Queensland Crime and Corruption Commission chairman Alan MacSporran (from left), Queensland Police Service Commissioner Ian Stewart, ASIC deputy chairman Peter Kell and ACIC CEO Chris Dawson.

Organised crime in Australia has a new face, according to Queensland law enforcement agencies, and it is one that has so far managed to fleece the country’s mum and dad investors out of hundreds of millions of dollars.

Far from shadowy standover men, cold call investment scammers are slick, well-spoken, and, with the backing of professional-looking websites and promises of high returns, manage to extort an average of $20,000 and $30,000 from their victims.

In some cases, however, the stakes are a lot higher, with entire superannuation funds being drained, according to Queensland Crime and Corruption Commission (CCC) chairman Alan McSporran, who said one man lost retirement savings of $700,000.

But far from vulnerable little, old ladies being coerced into parting with their funds, the average target victim is male, aged in his 50s or 60s, well-educated, computer-literate and considers himself financially savvy, Mr MacSporran said.

“Make no mistake, cold call investment fraud, or boiler room fraud as it is commonly known, is a form of organised crime,” he said.

“These syndicates are not run by dodgy salesmen, they are controlled by master manipulators, who regularly prey upon people from all over Australia.”

This is not the average victim of cold call investment scans — it is a well-educated male, aged in his 50s or 60s. Picture: Anna RogersSource:News Corp Australia

Cold call investment scams start with unsolicited phone calls from scammers who quickly develop a rapport with their victims, before convincing them to invest in high-yielding stock investments or software or technology companies.

As soon as the money is transferred, it is gone, Mr MacSporran said.

Australians are increasingly being targeted by both international and domestic scammers, Mr MacSporran said, because of our growing superannuation portfolios and our rising penchant for self-managing retirement funds.

The scams cost mainly older Australians at least $50 million a year, the vast majority of which is not able to be recovered.

The figure is thought to be a vast underestimation of the true losses, with many victims too embarrassed to report the crimes to authorities.

Queensland Police Commissioner Ian Stewart said the chameleon-like operations run by scammers, along with the resource-heavy requirements of investigating them, made obtaining successful prosecutions almost impossible.

“These entities are not like entities we tend to deal with at any given time,” he said. “What we are dealing with is a chameleon that changes its spots almost on a daily basis.

“These are very, very difficult targets to hit.”

Mr MacSporran said the CCC and Queensland Police Service (QPS) had joined forces with the Australian Criminal Intelligence Commission and Australian Securities and Investments Commission to warn people about cold-call scams, as the only true way to stem the tide of criminality was for victims to hang up on unsolicited callers, whatever their apparent legitimacy.

“Importantly, this is one type of crime that can be stopped in its tracks, if Australians don’t invest,” he said. “The simple answer is, don’t invest.”

Mr Stewart said Brisbane and the Gold Coast alone, 11 known syndicates investigated over the past 10 years had managed to rob victims of $175 million, the vast majority since 2010.

He said often, scammers wound up bogus companies after successfully extorting money from victims, before establishing a new one to begin all over again.

He said it was important people were aware of the warning signs, with middle to older aged Australians who earned good incomes or were recently retired the main targets.

Mr MacSporran said it was one crime that could only ever be truly disrupted by the awareness of potential victims.

“Arresting and charging individuals is not a deterrent,” he said. “Crime prevention is the only realistic way to do it. You can’t continue to throw money at these things to try to disrupt them.

“If people don’t invest, the crime is not committed. Just hang up, it’s as simple as that.”

TO PROTECT YOURSELF YOU CAN:

• Hang up on unsolicited telephone calls offering investments.

• Visit www.moneysmart.gov.au or call 1300 300 630 for more information or advice.

• Alert your family and friends to these investment frauds, especially those who may have

savings to invest.

• Report suspected investment frauds to the Australian Securities & Investments Commission, through www.moneysmart.gov.au or 1300 300 630, the Australian Competition and Consumer Commission through www.scamwatch.gov.au, or your local police. Any information that can

be provided such as company name, location and contact details will assist with subsequent investigations and enquiries.

• Check that any company you have discussed investments with has a valid Australian Financial Services Licence at www.moneysmart.gov.au.

• Seek independent financial advice before making an investment.

• Contact your financial institution immediately if you think you’ve been scammed to see whether they can retrieve funds invested or prevent further funds being lost.