NZ FMA Warns of Deepfake Video Scam Using Fake Political Endorsements to Promote Online Investment Schemes

In a new warning released today, the Financial Markets Authority of New Zealand (NZ FMA), warned about a deepfake video scam. The regulator has received several reports about the scam where fraudsters fake and misuse New Zealand politicians’ names and images and use fake endorsements supposedly coming from them to promote online investment schemes.  

This scam uses fake news stories, spread through multiple websites and advertisements, with the names of investment schemes and websites used to promote the scam changing frequently.

Keeping Vigilance against:

Entity names

ProClubTeam; Finance Phantom; Immediate Edge

Websites

Proclubteam.com; Finance-phantom.nz; Pleasantery.com (Immediate Edge)

Email

support@proclubteam.com; info@finance-phantom.nz

The scammers draw in victims through advertisements placed on social media platforms and news aggregators. There are several variations of these advertisements. Some ads:

• Show an image of a politician next to a fictional quote about a new investment opportunity e.g., "According to Christopher Luxon, all citizens of New Zealand can officially retire at the age of 45!".
• Contain generic images, with a headline designed to promote fear about the stability of New Zealand pensions e.g., "PENSION PAYMENTS WILL BE CANCELLED IN THE NEW ZEALAND!".
• Feature deepfake videos of politicians, including New Zealand Deputy Prime Minister Winston Peters. These fake videos show the politician being interviewed about a new investment opportunity which they have invested in personally, or which is claimed to be endorsed by the government.

These advertisements link to fake news articles featuring false quotes and endorsements from politicians, usually promoting an investment platform. These articles are often made to appear as though they are being published by legitimate New Zealand media organizations.

These fake news articles have links to other websites, advertising investment platforms, or promoting educational materials about investments. The websites include registration forms, where potential victims are prompted to enter their contact details.

The scammers will then contact the victim claiming to be an investment broker and give instructions for investing through the platform. Victims are encouraged to make a small investment at first (around US$250/NZ$420). Requests for larger investments will likely follow.

NZ FMA Reminds You

Exercise extreme caution when engaging with social media advertisements or links in news aggregators that include fake political endorsements promoting investment opportunities.

Do not click on these ads or links, and do not enter your personal information into these websites.

If you have been contacted by a scammer after entering your personal information into one of these websites, do not make any payments or transfer any money to the scammers.