Dubai: Legal, cybersecurity and psychological experts have warned the public against falling for fraudulent online trading and investment platforms that promise quick wealth through social media advertisements, stressing that organised criminal networks are behind many of these schemes.The warning comes amid the continued spread of advertisements promoting purported trading platforms that describe themselves as gateways to global financial markets and claim to offer opportunities in gold, oil, commodities, currencies, stocks, cryptocurrencies and indices.Experts said such platforms often attract victims with promises of high returns and financial freedom before ultimately defrauding them of their money.Victims report substantial lossesSeveral victims said they suffered significant financial losses after being persuaded to invest through online platforms and messaging applications.One victim, identified as Abu Suhail, said he was contacted via WhatsApp by a woman claiming to work with investment brokers and facilitators. He was later added to a Telegram group and encouraged to participate in investment activities that promised returns ranging from $90 to $185 per task.He said he transferred funds to several accounts provided by the group before discovering he had been scammed."The total amount I transferred reached AED85,711 before it became clear that I had fallen victim to fraud," he said.Another victim, Abu Muhammad, said he transferred AED200,000 after being promised regular profits but later discovered the investment was not legitimate.A third victim reported losing AED70,000 after being persuaded through Instagram and WhatsApp to invest in online trading schemes.Eight psychological factorsPsychological consultant Dr Medhat Al-SabahiPsychological consultant Dr Medhat Al-Sabahi said victims are often manipulated through carefully designed psychological tactics rather than a lack of awareness.He identified eight major factors commonly exploited by fraudsters:Desire to improve financial circumstancesFear of missing out on opportunitiesExcessive self-confidenceReliance on perceived credibilitySocial proof and peer influenceGradual commitment and escalationExcessive optimismEconomic and psychological pressuresAl-Sabahi said fraudsters frequently use professional websites, fake certificates, fabricated success stories and testimonials to build trust.They often encourage victims to start with small investments and provide apparent initial profits before persuading them to invest larger amounts.Use of deepfakes and sophisticated technologyCybersecurity expert Abdul Noor SamiCybersecurity expert Abdul Noor Sami said criminals are increasingly relying on advanced technologies and extensive advertising campaigns to target potential victims.He noted that fraudsters often:Produce professional promotional videosUse deepfake technology to imitate trusted public figuresDevelop attractive websites and applicationsDeploy chatbots that interact with victims around the clockOperate through organised teams with specialised rolesAccording to Sami, many of the platforms create the illusion of legitimate trading activity through fabricated data and interfaces that are not linked to actual assets or investments.He added that shutting down such operations can be difficult because many operate across multiple jurisdictions and make use of digital wallets and complex fund transfers.Legal consequencesLawyer Salem Obaid Al-Naqbi said individuals or entities that promote unlicensed trading platforms could face both civil and criminal liability if it is proven that they knowingly participated in attracting victims.Potential consequences may include:Criminal prosecution as accomplices to cyber fraudLiability for compensating victimsPenalties for misleading advertisingSanctions under cybercrime, consumer protection and advertising lawsAl-Naqbi said victims may seek compensation for:Direct financial lossesLost profitsCosts incurred in pursuing legal actionPsychological and emotional harmLawyer Salem Saeed Al-HaiqiLawyer Salem Saeed Al-Haiqi said liability may extend to anyone who promotes unlicensed investment platforms without adequately verifying their legal status.Cybercrime law penaltiesArticle 48 of Federal Decree-Law No. 34 of 2021 on Combating Rumours and Cybercrimes provides penalties for promoting goods or services through misleading advertising online, as well as for advertising or encouraging dealings in unlicensed virtual or digital currencies.The law stipulates penalties of imprisonment and fines ranging from AED20,000 to AED500,000, or either penalty.Abu Dhabi Judicial Department warningThe Abu Dhabi Judicial Department has also warned against joining fake investment groups on social media that entice users with initial rewards before encouraging them to participate in larger transactions.The department said scammers commonly lure victims through promises of extraordinary profits, then gradually persuade them to invest increasing amounts before disappearing with the funds.According to the department, common reasons people fall victim include:Desire to become wealthy quicklyBelief in promises of unrealistic returnsFailure to conduct proper research before investingAuthorities have urged investors to verify licences, conduct thorough due diligence and avoid any investment opportunity that guarantees high returns with little or no risk.Experts stressed that legitimate investment is based on knowledge, research and risk management, not promises of guaranteed profits or rapid wealth.
