Australians continue to fall prey to the criminal activities of fraudsters and scammers as unprecedented numbers of sophisticated swindlers bombard us with electronic, phone and postal scams.
Ms Louise Sylvan, Deputy Chair of the Australian Competition and Consumer Commission and Chair of the Australasian Consumer Fraud Taskforce (ACFT), jointly launched the ACFT four-week campaign today with the strong message 'SCAMS TARGET YOU! Protect Yourself.'
"There seems to be a scam created to trap just about everyone – from dodgy emails and text messages, to phishing, to lottery scams, to fake investment schemes, bogus medical cons, to the Nigerian letters, to fake employment and money laundering schemes, to identity theft.
"On identity theft alone, losses to the Australian community are estimated to be in excess of $1 billion annually. In the last four months, consumers who registered complaints with the Australian Competition and Consumer Commission lost a total of $5.2 million to scams and rip-offs – from pyramid schemes/chain letters, to advanced fee frauds (like the Nigerian scam), to payments to psychics and clairvoyants, to employment scams.
"Since the campaign last year, the top scams and frauds complained about to the ACCC continue to be lottery scams and advanced fee fraud (like the Nigerian scam), with employment scams making it for the first time into the top three.
"Consumers should be aware that all sorts of people fall for these kinds of slick swindles and that they need to be alert in order to protect themselves.
"The problem isn't going away. The scammers are out there, and they're active with new tricks."
Because of the seriousness of these crimes, agencies across Australia and New Zealand joined forces in 2005 to heighten consumer awareness. The success of the campaign has led more than 40 private sector partners from the finance, IT, telecommunications, and other industries to join the Taskforce this year – as well as a large number of community groups - all concerned to fight these insidious and growing crimes.
"Consumer protection regulators, businesses, and community groups all see the harmful effects which scams have on people," Ms Sylvan said.
"One of the best ways to combat this kind of fraud is to help people take the steps to prevent being caught out in the first place.
"Throughout the month, consumers will be given crucial and simple precautions, to help arm themselves and protect their hard-earned money."
The Taskforce activities complement the work being done by all the agencies involved. The ACCC is particularly active in its work on scams. Last year it took court action against a number of scams targeting small businesses and took out an injunction against a business claiming to cure cancer.
Educating businesses and consumers is also seen as vital in containing scams. The ACCC held its annual Competing Fairly Forum focussing on scams and frauds that affect small businesses. It was also the inaugural year for the Taskforce which focussed on helping consumers recognising and avoiding scams.
This was enhanced by public alerts via the ACCC's website, SCAMwatch warnings, media articles, publications and advice provided by the Infocentre.
In 2006, the ACCC's educative efforts culminated in the launch of the new look SCAMwatch website which provides practical advice and information to consumers as well as a portal to make complaints.
Anyone wanting to report a scam or get some practical advice should go to www.scamwatch.com.au or call the ACCC's Infocentre on 1300 502 302.