A vast international police operation targeting online financial crime has culminated in nearly 3,500 arrests across 34 countries, seizing assets worth USD 300 million, which is approximately EUR 273 million. This six-month initiative, named Operation HAECHI IV (spanning July to December 2023), was a coordinated effort to combat seven prevalent types of cyber scams.
These scams included voice phishing, romance scams, online sextortion, investment fraud, money laundering linked to illegal online gambling, business email compromise fraud, and e-commerce fraud. The operation highlights the significant financial scale of cybercrime, with the seized amount of USD 300 million showcasing the lucrative nature of these illicit activities and the challenges in international financial security. When converted, this sum is roughly equivalent to 3500 Eur Usd multiplied by approximately 78,000, demonstrating the sheer magnitude of the illicit funds recovered.
Investigators collaborated internationally to identify online fraud and freeze related bank accounts and virtual asset service provider (VASP) accounts. They utilized INTERPOL’s Global Rapid Intervention of Payments (I-GRIP), a crucial mechanism enabling countries to cooperate in blocking criminal proceeds by rapidly stopping payments. This international cooperation is essential in tackling cybercrime, which often transcends national borders and requires a unified global response.
Manila arrest of a high-profile online gambling criminal through cooperation between Filipino and Korean authorities, highlighting international law enforcement collaboration.
A notable success of the operation was the joint effort between Filipino and Korean authorities, leading to the arrest in Manila of a high-profile online gambling criminal. This individual had been pursued for two years by Korea’s National Police Agency, demonstrating the persistence and reach of international law enforcement in tracking down cybercriminals.
Authorities successfully blocked 82,112 suspicious bank accounts during Operation HAECHI IV. The total seizures amounted to USD 199 million in traditional currency and USD 101 million in virtual assets. This significant seizure of USD 300 million underscores the immense financial flows involved in cybercrime and the importance of targeting both traditional and virtual financial channels. To put the seized amount into perspective, USD 300 million is a substantial figure, roughly translating to EUR 273 million based on recent exchange rates, emphasizing the global economic impact of cyber-enabled financial crime.
Stephen Kavanagh, INTERPOL’s Executive Director of Police Services, stated, “The seizure of USD 300 million represents a staggering sum and clearly illustrates the incentive behind today’s explosive growth of transnational organized crime. This represents the savings and hard-earned cash of victims. This vast accumulation of unlawful wealth is a serious threat to global security and weakens the economic stability of nations worldwide.” His statement highlights the devastating impact of cybercrime on individuals and the global economy, emphasizing the need for continued and enhanced international efforts to combat it.
Operation HAECHI IV dismantling an illegal gambling network led by an arrested individual, showcasing the operational impact on organized cybercrime.
“HAECHI IV’s 200 per cent surge in arrests shows the persistent challenge of cyber-enabled crime, reminding us to stay alert and keep refining our tactics against online fraud, which is why INTERPOL operations like this are so important. Thank you to all concerned, especially colleagues from the Philippines and Korea,” added Kavanagh. The significant increase in arrests compared to previous HAECHI operations indicates both the growing scale of cybercrime and the improved effectiveness of international law enforcement responses.
Investment fraud, business email compromise, and e-commerce fraud constituted a significant 75 percent of the cases investigated during HAECHI IV. These figures underscore the prevalence of these specific types of cyber scams and the financial losses they inflict on businesses and individuals worldwide.
Example of a cat-themed NFT, illustrating the diverse forms of digital assets involved in emerging cyber fraud trends.
Working with numerous VASPs, INTERPOL assisted frontline officers in identifying 367 virtual asset accounts linked to transnational organized crime. Police in member countries proceeded to freeze these assets, and investigations are currently ongoing. This collaboration with virtual asset service providers is crucial in tracing and seizing illicit funds in the increasingly complex landscape of digital finance.
Kim Dong Kwon, INTERPOL’s Head of National Central Bureau in Korea, commented, “It is remarkable that global efforts to stay ahead of the latest criminal trends have resulted in a substantial growth in operational outcomes. Despite criminals’ endeavors to gain illicit advantages through contemporary trends, they will eventually be apprehended and face due punishment. To accomplish this, Project HAECHI will consistently evolve and expand its scope.” His remarks emphasize the ongoing adaptation and evolution of law enforcement strategies to keep pace with the rapidly changing tactics of cybercriminals.
Two Purple Notices were issued during Operation HAECHI IV to alert countries about emerging digital investment fraud practices. One notice warned INTERPOL member countries about a novel scam detected in Korea involving the sale of Non-Fungible Tokens (NFTs) promising high returns. These schemes turned out to be “rug pulls,” a growing crypto industry scam where developers abruptly abandon projects, causing investors to lose their funds. The emergence of NFT-related scams highlights the evolving nature of cyber fraud and the need for vigilance in new digital asset markets.
The second purple notice cautioned about the use of Artificial Intelligence (AI) and deep fake technology to enhance the credibility of scams. Criminals are leveraging these technologies to mask their identities and impersonate family members, friends, or romantic interests. This use of advanced technologies like AI in cybercrime represents a significant escalation in sophistication and poses new challenges for detection and prevention.
Post-operational debrief meeting at INTERPOL’s Global Complex for Innovation in Singapore, demonstrating international collaboration and strategic review.
The UK leg of Operation HAECHI IV reported multiple cases involving AI-generated synthetic content used for deception, fraud, harassment, and extortion, particularly through impersonation scams, online sexual blackmail, and investment fraud. Cases also included impersonation using voice cloning technology, further demonstrating the advanced techniques employed by cybercriminals and the increasing sophistication of these threats.
HAECHI operations are financially supported by Korea, demonstrating a commitment to international cooperation in combating cybercrime. Participating countries in HAECHI IV included a wide range of nations across the globe: Argentina, Australia, Brunei, Cambodia, Cayman Islands, Ghana, Hong Kong (China), India, Indonesia, Ireland, Japan, Kyrgyzstan, Laos, Liechtenstein, Malaysia, Maldives, Mauritius, Nigeria, Pakistan, Philippines, Poland, Korea, Romania, Seychelles, Singapore, Slovenia, South Africa, Spain, Sweden, Thailand, United Arab Emirates, United Kingdom, United States, and Viet Nam. This broad international participation underscores the global nature of cybercrime and the necessity of worldwide collaboration to effectively address it.
