A collaborative effort between MTN SA and the South African Police Service (SAPS) led to the arrest of key individuals alleged to be involved in a one-time-PIN (OTP) scam syndicate.
This is according to an MTN SA statement, which says the breakthrough took place at the weekend, during a search and seizure warrant on properties believed to be the headquarters of these OTP scam syndicates in Eldorado Park, Soweto.
“The successful raid is a result of a coordinated effort by various stakeholders, including anonymous tip-offs. Upon the investigation, MTN and the Commercial Crimes Unit obtained search warrants to raid five properties in Eldorado Park believed to be associated with front businesses, suppliers, call centres and operations of an OTP scam syndicate.
“In most incidents, these criminals claim to be MTN call centre agents. Their modus operandi includes requesting the customer’s security details under the pretence that they were blocking the processing of a fraudulent SIM swap request that was being made on the subscriber’s number without their knowledge or authorisation.
“The scammers then use the customer’s responses, which they obtained during the call, to access the mobile and/or banking applications to transfer funds illegally.”
OTP scams remain among the leading scam tactics in telecoms, with mobile customers regularly being targeted.
To bring down the OTP scam syndicate, MTN reveals it worked with members of the SAPS crime intelligence, commercial crimes and other crime prevention units.
“Identity or subscription fraud has unfortunately become a threat impacting network operators and customers around the world, as criminals constantly work to find new ways to circumvent fraud prevention systems.
“The OTP scam is one of the prevalent fraudulent tactics in the telecommunication industry. Fraud in the telecoms industry often appears in a cyclical manner, based on what syndicates are targeting, at any given time.”
According to MTN, it has put several measures in place to mitigate the impact of OTP scams.
In addition, MTN has urged customers to remain vigilant, saying it would not contact customers from its call centre to block the processing of a SIM swap request or request OTPs.
“We urge all our customers not to respond to unsolicited calls and requests for their security details from an unknown number. Communication to customers is usually carried via platforms such as social media posts and press statements.”
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