Using Product Sale Advertisements to Commit Fraud: Prosecutor's Office

The Prosecutor's Office of Armenia reports that a study of incidents related to property crimes from the year 2022 reveals a significant increase in cases of fraud associated with product sale advertisements on online trading platforms, such as "List.am."

According to the Prosecutor's Office, these types of crimes are primarily executed in two scenarios:

In one scenario, after a product sale advertisement is posted on trading platforms, unknown individuals reach out to the seller through the "WhatsApp" application using foreign or local phone numbers. They request the seller’s bank card details under the pretense of purchasing the product and transferring the payment to their bank card. The scammers provide the so-called "buyer" with their bank card details, including codes, and then fraudulently withdraw the funds from the seller's bank card.

In another scenario, criminals contact sellers under the pretense of wanting to purchase listed products. They claim to live in a different location and suggest closing an electronic deal via "Haypost," promising to make a payment in exchange for having the courier deliver the product to that location. Afterwards, the criminals send a so-called "Haypost" trap link, where individuals register by providing their bank details and codes. Immediately after, they discover that the link is fake and that their trust has been exploited. Using computer technology, the perpetrators manage to download bank details obtained through the fake link, transferring the money from the ATM card to other gambling or personal accounts, thus committing the theft.

The study indicates that the criminals operate with premeditated scenarios and schemes, often deploying "psychological traps" to generate urgency, compelling the "victim" to quickly provide their ATM card security details. For instance, the "buyer" may offer a rapid payment for the product without negotiating the price, which entices the seller to accept the offer and supply their bank card details.

Moreover, the criminals utilize the data of multiple individuals, meaning the criminal act encompasses more than one incident. During the first half of 2022, 145 cases of crimes were recorded using the aforementioned methods, with only 11 cases not being completed due to insufficient funds on the provided bank cards. In total, 82 criminal cases were initiated, of which only 2 have been solved. The overall damage caused by these crimes was reported to be 18,147,818 Armenian drams.

The studies reveal that the rise in thefts through these methods is primarily due to the victims' lack of awareness regarding ATM transaction systems and insufficient knowledge of the rules for using cards. Another contributing factor is the criminals’ confidence that by using uncontrolled communication means and transferring the stolen funds across several accounts, their crimes would go undetected.

In light of the widespread adoption of this criminal scheme, the Prosecutor's Office of Armenia urges citizens to:

• Under no circumstances should individuals provide their ATM card security details, especially the PIN code, to others, as electronic payment systems may be rendered powerless against criminal access to card funds.
• Prior to entering into electronic sales contracts from organizations claiming to be trustworthy, ensure that such services are indeed available and take additional measures to verify the validity and reliability of provided online links.
• Make efforts to continue communication with individuals proposing product purchase offers through controlled means that allow for personal identification and be cautious when conducting online transactions with those who show signs of avoiding verification.