The Edmonton Police Service (EPS) is investigating a troubling spike in investment scams that defrauded residents of more than $12 million this year. The scams typically feature fraudulent advertisements that convince victims they are investing in legitimate opportunities backed by high-profile figures.
From January 1 to November 26, 2024, the EPS reported 172 cases of investment fraud, impacting 204 victims across Edmonton. The total loss is estimated at $12.8 million, with approximately $1.9 million of that tied to a specific scam involving Trudeau and Musk.
In this particular hoax, victims are targeted by social media ads on Instagram, Facebook, WhatsApp, and TikTok. The ads falsely claim that Prime Minister Justin Trudeau and Tesla CEO Elon Musk are endorsing a high-return investment scheme. Using AI-generated videos designed to appear authentic, the scammers create the illusion of legitimacy.
Once a victim expresses interest, they are contacted by a so-called “financial advisor” or “trading specialist” who requests an upfront fee of $250 for investment advice. The scam continues with the victim being instructed to download remote access software, like AnyDesk or TeamViewer. This allows the fraudsters to access the victim’s computer and personal banking details, ultimately siphoning off funds disguised as legitimate investment costs.
Detective Trevor Semotiuk of the EPS Financial Crimes Section commented, “Technology is evolving rapidly, and with it, so are the methods used by scammers. The use of artificial intelligence to generate false endorsements is a growing concern. If you think you’ve fallen victim to this type of scam, please report it to us. Your information helps us understand the scale and sophistication of these frauds.”
The EPS advises the public to remain vigilant when encountering investment opportunities. As Semotiuk puts it, “If it sounds too good to be true, it probably is.”
Residents with information about these scams are urged to contact EPS at 780-423-4567, or #377 from a mobile phone. Anonymous tips can also be submitted to Crime Stoppers at 1-800-222-8477 or online at www.p3tips.com/250. Further details on investment fraud can be found on the Alberta Securities Commission website.
The EPS continues to investigate these cases and is calling on Edmontonians to help protect themselves and others from falling victim to these increasingly sophisticated scams.