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Lottery Fraud: Here Is How To Protect Yourself

IamCheated.com Research Team | December 27, 2018  5:37:pm

Lottery Fraud: Here Is How To Protect Yourself

Like every other fraud, lottery fraud too is increasing rapidly in India and many people have lost lakhs of rupees to these frauds. According to a report, lottery fraud is one among the top three online frauds. In the greed of winning a lottery, many people have lost hard earned money to fraudsters.

What is lottery fraud?

Lottery fraud is a type of online fraud which begins with phone calls, emails, SMS's, WhatsApp messages, or letters stating that the recipient of the message has won a huge amount of money in a lottery. To receive the lottery amount, the recipient will be asked to deposit money as processing fees or transfer charges. Once the amount is sent, the fraudsters will run away with the money.

Real life example of lottery fraud

Case 1

Once a former Central Government employee from Bengaluru had received a text message stating that she had won 5 million pounds (over Rs 47 Crore) in an overseas lottery. Believing this to be true she responded to the message and started communicating with the fraudsters via email and mobile phone.

To receive the lottery money, she was asked to shell out a certain amount as payment for Indian Customs clearance, anti-terrorism certificate, and Income Tax authorization. Thinking that she would receive Rs 47 Crores, she transferred Rs 38 Lakh in 20 installments to various bank accounts provided by the fraudsters. The lady had lost all her life savings including the provident fund and gratuity money.

See Also: Google Search Fraud: Here’s how it happened

Case 2

In the year 2014, a retired agriculture scientist had participated in an online quiz and the very next day he received a call from the man who introduced himself as calling from Shell Oil Company in the UK which had started a lottery. As he didn't know much on online frauds, he thought it to be true and started interacting with the fraudster. The fraudster told him that he had won Rs 5 Crore in prize money and to receive the amount, he had to transfer money for fees towards customs procedure, RBI sanction, and other fraudulent heads.

Believing this to be true, the victim transferred huge sums of money to various bank accounts as advised by fraudsters on various occasions till his demise in December 2014. To claim lottery money the victim drew from his savings, apart from taking loans on his LIC policies and pledging property.

After the scientist's death, fraudsters called his mobile number and when his wife answered they told her that her husband has won the lottery and she could claim the cash on his behalf. Trusting them, she transferred a huge amount of money until May 2017. The family lost over a Crore to this scam.

Tips to Avoid Lottery Scams

1. To avoid the lottery scam, never respond to unsolicited offers received through emails, messages, phone calls, and other social media.

2. Do not provide personal and banking information to anyone over the phone.

3. Never transfer money as an advance fee to anyone who contacts you in the name of a lottery.

4. Never invest in unregulated companies or entities.

5. Be careful while investing in schemes which sound too good to be true.

See Also: Financial Deadlines For 2019

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