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A man posing as an investment advisor has been charged with money laundering.
In a statement, Detective Senior Sergeant Phil Taylor said the charge followed a number of reports of a false investment scam around the country.
"Police have received multiple reports of a false term deposit scam where the offender/s claim to be investment advisors, receiving significant amounts of money from victims.
"Scams of this nature are often internationally based and utilise New Zealanders as mules, giving their scam a sense of legitimacy."
The police investigation into such scams had seen the 52-year-old Whanganui man arrested and charges with five counts of money laundering.
Taylor said he was due to appear in Whanganui District Court on Tuesday.
"Inquiries into this scam continue.
"It is important to be vigilant when online and carry out measures to prevent yourself from potentially being scammed."
Police advice on similar scams
- Scams continue to evolve and use more sophisticated methods to deceive the public - the age-old saying "if it sounds too good to be true, it probably is", is a good rule of thumb.
- We encourage people to research 'broker' companies online before engaging with them.
- Scammers will pose as brokers for a number of established banks.
- Check out the Financial Markets Authority's website as they publish the names of suspicious companies on their website.
- Always talk to your bank or another financial professional before making large online investments.
- If returns are higher than usually seen, it's probably the sign of a red flag.
- Be sure to do your research and make sure the website is legitimate.