GROVELAND 一 Chief Jeffrey Gillen reports that the Groveland Police Department is investigating bitcoin scams in which two residents have fallen victim and would like to provide safety tips for how to protect against these scams.
Bitcoin is a form of cryptocurrency. Cryptocurrency is a form of currency that only exists electronically, making it extremely hard to track and making it almost impossible to recover funds.
In the past three weeks, at least two Groveland residents have fallen victim to these scams, resulting in a total loss of $38,000.
In both cases, the victim received a message on their computer indicating that their computer was infected with a virus containing child pornography. The victims were then told to call a number, provided by the scammer, to purchase spyware. Once on the phone, the scammer requests they withdraw a large amount of money and deposit it into a Bitcoin Machine.
The Federal Trade Commission (FTC) offers the following information about cryptocurrency and blackmail scams:
- Only scammers demand payment in cryptocurrency. Businesses or government entities will demand you send cryptocurrency.
- You will never be asked to pay money in order to protect your money.
- Investment scams are one of the top ways scammers trick you into buying cryptocurrency and sending it on to scammers. But scammers are also impersonating businesses, government agencies, and a love interest, among other tactics.
- Scammers often impersonate well-known companies, or familiar phone numbers to build trust and deceive individuals. They might use a real name, like the Social Security Administration, the IRS, or Medicare, or make up a name that sounds official. Some pretend to be from a business you know, like a utility company, a tech company, or even a charity asking for donations.
- Scammers pressure you to act immediately. They might tell you not to hang up so you can’t check out their story. They might threaten to arrest you, sue you, take away your driver’s or business license, or deport you. They might say your computer is about to be corrupted.
- Scammers tell you to pay in a specific way. They often insist that you pay by sending money through a money transfer company or by putting money on a gift card and then giving them the number on the back. Some will send you a check (that will later turn out to be fake), tell you to deposit it, and then send them money.
Groveland Police would like to provide the following safety tips from the FTC to help residents avoid scams:
- Never click on a link from an unexpected message, either through email, text, or social media message even if it seems to come from a company you use or that is familiar.
- Do not pay anyone who contacts you unexpectedly. Most companies, government agencies or bills will not have you pay something over the phone, through a wire transfer, or email.
- Make sure your electronic devices are updated regularly to help prevent against viruses and malware.
- If you believe you have fallen victim to a scam or are talking to someone that you believe is a scammer report the situation to the FTC and your local law enforcement agency.
For more information about common scams visit the Federal Bureau of Investigation (FBI) Cyber Crime website here.
Residents who believe they may have fallen victim to a scam are encouraged to contact the Groveland Police Department at 978-521-1212.
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