WIREDGOV

Police have dismantled a suspected organised crime gang believed to be cold-calling and text messaging pension holders across the UK with fraudulent offers that could destroy their retirement plans.

Arrests were made as part of an operation prompted by intelligence from several agencies, including the Information Commissioner’s Office.

In the past couple of years there has been a dramatic increase in members of pension schemes being approached to take a portion of their savings as cash before they reach the minimum pension age of 55. Thousands of people are estimated to have released up to £400 million into high risk and non-existent investment schemes, many of which are based overseas. Some of this money has been totally lost to fraudsters, with victims also being hit by significant tax and admin fees.

The ICO has seen reports of spam text messages related to reclaiming pensions more than triple in the past six months, and one in eight spam messages sent in March are thought to relate to pensions. The office has seen a similar spike in cold calls relating to pensions.

The operation on Wednesday morning saw detectives from City of London Police entering offices in the Square Mile, as well as making arrests in Ayr, Glasgow and Cheshire.

It is the first major police investigation into suspected pension liberation fraud. A taskforce has been set-up to address the issue, with the ICO working alongside the Pensions Regulator, City of London Police, Financial Conduct Authority, Department for Work and Pensions, HM Revenue & Customs, Serious and Organised Crime Agency, Serious Fraud Office and National Fraud Authority.

The ICO received more than 175,000 reports of unwanted marketing texts and calls in the last year. Report spam texts and nuisance calls to us.

If you think you may have been a victim of pension liberation fraud, contact Action Fraud on 0300 123 2040.

Notes to Editors

1. The Information Commissioner’s Office upholds information rights in the public interest, promoting openness by public bodies and data privacy for individuals.

2. The ICO has specific responsibilities set out in the Data Protection Act 1998, the Freedom of Information Act 2000, Environmental Information Regulations 2004 and Privacy and Electronic Communications Regulations 2003.

3. The Privacy and Electronic Communications Regulations 2003 support the Data Protection Act by regulating the use of electronic communications, including live and automated marketing calls and marketing text messages. The ICO has the power to issue monetary penalties up to £500,000 for serious breaches of the regulations.

4. The ICO is on Twitter, Facebook and LinkedIn. Keep up to date on the ICO blog and e-newsletter.

5. For more information, please contact the ICO press office on 0303 123 9070.