Turkey Arrests 191 in $3 Billion International Investment Fraud and Money Laundering Probe
Turkish authorities have arrested 191 suspects in a wide-ranging investigation into an international investment fraud network that prosecutors say operated from Turkey and took more than US$3 billion from victims around the world.
The investigation is being coordinated by the Istanbul Chief Public Prosecutor’s Office with the involvement of Turkey’s National Intelligence Organization (MIT), the Financial Crimes Investigation Board (MASAK), Istanbul police and Interpol. The allegations under investigation include fraud through information systems and financial institutions, capital-markets offences, establishing or participating in a criminal organization, and money laundering.
According to information attributed to Istanbul prosecutors, 239 suspects were targeted in the investigation. Authorities raided locations linked to 29 companies as well as hundreds of addresses in Istanbul and Muğla Province. By the latest reported count, 191 suspects had been arrested, while searches for additional suspects were continuing.
Investigators allege that the network used companies presented as service, consulting and tourism businesses to operate call-centre-style investment schemes. Potential victims were reached through social-media advertising, search engines and websites promoting foreign-exchange and cryptocurrency investments. Prospective investors were then contacted by representatives speaking their language and encouraged to transfer money.
Prosecutors allege that the platforms displayed manipulated investment data to create the appearance of profits and encourage larger deposits. When customers sought to withdraw their funds, they were allegedly told that accounts were blocked or that further payments were required for taxes or other charges. Investigators say the money was instead transferred to bank accounts and cryptocurrency wallets controlled by the network.
The alleged scheme had a substantial international reach. Authorities identified victims or targets across multiple jurisdictions, including the United Arab Emirates, United Kingdom, Canada, Australia, Ireland, Russia, Singapore, Malaysia, China, Switzerland, Belgium, Sweden and South Korea. Prosecutors estimate that more than US$3 billion was obtained from victims and say funds were held in bank accounts and cryptocurrency wallets outside Turkey.
Turkish authorities also seized or froze real estate, vehicles, bank accounts and cryptocurrency assets during the operation. The Interior Ministry separately reported the seizure of property suspected to represent criminal proceeds worth about TRY1.5 billion, including 80 vehicles and 12 properties.
The investigation remains ongoing. The figures reported by Turkish authorities changed during the operation as arrests and searches continued, and the allegations against the suspects have not yet been finally determined by a court.
