ASIC has issued a warning to investors about a surge in share theft reports since August 2024, largely involving stolen identities. Fraudsters are impersonating individuals, selling their shares without consent, and many victims only realise the fraud when they receive unexpected confirmation letters from share registries.

How the Scam Works

Fraudsters use stolen or fake identities to open share trading accounts, then sell shares owned by the real person. They may even set up fraudulent bank accounts to receive the sale proceeds. Personal information can be obtained through online data breaches or stolen mail, making Australians who have experienced data breaches more vulnerable.

How to Protect Yourself

• Regularly Review Accounts: Check your share portfolios, superannuation, and investment accounts for any unauthorised activity.
• Strengthen Account Security: Use passphrases instead of simple passwords and enable multi-factor authentication where possible.
• Safeguard Personal Information: Lock your letterbox to prevent mail theft and ensure all your contact details are up-to-date with your financial service providers.
• Act Quickly on Suspicious Activity: If you receive unexpected correspondence, such as a bank card or notifications about your shares, contact the provider using verified contact details.
• Report Fraud: Notify ScamWatch of any incidents and reach out to IDCARE for help with an identity theft response plan.

Stay vigilant to protect your investments and identity from fraud.

To read more about this at ASIC – Investor alert: Reports of stolen shares due to identity theft on the rise.

As always if you have any concerns or queries please contact us.