Police Arrests Shed Light on Rising Financial Crime
& APP Fraud Cases

Investment fraud cases are rarely straightforward. Fraudsters use layers of companies, cloned identities, unregulated introducers, and sophisticated marketing to make schemes appear genuine. By the time victims realise something is wrong, funds may have moved through multiple accounts or offshore structures, complicating recovery and requiring specialist advice.

Many financial crimes, including investment scams, involve victims making direct bank transfers to fraudsters, meaning APP fraud is a significant factor in these cases.

APP fraud, or Authorised Push Payment Fraud, occurs when individuals are deceived into authorising payments over the phone or via online banking to fraudsters, believing the payment is for a legitimate purpose. Types of APP fraud include romance, impersonation, and cryptocurrency scams. The key element is that victims initiate the transfer, completely unaware they are sending money to criminals.

Historically, banks were quick to blame their customers for not taking sufficient precautions before unwittingly transferring money to scammers, but in recent years, particularly since the introduction of the new reimbursement rules in October 2024, there has been a greater focus on preventing fraud and protecting customers and their money.

If you suspect fraudulent investment activity, act quickly. Possible routes for redress include:

• Reporting the matter to the police and Report Fraud, the UK’s national fraud and cybercrime reporting centre.
• Submitting a claim to your bank, which must investigate, decide and reimburse within five working days, for straightforward cases.
• Escalating your complaint to the Financial Ombudsman Service (FOS), the independent government backed body responsible for settling disputes between financial institutions and their customers.
• Exploring whether a private prosecution may be appropriate when there is a criminal case to answer, and the evidence meets the required standard, but the police or the Crown Prosecution Service are unable to pursue it.

Sarah Spruce, Legal Director at TLW Solicitors, commented:

“We continue to see significant numbers of clients affected by complex and convincing types of financial criminal activity, including investment scams. Fraudsters use clever social engineering tactics to trick their victims, and falling for a scam does not reflect a lack of care.

Arrests like those made by NEROCU are welcome, but criminal cases alone will not compensate victims. Early, targeted legal advice is vital to improve recovery chances, preserve evidence, and identify all potential avenues of redress, including civil claims or private prosecution when appropriate.

This is serious, industrial-scale criminal activity impacting many people’s lives. Whilst scam victims may feel embarrassed or ashamed about falling prey to the fraudsters, there are a range of options for redress available. If you or a loved one have lost out financially to the scammers, get in touch with my specialist team for a confidential and no obligation discussion to explore your options.”

TLW Solicitors helps clients across the UK recover funds lost to fraudulent or misleading investments and APP fraud. We can review and advise on the best recovery strategy particular to the circumstances of your case, whether via civil claims, regulatory complaints, or criminal action.