From VIP to Victim: Man Loses RM444k in Fake SPDR Investment Scheme

A 53-year-old man lost RM444,000 after falling victim to a fraudulent online stock investment scheme. The scheme, linked to a WhatsApp group named “SPDR VIP35,” promised lucrative returns but ultimately left the victim in financial ruin.

The man, a private firm account manager, was approached in July by an individual claiming to be an investment consultant. The caller persuaded him to invest in stock markets through a specialised stock application. Trusting the consultant, he downloaded the app and joined the SPDR VIP35 WhatsApp group, which was presented as an exclusive community for investors.

Between 31 October and 22 November, the victim transferred RM444,000 across 16 transactions to seven different bank accounts provided by the scheme operators. According to Johor Baru (South) police chief Assistant Commissioner Raub Selamat, the victim was able to monitor his purported profits through the application. The app showed an impressive RM3.16 million in earnings, which further encouraged his trust in the scheme.

However, issues arose when the victim attempted to withdraw his profits. The scammers demanded a 10% commission, amounting to RM289,000, to unlock his funds. When he hesitated, they threatened to shut down his investment account. Members of the WhatsApp group also warned him against reporting the incident, heightening his fear.

Realising he had been duped, the man filed a police report. The case is currently under investigation under Section 420 of the Penal Code, which deals with cheating. If convicted, offenders face up to ten years in prison, whipping, and a fine.

Assistant Commissioner Raub urged the public to exercise caution when dealing with online investment offers that promise high returns. He also advised against lending or selling bank accounts, as these could be misused for illegal activities. Allowing others access to ones financial accounts without lawful purpose is a punishable offence under Section 424B of the Penal Code.

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