Scammers exploiting crises to target Australians

Scam activity escalates during crises such as pandemics as well as natural disasters including fire or floods, according to Flinders University researchers Dean Taodang and Dr RV Gundur.

In a new article in the journal Victims and Offenders, the researchers warned that circumstances like COVID-19 and the floods in Northern NSW are fertile ground for scammers, who view crisis events as target-rich opportunities.

“Even if the fraud is exposed and stopped by authorities, others can then move in to fleece victims. Times of external crisis create unusual circumstances which increase the chances of potential victims responding to a fraudulent approach via their phone, email or web,” Taodang said.

“Even if the fraud is exposed and stopped by authorities, others can then move in to fleece victims. Times of external crisis create unusual circumstances which increase the chances of potential victims responding to a fraudulent approach via their phone, email or web.”

In Australia alone, ScamWatch (2021) has recorded more than 165,000 reports of scams a year since 2018, with about 10% of the reported scams resulting in financial losses ranging from $107 million in 2018 to more than $192 million in 2021.

Gundur, a senior lecturer in criminology, meanwhile warned Australians to be wary of signs of scam and fraud activity during these uncertain times.

“It’s important we highlight the risk of financial and cyber fraud to guard against opportunists, particularly when compensation or recouping losses is unlikely,” he said.

As an example, many scammers attempted to capitalise on the recent bushfires by soliciting fake donations.

“Gone are the days of clear places to give,” Gundur said.

“We now think about helping people using all kinds of crowdsourcing platforms [and] fraudsters use the fast-moving timeframes to take advantage of well-meaning people eager to help.”

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