Taiwan Investment Scam: Woman Saves NT$1.5M, Helps Police Arrest Suspect

According to the Taipei Times, A woman in Taiwan helped prevent an NT$1.5 million (US$47,423) investment scam loss and assisted police in arresting an alleged money mule, according to the New Taipei City Police Department’s Rueifang Precinct.

The woman, surnamed Chiu, joined a LINE group after seeing a fraudulent investment advertisement on social media. Members of the group offered to manage cross-border trading for her while promising guaranteed profits.

Investment Scam Used Guaranteed Returns

Police said the scam ring persuaded Chiu to hand over NT$3 million through several in-person cash transactions. The amount included money allegedly required for customs duties.

Chiu became suspicious after reading a police report describing common investment scam tactics. She compared the warning signs with her experience and reported the suspected fraud to police.

The scammers then asked Chiu to prepare another NT$1.5 million and arranged to collect the money at her home.

Police Arrest Alleged Money Mule

After receiving Chiu's report, the Rueifang Precinct formed a team to monitor the planned collection. An alleged money mule, a woman surnamed Lai, arrived by taxi and entered Chiu's home to collect the cash.

Police arrested Lai and seized a mobile phone she was carrying. Following questioning, the case was referred to the Keelung District Prosecutors’ Office for further investigation.

Rueifang Precinct Chief Kai Chi-hung warned the public about investment pitches offering guaranteed returns or claiming that investments cannot lose money. Requests for additional duties or large cash payments made in person should also be treated as warning signs.

Investor Warning: Check Brokers Before Investing

The case highlights several common investment scam red flags, including guaranteed profits, requests for additional payments and demands for large cash transactions.

Investors considering a low-spread broker, an FCA-regulated broker, or an MT5 trading platform should verify the broker's regulatory status, operating entity and relevant credentials before depositing funds.

Do not continue sending money simply because funds have already been invested. If an investment opportunity shows multiple warning signs, stop further payments and seek assistance from the relevant authorities.

Investors can also use our [Broker Verification Q&A] page to check broker regulatory information and risk indicators before opening an account.

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