves at the click of a button, and law enforcement must be able to move as fast to protect our citizens. We commend the swift and decisive action of INTERPOL’s Financial Crime and Anti-Corruption Centre, which played a pivotal role in the prompt interception of more than USD 40 million.”
Since its launch in 2022, INTERPOL’s I-GRIP mechanism has helped law enforcement intercept hundreds of millions of dollars in illicit funds.
During its pilot phase, I-GRIP was pivotal in helping several countries recover funds transferred to fraudsters in the early years of the COVID-19 pandemic, including the interception of USD 3.4 million transferred from an Italian company in September 2020 for non-existent medical equipment in Indonesia.
In a 2024 INTERPOL operation, police used I-GRIP to intercept USD 331,000 in a business email compromise fraud involving a Spanish victim who transferred money to Hong Kong, China.
INTERPOL is encouraging businesses and individuals to take preventative steps to avoid falling victim to business email compromise and other social engineering scams. For more information and resources, visit our website: https://www.interpol.int/Crimes/Financial-crime
Timeline of a scam
15 July | Singapore firm receives scam email from fake supplier |
19 July | Firm transfers USD 42.3 million to the fake supplier via a bank account in Timor Leste |
23 July | Firm discovers the fraud after genuine supplier reports not being paid and files police report in Singapore; Singapore Police Force reaches out to INTERPOL |
24 July | Singapore receives confirmation via INTERPOL that more than USD 39 million was intercepted thanks to cooperation with Timor Leste authorities |
24-26 July | Timor Leste authorities arrest several suspects and recovers additional USD 2 million |
