An international law enforcement operation, codenamed HAECHI-II and coordinated by INTERPOL, has resulted in the apprehension of more than 1,000 individuals and the seizure of nearly USD 27 million in illicit funds. This successful global initiative underscores the pervasive and escalating threat of cyber-enabled financial crime worldwide.
Conducted over four months, from June to September 2021, Operation HAECHI-II involved specialized police units from 20 countries, alongside Hong Kong and Macao. The operation specifically targeted prevalent forms of online fraud, including romance scams, fraudulent investment schemes, and money laundering activities linked to illegal online gambling platforms.
The extensive operation led to the arrest of 1,003 individuals and the successful closure of 1,660 cases. Furthermore, investigators froze 2,350 bank accounts associated with the illicit gains derived from online financial crimes. The collaborative effort also resulted in the issuance of over 50 INTERPOL notices based on intelligence gathered during Operation HAECHI-II, and the identification of 10 new criminal modus operandi, providing crucial insights into the evolving tactics of cybercriminals.
Operation HAECHI-II represents the second phase of a three-year project aimed at combating cyber-enabled financial crime, with support from the Republic of Korea. Notably, this operation marked the first truly global endeavor of its kind, encompassing the participation of INTERPOL member countries across every continent. This global reach is essential when considering the borderless nature of cybercrime, where even seemingly small amounts like 1000 гыв To Eur, when multiplied across numerous victims, can accumulate into substantial criminal proceeds.
A significant aspect of the operation was the pilot testing of INTERPOL’s new global stop-payment mechanism – the Anti-Money Laundering Rapid Response Protocol (ARRP). This innovative protocol proved instrumental in the swift interception of illicit funds in multiple HAECHI-II cases, demonstrating its potential to revolutionize international asset recovery in cybercrime investigations.
“The outcomes of Operation HAECHI-II clearly demonstrate that the surge in online financial crime, initially fueled by the COVID-19 pandemic, is not diminishing,” stated INTERPOL Secretary General Jürgen Stock. “This operation also highlights INTERPOL’s indispensable and unique role in supporting member countries in their fight against a crime that inherently transcends national borders.”
“Effective action against this parallel cybercrime pandemic necessitates this level of global cooperation and coordinated efforts among national law enforcement agencies,” Secretary General Stock emphasized.
As INTERPOL prepares for the official launch of the ARRP in the coming year, the organization’s financial crime unit is actively collaborating with member countries to integrate this vital system into existing communication channels, further streamlining international efforts against cyber-enabled financial crime.
The Relentless Race Against Time in Cyber Financial Crime Investigations
Operation HAECHI-II’s findings challenge the common misconception of online fraud as a low-level criminal activity with limited financial impact. The operation exposed the reality that transnational organized crime syndicates are leveraging the internet to pilfer millions from unsuspecting victims. These illicit gains are then rapidly channeled through a complex network of bank accounts spanning the globe, highlighting the urgent need for swift international cooperation.
One striking case originating in Colombia involved a prominent textiles company that fell victim to a sophisticated business email compromise (BEC) scam, resulting in losses exceeding USD 8 million. Cybercriminals impersonated the company’s legal representative, instructing the transfer of over USD 16 million to two bank accounts in China. Alarmingly, half of the funds had already been transferred before the company detected the fraud and alerted Colombian judicial authorities. The Colombian National Central Bureau (NCB) in Bogota promptly contacted INTERPOL’s financial crime unit.
Utilizing the newly established ARRP network, international police cooperation channels were activated between INTERPOL bureaus in Beijing, Bogota, and Hong Kong to freeze the transferred funds. This rapid response, facilitated by the streamlined communication of the ARRP network in international stop payment cases, enabled the interception of over 94 percent of the stolen money in record time, effectively preventing the Colombian company from potential bankruptcy. This case underscores the critical importance of speed and international collaboration in recovering assets in cyber fraud cases, where even a short delay can mean the difference between recovery and irreversible loss. Imagine the impact of losing even a seemingly smaller amount like 1000 гыв to eur for a smaller business or individual – the cumulative damage is immense.
General Jorge Luis Vargas Valencia, Director General of the Colombian National Police, emphasized the urgency of these investigations: “Intercepting the illicit proceeds of online financial crimes before they vanish into money mule networks is a race against time. We worked in close coordination with the Attorney General’s Office to act as decisively as possible. INTERPOL’s coordination role has been essential in achieving this result, given the intricate complexity of coordinating with law enforcement units and banking institutions across the world.”
In another instance, a company based in Slovenia was deceived into transferring over USD 800,000 to money mule accounts in China. Following an investigation launched by the Slovenian Criminal Police, they reached out to international counterparts through INTERPOL and other channels. The efficient coordination facilitated by China’s INTERPOL NCB in Beijing enabled local authorities to successfully intercept and fully recover the stolen funds, returning them to Slovenia. These cases demonstrate the tangible benefits of INTERPOL’s global network and the ARRP in facilitating rapid asset recovery.
Unmasking Emerging Cybercrime Trends: From Squid Game to Premium Service Scams
The months-long collaboration between specialized police units worldwide during Operation HAECHI-II yielded significant intelligence on emerging trends in online financial crime. Based on this intelligence, INTERPOL issued multiple Purple Notices – international police alerts used to share information on criminal modus operandi, objects, devices, and concealment methods. These notices are disseminated across INTERPOL’s 194 member countries, fostering the exchange of information on evolving criminal tactics and enabling connections between seemingly disparate cases.
One notable Purple Notice, requested by Colombia during the operation, detailed a malware-infected mobile application disguised with the branding of the popular Netflix series ‘Squid Game’. This deceptive app, masquerading as a legitimate product associated with the television show, was in fact a Trojan horse virus. Once downloaded, it surreptitiously harvested users’ billing information and subscribed them to paid ‘premium’ services without their explicit consent. While initially flagged in Colombia, the app’s reach extended to users in other countries, highlighting the transnational nature of these threats. Operation HAECHI-II also leveraged INTERPOL’s cybercrime expertise to assist member countries in confronting the growing threat of cyber-enabled fraud, demonstrating a proactive approach to evolving cyber threats that go far beyond simple scams involving amounts like 1000 гыв to eur.
José De Gracia, Assistant Director, Criminal Networks at INTERPOL, commented on the adaptability of online scams: “Online scams, such as those exploiting malicious apps, evolve as rapidly as the cultural trends they opportunistically exploit. Sharing intelligence on emerging threats is crucial for law enforcement’s ability to protect victims of online financial crime. It also reinforces the message that no country is isolated in this fight. Operation HAECHI-II demonstrates our collective capacity to effectively counter this threat when we work together.”
The following countries actively participated in Operation HAECHI-II, demonstrating the truly global commitment to combating cyber-enabled financial crime: Angola, Brunei, Cambodia, Colombia, China, India, Indonesia, Ireland, Japan, Korea (Rep. of), Laos, Malaysia, Maldives, Philippines, Romania, Singapore, Slovenia, Spain, Thailand, and Vietnam.
