- The Singapore Police Force (SPF) on Thursday (Aug 27) warned of fund recovery services scams targeting victims of the Fun Coffee investment scheme.
- The warning comes after authorities said earlier this month that the Fun Coffee platform resembles a Ponzi scheme.
- The South China Morning Post previously reported that victims were believed to have lost close to HK$100 million (US$12.7 million) through the scheme.
- Police warned that scammers are impersonating Fun Coffee representatives or third-party service providers, offering to help victims recover funds lost to the alleged Ponzi scheme.
- The scammers claim to represent Fun Coffee or a third-party service provider and offer to help victims recover money lost through the platform.
- About 200 people have reportedly lost nearly HK$100 million (S$16.3 million) through the scheme, and police advised caution with individuals or services offering to help recover funds lost to scams.
- Fun Coffee, based in Phu Quoc, Vietnam, claimed to have assets of more than US$1 billion (S$1.28 billion) and a team of more than 5,000.
- Investors were asked to install the Fun Coffee app and transfer Tether, a cryptocurrency pegged to the US dollar, into wallet addresses provided through the app.
- Investors were purportedly promised unrealistically high returns and offered additional commissions for recruiting others to join the scheme.
Singapore police have alerted the public about a surge in scams targeting victims of the Fun Coffee investment scheme, which has been linked to significant financial losses. Scammers impersonate representatives of Fun Coffee, claiming to assist in recovering lost funds.
Victims receive online messages instructing them to make payments via bank transfers for supposed deposits, tax payments, or fees necessary for fund recovery. Unfortunately, many only realize they have been scammed after failing to recover their funds despite these payments.
The Fun Coffee platform, based in Phu Quoc, Vietnam, falsely claimed to possess assets exceeding US$1 billion (S$1.28 billion) and boasted a workforce of over 5,000. Investors were encouraged to download the Fun Coffee app and transfer Tether (a cryptocurrency pegged to the US dollar) into wallet addresses provided through the app, with promises of unrealistically high returns and commissions for recruiting others.
The police reported that approximately 200 individuals have lost nearly HK$100 million (S$16.3 million) through this scheme. Authorities have urged the public to exercise caution when approached by individuals or services claiming to help recover funds lost to scams or investments.
“Victims only realised that they had been scammed, when they did not recover their funds as agreed despite making the payments,” the police stated in their advisory.
“About 200 people have reportedly lost nearly HK$100 million (S$16.3 million) through the scheme, which promised unrealistically high returns and commissions for recruiting others. Investors were asked to transfer Tether into wallet addresses via the Fun Coffee app.”
AsiaOne
