Be wary of investments promising big returns

When something sounds too good to be true, it usually is. This age-old truism is something too many people forget when promises of excessive returns on investments are dangled before them. And once again, innocent people have lost money they could ill afford to lose in what appears to be a scam. The people behind the alleged cryptocurrency scam seem to have disappeared, their websites have been shut down and their offices closed, according to a report in The Weekend Post on Saturday.

The victims, among them newlyweds hoping to make enough money to buy their first home, were led to believe they were investing in crypto-mining machines.

Initially, they made small profits, and more people joined and the investments grew. Many were lulled into a false sense of security with what they eventually discovered were allegedly fake proof of payments.

On May 1, when some were due for large payouts, the crypto investment operators went silent. No-one has been able to reach them since.

As the Hawks investigate the operation, the shattered victims are left trying to pick up the pieces of what has turned out to be an unwise investment decision.

Together, they are believed to have lost millions.

Sadly, instead of laying criminal complaints with the police, many of them have shrugged off the losses as a lesson learnt.

In their view, going to the police would be a waste of time as it would not achieve anything.

That type of thinking is unhelpful and makes it much harder for police to build a successful case.

To ensure that the alleged culprits are brought to book, every victim needs to make a criminal report.

Most people cannot afford to simply shrug off the loss, no matter how small.

The operation netted investors from across the country, including a young Somerset West woman who lost almost R100,000.

The stories of the victims are heartbreaking but also yet another wake-up call for those hoping to make a quick buck.

Cryptocurrency crimes are on the rise so, before parting with your hard-earned money, first check out the investment company thoroughly and if it is making promises of ridiculously high returns within days, steer clear of it.