Bank fraud ‘call center’ gang busted in Ukraine, police say

Law enforcement agencies in Czechia and Ukraine say they exposed a criminal gang whose members posed as bank officials to defraud people over the phone, sometimes through remote access software. 

Nine people have been detained in Ukraine in the case, according to a police report published earlier this week. The call center for the operation was located in the port city of Odesa, police said. A video posted by Ukrainian authorities shows people face down, in custody, in a room full of desks and business phones. 

Members of the group allegedly posed as employees of the Czech National Bank. They told victims that their banking accounts had been compromised, persuading them to transfer funds to a purported “rescue account,” police said.

In some cases, the criminals tricked victims into installing software on their computers that granted access to their online banking. In other instances, the callers asked people to withdraw cash and hand it over to a bogus courier who was supposed to deliver it to a safe place.

Czech police said that between 2022 and 2023, the fraudsters made more than 150 calls, causing victims nearly 30 million Czech crowns ($1.2 million) in damages.

According to the Ukrainian police, the criminals converted funds obtained from illegal activities into cryptocurrency and used it to purchase luxurious cars and real estate, which were registered to friends and relatives.

Czech police said they needed a year and a half to identify the suspected criminals and the connections between them. During the fraudulent phone calls, the hackers used the real names and phone numbers of bank employees to hide their identity.

Last week over 100 police officers from Ukraine and Czechia conducted 23 searches in both counties and raided the criminals' headquarters in the Ukrainian port city of Odesa, authorities said. Of the nine detained people, one was the gang’s  40-year-old organizer, according to the Ukrainian police.

Also among the detainees was a 50-year-old woman who initially worked as a fake operator later became the main recruiter of new members from the Czechia, according to the Czech police. She placed job advertisements, communicated with potential hires, trained them, and ensured their departure to Ukraine.

Participants could earn up to 200,000 crowns ($9,000) per month, depending on their skills, authorities said.

The police also said they seized computer equipment and mobile phones, as well as cars, thousands of dollars in various currencies, drugs and weapons.

If found guilty, Ukrainian members of the gang can face up to 12 years in prison and the confiscation of their property. Others are awaiting extradition to the Czech Republic where they can face up to 10 years in prison.

This is not the first time that Ukrainian and Czech police officers have worked together to apprehend criminals responsible for internet schemes. In November, they dismantled a criminal gang that made millions of dollars through fraudulent phone calls. These criminals used almost identical tactics to those detained last week, but the police didn’t mention if they were part of the same gang.

In another scheme, disclosed in January, cybercriminals made tens of thousands of dollars by stealing banking information through phishing websites. According to the police, they posted phishing links on European e-commerce websites and then called their users, mostly in Czechia, convincing them to click on those links to pay for goods or services.