Telecom fraudsters target younger generation

While overall telecom fraud is showing signs of decline, younger people remain especially vulnerable, according to a new report by the Ministry of Public Security.

Statistics from last year reveal that the average telecom fraud victim is just 37 years old. People aged 18 to 40 constitute 62.1 percent of all victims, with those aged 41 to 65 making up 33.1 percent.

The ministry released the report following a monthlong nationwide fraud awareness campaign. Despite progress in curbing such crimes, authorities emphasized the need for continued vigilance, particularly among the young.

The report highlights the diverse methods employed by fraudsters. Ten types of telecom fraud, including click-farm jobs, false online investment and financial management, and counterfeit shopping services, collectively accounted for nearly 88.4 percent of reported cases.

The ministry encouraged citizens to be cautious of unsolicited investment opportunities, to verify information through official channels, and report suspicious activity to mitigate the risk of becoming a victim.

From the start of last year to May this year, approximately 543,000 telecom fraud cases were resolved across China. Anti-fraud authorities have issued 420 million warnings to potential victims and have intercepted fraudulent funds totaling 452 billion yuan ($62.3 billion).

Leading the list of prevalent scams are click-farm scams, which often target students and people on low incomes with promises of quick earnings through online tasks before demanding payments. In one case from March last year, a man surnamed Cao from Jiangsu province was lured into a WeChat group where members engaged in click-farming, which uses clicks or false orders to hype up popularity of e-commerce shops.

Upon joining, Cao witnessed members sharing payment receipt screenshots and, guided by the group administrator, engaged in click-farm jobs. After completing tasks, Cao was informed by the administrator that he needed to complete four orders before he could withdraw commissions.

Following instructions, Cao increased his investments as requested. The administrator then used excuses like "operational errors" and "account frozen" to deceive Cao into transferring a total of 420,000 yuan into an account. Cao realized he had been deceived when the promised commissions failed to materialize.

False investment and financial products pose another significant threat, targeting individuals with certain income levels or assets, such as singles or those interested in investment and stock trading. Fraudsters use online platforms and various channels to disseminate investment information, posing as investment experts to gain victims' trust.

Victims are persuaded to make small investments through fake websites or apps, promising profits and urging continuous investment. When substantial sums have been invested, fraudsters fabricate reasons to deny withdrawals.

Online romance scams also play a role, with fraudsters gaining victims' trust before deceiving them through financial schemes. In one instance, a victim from Anhui province lost 1.4 million yuan to her online "boyfriend" in a romance scam.

yangzekun@chinadaily.com.cn