Osaka Police Arrest 90 in Record-Breaking Investment Scam Bust
Osaka police have arrested 90 people in a major crackdown on a syndicate running an investment scam through social media. The raid, carried out on Tuesday, targeted four buildings in Osaka, marking the largest number of arrests related to this type of fraud in Japan’s history.
In a well-coordinated operation, around 470 officers were deployed to conduct surprise searches, aimed at preventing evidence destruction and possible escapes by suspects.
Among those arrested were key suspects Yoshihiko Yamada, 43, and Daiki Shimauchi, 40, both from Osaka, and Hikari Nagai, 30, from Izumisano, Osaka Prefecture. These individuals were accused of defrauding a woman in her 20s of approximately ¥900,000 ($5,800) between February and March under the guise of fees for binary options trading guidance and investment product purchases.
Following the initial raid, investigations revealed more members involved, leading to an additional 82 arrests by the following day. Police seized 1,800 smartphones, 60 computers, and detailed manuals used in the scam operations.
The syndicate is believed to have been split into two groups, with Yamada and Shimauchi identified as leaders. The groups operated out of 10 rooms spread across four buildings in Osaka’s Nishi and Chuo wards. Investigators estimate that multiple victims were deceived by the fraudulent investment scheme, with total losses approaching ¥950 million.
In addition to the younger woman, authorities suspect the syndicate also defrauded a woman in her 30s in January, convincing her through social media to invest in a scheme with falsely advertised “win rates” of up to 92%. She ended up transferring approximately ¥2.37 million to the fraudsters.
Osaka police are continuing their investigation into the syndicate, which is suspected to have run an extensive network targeting vulnerable individuals with promises of high returns through fake investment schemes.
