Remote Job Scams: NY Attorney General Sues to Recover Over $2M in Crypto Stolen
New York Attorney General Letitia James has launched legal action to recover more than $2 million in cryptocurrency stolen from victims deceived by remote job scams. The scheme preyed on individuals seeking flexible work, enticing them to purchase cryptocurrency under false pretenses.
“Scammers sent text messages to New Yorkers promising them good-paying, flexible jobs only to trick them into purchasing cryptocurrency and then stealing it from them,†James said in a statement on Jan. 9.
Fake Product Reviewer Job Scams Lured Victims
The elaborate scam involved tricking victims into believing they were being hired as remote product reviewers. Scammers directed victims to create cryptocurrency accounts, deposit funds, and review products on fake websites mimicking legitimate brands.
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Victims were instructed to maintain a crypto balance matching or exceeding the cost of the products they reviewed. They were falsely assured that their deposits were not actual purchases but merely a way to “legitimize” data for reviews. In return, the scammers promised reimbursement and commission payments, none of which materialized.
The fraudulent network primarily contacted victims through text messages, exploiting their trust with the promise of financial stability.
Crypto Frozen with US Secret Service Assistance
Attorney General James, with the support of the US Secret Service, has successfully frozen the stolen cryptocurrency. She issued a stern warning to New Yorkers to remain vigilant against unsolicited messages offering jobs or other seemingly attractive opportunities.
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“Deceiving New Yorkers looking to take on remote work and earn money to support their families is cruel and unacceptable,†James said.
FBI’s Previous Warning on Job Scams
This legal action comes on the heels of a warning issued by the Federal Bureau of Investigation (FBI) in June 2024 about a growing trend of work-from-home job scams. The FBI highlighted that scammers were targeting victims with unsolicited messages, offering simple tasks like rating restaurants or clicking buttons on a website.
Similar to the New York case, victims were asked to make cryptocurrency payments to access more work opportunities, but the funds were siphoned off by the fraudsters.
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The case sheds light on the rising sophistication of cryptocurrency-related scams, especially as remote work continues to grow in popularity. Authorities are urging the public to exercise caution and verify the legitimacy of job offers received via text or email, particularly those requiring upfront cryptocurrency payments.
This case is a reminder of the importance of vigilance in the digital age. For victims of such scams, the Attorney General’s office provides resources and encourages immediate reporting to law enforcement.
