Deadline extended for victims scammed via Western Union

The ACCC’s Scamwatch is urging all Australians who lost money to a scammer through Western Union from 2004 to 2017 to take action by 31 May 2018* to try to get it back.

Western Union has agreed to pay a penalty of US$586 million to the United States’ Department of Justice (DOJ) after admitting to aiding and abetting wire fraud. The DOJ is using this penalty to provide refunds to eligible people worldwide who were tricked into paying scammers via Western Union.

Australian consumers can use an online form or apply by post to have the money they lost refunded by the DOJ. As this is a US-based action, the ACCC is unable to make claims on a consumer’s behalf or assist consumers with their claims.

“Scamwatch hears heartbreaking stories on a daily basis from Australians who have lost money to scammers by wiring funds through Western Union. Over $5 million is reported lost each year to these scams but this is just the tip of the iceberg as many victims don’t contact us,” ACCC Acting Chair Dr Michael Schaper said.

“The sad reality is that in most cases, once you have fallen victim to a scammer, the money is gone – and there’s nothing you can do to get it back. For people who have wired money via Western Union from 2004 until 2017, this may be your chance to recover some of it.”

Scamwatch says scammers often promise prizes, loans, jobs, discounted products and other financial rewards in exchange for sending money upfront through untraceable wire transfers. They also pretend to be family members in urgent need of cash, or law enforcement officers demanding payment for fines, or countless other excuses, but no one ever receives the cash, prizes or services they were promised by scammers.

All wire transfers made through Western Union within and outside of the United States between 1 January 2004 and 19 January 2017 may be eligible for remission. Australian consumers can submit a claim to the US DOJ either online or by post until 31 May 2018.

This court ruling followed joint investigations by the United States’ (US) Federal Trade Commission, the US Department of Justice (DOJ), and the US Postal Inspection Service. More information about this case is available via www.ftc.gov/wu

For further information, visit the US Department of Justice website for updates and a detailed list of frequently asked questions.
For media enquiries, contact the ACCC Media team on 1300 138 917
*Edited on 21 March 2018 to reflect an extension of the claims timeframe from 12 February to 31 May 2018.