AI and new technologies make scams harder to detect, leaving experts and authorities struggling to keep up.
Scams have increasingly become more sophisticated and harder to detect, even for experts. With the advancement of artificial intelligence (AI) and evolving technologies, scammers are employing new tactics that make it virtually impossible for individuals, including law enforcement and financial experts, to spot fraudulent activity.
At the Global Anti-Scam Summit Asia 2024 held in October, anti-scam professionals from various sectors, including law enforcement, banking, and tech industries, were put to the test. They were shown a series of videos, some real and some AI-generated, to see if they could differentiate between the two. Despite their expertise, most of the experts failed to identify the AI videos, illustrating just how advanced these scams have become. Among those who correctly identified the videos was Assistant Commissioner (AC) Aileen Yap of the Singapore Police Force’s Anti-Scam Command, though she admitted she would have struggled if she hadn’t personally known one of the participants in the video.
The rise of scams has been a major global issue, with financial losses reaching staggering amounts. In Asia alone, more than $688 billion was lost to scams in the past year, with global losses surpassing $1 trillion. In Singapore, victims have lost over $2.7 billion to scams since 2019, with figures rising sharply, including a record $385.6 million lost in the first half of 2024.
To combat these rising figures, Singapore has implemented various campaigns and measures. One such initiative is the “Spot the Signs. Stop the Crimes” campaign, launched in collaboration with the Singapore Police Force and the National Crime Prevention Council. It aims to educate the public on identifying scam signs, such as deals that are too good to be true or unverified e-commerce sellers. The updated “I can ACT against scams” tagline further emphasizes the importance of adding security features, checking for signs of scams, and reporting fraudulent activity.
However, scammers are quick to adapt, often bypassing anti-scam measures before the public can catch up. With the rise of AI, scammers can now replicate real human interactions, such as video calls, and manipulate digital content to appear legitimate. As scams evolve, common checks, such as verifying SSL certificates or checking product reviews, are no longer effective, as scammers now use these tools themselves. Additionally, scammers have become brazen, sometimes using their real faces in scams, knowing that their victims may not be able to track their location or identity.
Mr. Jorij Abraham, managing director of the Global Anti-Scam Alliance (Gasa), explained that scammers are increasingly using AI to mask their identities or simply show their real faces, knowing that victims often cannot trace them. This makes it more challenging to recognize scams, which will likely become even more difficult to spot as technology advances.
To help mitigate losses, Singapore has introduced measures such as the money lock initiative, allowing bank customers to lock portions of their funds in order to prevent significant losses in the event they fall victim to a scam. The initiative has already shown promise, with cases of it thwarting scams reported in September 2024.
Despite these efforts, Mr. Abraham cautioned that it is becoming inevitable that people will fall victim to scams at some point, especially when they are distracted, stressed, or simply not paying attention. With scammers continually refining their methods, the fight against fraud is increasingly challenging. Even if victims report scams to the authorities, the chances of recovering lost funds are low, with only about 15% of the $385.6 million lost in the first half of 2024 being recovered. As scams evolve, individuals, institutions, and governments will need to work together to protect consumers from ever-changing threats.
