Saleswoman Loses RM290,000 to Investment Scam and Fake Recovery Agent in Malaysia

A Malaysian saleswoman has lost a total of RM290,000 after falling victim to two separate but connected scams. She was first lured into an investment scam promising high returns, and after realising her losses, was targeted again by a fake recovery agent who claimed they could retrieve her stolen funds.

This type of double-hit fraud is increasingly common in Malaysia and across Southeast Asia. Scammers operating recovery fraud specifically target known scam victims, offering to recover lost money for an upfront fee. The victim ends up losing even more.

The scam begins with a typical investment fraud scheme. Victims are approached through social media or messaging platforms with offers of high-return investments in stocks, forex, or cryptocurrency. Once they transfer funds and realise the investment is fake, a second group of scammers contacts them.

These fake recovery agents pose as lawyers, government officials, or financial consultants. They claim to have the ability to trace and recover the lost funds, but require processing fees, legal costs, or tax payments upfront. In reality, the recovery agents are often connected to the original scammers or are separate criminal groups that purchase lists of fraud victims.

How common are investment recovery scams in Malaysia?

Recovery scams are a growing threat in Malaysia. Scammers specifically target victims who have already lost money, knowing they are desperate to recover their funds. PDRM has warned that this tactic is on the rise.

How do I report an investment scam in Malaysia?

Call 997 (NSRC), lodge a police report, report via SemakMule at semakmule.rmp.gov.my. You can also contact Bank Negara Malaysia if the scam involved financial products or banking transactions.