Internet Fraud (Article 190 of the Criminal Code of Ukraine)

In the 21st century, the Internet is the main means of communication. At the same time, the World Wide Web is a good platform for all kinds of fraud. Internet fraud is a type of fraud that aims to obtain property rights or property through breach of trust/deception.

Internet fraud: types and features

According to Article 190 of the Criminal Code of Ukraine, fraud committed on a large scale (from 250-300 thousand hryvnias) with the use of electronic computing equipment is punishable by imprisonment from 3 to 8 years. If Internet fraud is committed by an organized group or in particularly large amounts (from 635 thousand hryvnias), it is punishable by imprisonment for a term of 5 to 12 years with confiscation of property.

A criminal case on fraud is initiated for such a minimum amount – 0.2 of the tax-free income of citizens. If it is less than this amount, an administrative penalty is applied.

When investigating cases involving Internet fraud, the following factors are important:

• Lack of personal contact between the criminal and the victim (all criminal actions are carried out remotely). Thus, the work of the investigation is complicated by the need to establish the identity of the fraudster.
• Remote money transfer. This is more of a plus than a minus. Through the information provided by the banking institutions, it is possible to establish the exact amount of the loss.

The most common fraud schemes on the Internet are:

1. Phishing

This is the most common type of fraud on the Internet. Its purpose is to obtain user data (login, password, etc.) for the purpose of their further use for obtaining illegal benefits (for example, these data are used when performing payment transactions).

Among the most famous examples of phishing: the use of sites, social networks, financial organizations – “doubles”; sending an e-mail with a request for authorization on third-party resources; congratulatory messages about winning in fictitious raffles, etc.

2. Fictitious online stores

The sites of such Internet stores are very difficult to distinguish from real ones. On the page of such a store, you can find hundreds or even thousands of products. As a matter of fact, they are either absent or their quality does not correspond to the declared one.

Most often, fictitious Internet stores attract potential customers with prices that are an order of magnitude lower than market prices. After receiving the payment, the fraudsters do not answer the calls and simply disappear.

3. Fraud with credit cards, banking

Anyone can fall victim to credit card and Internet banking fraud. Although banking structures and licensed MFIs carry out data verification when transferring money or issuing a loan, you should take care to protect your payment data.

The main fraud schemes are listed above. In fact, there are dozens of them. If you or your loved ones have become victims of fraudsters on the Internet, you should seek help from law enforcement agencies and specialists of law firms.

Lawyers of “PRIKHODKO & PARTNERS” will help you in cases where attackers hacked your site, got passwords (including from an electronic wallet with bitcoins), account information, etc. Sign up for a consultation!