R$18 Million Auction Scam Busted in Brazil: Dozens Arrested

Brazilian Police Net R$18 Million Auction Fraud Ring Minas Gerais, Brazil – In a major crackdown on online fraud, Brazilian police have arrested dozens of suspects involved in a sophisticated auction scam. Operation Virtual Hammer, launched by the Polícia Civil de Minas Gerais, targeted a criminal organization that operated fake online auction sites, defrauding over 250 victims of more than R$18 million in the past year alone. The operation, which involved over 100 officers and took place simultaneously in 12 cities across three states, resulted in 24 arrests and 57 search warrants. Seized assets included cash and property linked to the group. "The gang maintained a well-articulated scheme," said a police spokesperson. "They created fake auction sites, simulating legitimate platforms, and solicited payments via PIX." Victims were enticed by seemingly genuine offers of vehicles and other goods, only to discover the items did not exist. Losses for individual victims ranged up to R$200,000. The investigation, which began in 2023 in the city of Frutal, has revealed the operation spanned at least eight states. This successful operation serves as a warning about the dangers of online scams and the importance of verifying the legitimacy of online auctions before making payments.