In Austria alone, there are currently 25 known victims with a damage amount of around one million euros, said Michael Babl, spokesman for the Upper Austria police, to the APA. He reported on 200 known victims in Germany and another 25 cheated investors in Switzerland.
One of the victims in Austria alone invested 300,000 euros in the simulated companies, explained Babl. He assumes a high number of unreported cases with other victims.
The investigation began in September 2018 when a victim from the Innviertel reported the investment fraud to the Ried im Innkreis police station. During his investigation, the detective was able to trace an internationally operating group of perpetrators whose head is said to be a 74-year-old German citizen who emigrated to Portugal. According to the police report, he has been pretending to be the managing director or president of companies since 2004 and, together with various accomplices, try to induce people to buy worthless share certificates under false pretenses.
Police expect more victims
Investors, who are contacted by well-trained telephone salespeople, are told about companies in the cancer research arena that are said to be about to go public. Those interested in investing quickly can benefit from bargain prices and strong increases in value. After the monetary transactions, which were processed through Germany, the investors received confirmations of receipt of money and the possession of common shares. With false information, investors were repeatedly pushed to make new payments in order to make the IPO possible. The investigations revealed that the names of the companies kept changing, and payments were again required for the reallocation of share certificates. The “shares” were worthless despite the identification numbers printed on them.
All previously known fraudulent activities were led by the 74-year-old, the police said. The organization appears under the company names GenMedCare Corp., OLEVRA Lda., Schlangenfarm Schladen Ivy Venoms GmbH or Ivy Biz Inc. The accused could not be arrested so far, they are likely to continue to act fraudulently, according to the police report.
The executive assumes that there are other victims. Anyone affected should report to the Ried im Innkreis police station on 059 133 4240.
Source: Nachrichten
