More than 700 money mule transactions worth more than €5million have moved through bank accounts during the first half of 2020, new data reveals.
Criminals are also targeting youngsters – as gardai have warned – to carry out the act according to FraudSMART, the fraud awareness initiative led by Banking and Payments Federation Ireland.
They said people between the age of 18 and 24 account for the vast majority of incidents.
The BPFI points towards the lack of part-time or summer work during the pandemic as one reason as to why youngsters are taking up money mule offers.
It also says it can become sinister, with individuals being threatened or attacked.
A money mule is a person who transfers illegally obtained money between different payment accounts, often in other countries, on behalf of others.
BPFI chief executive Brian Hayes said: “Criminals are deliberately targeting teens and young adults when recruiting money mules so it is critical that this age group as well as their parents fully understand how these crimes operate and how they can avoid getting caught up in it.
“This is pertinent now more than ever in the current pandemic with less part time or summer employment opportunities available to young people due to public health restrictions. “Criminals are very aware of this and very much seeking to capitalise on this.”
Mr Hayes explained people are recruited through social media offering “easy” money for something which appears as simple as opening a new bank account on behalf of the criminal or using their bank account to lodge or transfer money.
The former Fine Gael TD and MEP added: “While money muling might initially appear to be an easy fix for those who are struggling financially or want to make some extra money, young people need to be aware that money muling is effectively money laundering and therefore a criminal offence.”
Mr Hayes also warned of the consequences from being recruited to carry out the crime on behalf of fraudsters, explaining it has a “lifelong” effect.
He said: “We are calling on young people to familiarise themselves with the red flags and what to look out for in order to avoid becoming involved.
“We are also alerting parents to the signs they can look out for and encouraging them to talk to their children about this issue.”
