14 DAY TRIAL // A total of 10 pension fraud websites have been taken down by registrars as part of an operation by the UK’s National Crime Agency (NCA) against these types of scams. The sites in question had been designed to trick users into handing over much or all their pension savings.
This type of fraud is believed to have caused losses of over half a billion pounds, the NCA says.
The individuals that ran the malicious websites tried to trick people into transferring their pension fund to a new scheme. If this is done prior to retirement, tax charges that can amount to over 50% of the entire pension fund must be paid.
The remaining money is channeled by the fraudsters into worthless or inexistent investments, or collected as so-called fees.
The NCA presented registrars with evidence that the scammy websites violated their terms and conditions, and directed the Internet companies to take them down. Currently, visitors of these sites are redirected to an Action Fraud website that provides detailed information on these types of scams.
The owners of the pension fraud sites have been redirected to a page explaining the action taken against them.
“Pension funds are relied on by millions to sustain us in retirement, and the consequences of being tricked into losing them through tax penalties and worthless investments can be devastating. Some victims of pension liberation fraud only find out when they retire that much, or all, of their pension is gone,” stated the NCA’s Stephanie Jeavons.
“Denying fraudsters the channels of communication they need to part people from their money is a key element of our approach to tackling this type of crime. The NCA and its partners are also working to help members of the public spot this type of scam, and to dismantle pension liberation fraud enterprises.”