Refunding scam victims creates ‘honeypot for organised crime’: NAB

Banks want telecommunication companies and social media platforms to share the surging cost of scams but warn too much focus on victim compensation will “create a honeypot for organised crime”.

Paul Jevtovic, chief of financial crime risk at National Australia Bank, said the government’s planned industry codes should allocate the growing cost of scams – estimated to be $4 billion this year – between banks, technology giants and telecommunications companies. But he also urged customers to take more responsibility for sending money to dodgy sources and for authorities to target the criminal groups creating the problems.