Deepfake Deception: SC Malaysia Warns of New Investment Scams

The Securities Commission Malaysia (SC) has alerted the public to investment scams on Facebook that use deepfakes of prominent individuals and reputable companies. These scams exploit advanced AI technology to create videos that mimic the likeness and voices of well-known figures, lending false credibility to fraudulent schemes.

To combat these scams, the SC has collaborated with Meta, the parent company of Facebook, to remove the deceptive videos and limit their accessibility to Malaysians. The SC also plans to work with other authorities to take further action against these fraudulent activities.

The deepfake videos, which have been appearing on Facebook, feature public figures and respected companies, making the investment offers seem authentic. Created with artificial intelligence, these videos accurately replicate the voices and lip movements of the individuals they portray, making the scams particularly convincing.

The SC urged the public to be cautious when evaluating investment offers, advising them not to transfer money to suspicious accounts. The fraudulent process typically starts with deepfake videos posted on social media, which are then shared through messaging apps, expanding their reach.

These videos often promote investment opportunities supposedly backed by reputable companies and include a 'Learn More' button or link directing users to a sign-up page that collects personal information. The SC warned that following these links might lead to downloading an application, exposing users to cybercrime risks.

After signing up, victims are contacted by fraudsters posing as agents, who then attempt to extract money or further personal details from them. The SC emphasized the importance of public vigilance to prevent falling prey to these scams.

The SC has successfully removed numerous deepfake videos from Facebook with Meta's help and continues to work with relevant authorities to track down and act against those behind these fraudulent schemes. The SC's message underscores the need for public awareness and caution when dealing with online investment offers, particularly those requiring money transfers to unknown accounts.