Despite continued public awareness, financial scams remain a persistent crime in the country. Nearly 160 cases were reported last year, and almost 80 more have been recorded in just the first five months of this year, raising concerns among authorities.
Thimphu police received reports of financial scams amounting to over Nu 22 M last year. But, just a little more than half the amount was recovered.
So far this year, scams worth over four million ngultrum have been reported, with authorities recovering over Nu 1.5 M.
Among the reported cases, common scam methods include fake house rent advertisements, currency exchange deals, investment opportunities, and lottery winnings.
Meanwhile, the Department of Law and Order said that one of the most serious financial scams in the country is a pyramid scheme called QNET, which operates under different names in different places. Now, people are asked to deposit a minimum of Nu 650,000 in most cases to join the scheme.
According to a BBC article, QNET has faced numerous allegations and legal action regarding pyramid schemes, fraud, and illegal activities in various countries.
“I think people should be very careful. This pyramid scheme is all about taking this initial investment, and then you are required to recruit a lot more people under you. And if you are not able to recruit at least four, then your 650 thousand is lost forever immediately,” said Karma Dorji, Officiating Director, Department of Law and Order.
QNET, identified as a pyramid scheme, was banned in 2022 by the then Office of Consumer Protection, now known as the Competition and Consumer Affairs Authority. However, the Department of Law and Order says the cases related to the scheme are resurfacing.
“People should be careful while interacting with unknown people on the internet because many of such people are scammers. They will try to extort money from you through various means,” said Karma Dorji, Officiating Director, Department of Law and Order.
According to the Penal Code of Bhutan, scam-related activities carry penalties ranging from petty misdemeanours to value-based sentencing.
The Department of Law and Order said relevant authorities are working to strengthen efforts to curb financial scams in the country.
It is crucial to remain vigilant, knowing financial security is built through patience, hard work, and informed choices, not shortcuts or scams.
Kinzang Lhadon
Edited by Tandin Phuntsho