An alleged Israel-headquartered fraud network has reportedly defrauded more than 4,000 Australians through investment scams promoted via fake news articles and false promises of AI-assisted trading, according to an investigation by Australian news outlet ABC. Investigators at the Organised Crime and Corruption Reporting Project (OCCRP) estimate that victims of this ring lost "hundreds of millions of dollars."
The group allegedly operated from central Tel Aviv and has been linked to call centres in Bulgaria, Ukraine, Cyprus, Macedonia and Israel. The network is reported to have been active since at least 2021, using overseas operations to target Australian retail investors with misleading marketing and fraudulent investment offers.
ABC traced some of the fraudulent activity to an Australian company that allegedly laundered proceeds from the scams. The accountancy firm, director and sole shareholder associated with the company all cut ties while investigators questioned them. The company's director went on to identify the real owner of the Australian business, described as an Israeli individual who has denied "any fraudulent activity."
According to the investigation, this individual controls a 'marketing' company that, on paper, primarily sells visa services via telemarketing. This business operated call centres in Israel, Cyprus, South Africa, Spain and the Philippines. ABC linked a South African affiliate of the group to payment processing for an investment scam in 2021, while another company associated with the same person allegedly received payments from Australian victims in 2024.
Rising costs of investment scams in Australia
Investment scams remain Australia's costliest category of fraud. Data from the National Anti-Scam Centre's Targeting Scams Report show reported losses climbing from $328 million in 2020 to $945 million in 2024. In 2025 alone, investment scams accounted for $837.7 million in reported losses.
The network highlighted by ABC and OCCRP is not the first alleged Israel-linked ring with a similar operational footprint. A March 2025 investigation by OCCRP, Swedish broadcaster SVT and The Guardian uncovered a boiler room operation controlled from Israel and run out of offices in Bulgaria, Ukraine, Spain and Cyprus. That scheme reportedly took in more than $247 million from thousands of victims.
The latest findings underscore the cross-border nature of large-scale investment scams and the use of international call centres and corporate structures to solicit funds and move proceeds across jurisdictions. Authorities and investigative organisations continue to scrutinise these networks as losses to investment fraud in Australia remain elevated.
