Turkey Busts International Forex and Crypto Scam Linked to Israelis

Turkish authorities have arrested 191 individuals as part of an investigation into an international fraud network that operated under the guise of forex and cryptocurrency investments. According to the Turkish prosecutor's office, the operation was orchestrated by Israeli citizens and functioned through a network of shell companies and call centers. On September 18, law enforcement conducted searches at 286 locations across Istanbul and Muğla, with arrest warrants issued for a total of 239 suspects.

The investigation alleges the network had been active for at least two years, using online advertisements to promise high returns. The scheme, common in the binary options and retail forex industries, involved convincing potential clients to make small initial deposits with promises of significant profits from trading. Subsequently, under various pretexts, the fraudsters would solicit larger sums. When clients attempted to withdraw funds, their accounts were blocked, and additional payments were demanded for fictitious taxes or to lift restrictions. The organization reportedly profited directly from client losses, encouraging unfavorable trades or total capital depletion.

Turkish prosecutors claim Israeli nationals were the organizers of this fraudulent scheme. To maintain secrecy, employees in the call centers were forbidden from speaking Hebrew or using personal phones. "Managers" and "financial advisors" reportedly underwent lie detector tests to screen for police informants, according to Anadolu news agency.

Over two years, the fraudsters allegedly defrauded victims of over $3 billion, with funds held in offshore bank accounts and cryptocurrency wallets. The network primarily targeted citizens of Malaysia, the UAE, Russia, Singapore, the UK, Canada, Australia, and other countries, reportedly avoiding citizens of Israel and the United States. During the operation, authorities also seized assets, bank accounts, cryptocurrency holdings, and suspected illicitly obtained property.