AI-Powered scams emerge as new fraud challenge despite decline in phone, online cases

Artificial intelligence (AI)–powered fraud has emerged as a new threat in Macau, even as traditional phone and online scams decline.

Judiciary Police (PJ) director Sit Chong Meng revealed that Macau recorded its first deepfake scam in late April.

At a PJ event on Saturday, Sit said that AI-generated deepfake content, along with recent scams impersonating online payment platform customer service, led to losses affecting over 100 victims in April alone.

Despite a 27.1% drop in phone scams (121 cases) and a 29% drop in internet fraud (228 cases) in the first five months of 2025, Sit warned that anti-fraud efforts must adapt to evolving tactics.

The PJ’s upgraded Anti-Fraud Center 3.0 became fully operational in May, logging over 17,000 visits and helping the public identify scams.

“Through technological empowerment, the anti-fraud program has effectively supported the public in preventing fraud and has recorded more than 17,000 visits in the first five months of this year,” the director said.

In collaboration with telecom operators, the bureau blocked 263 phishing websites and rolled out online and on-campus outreach, including mobile awareness vans and over 500 “anti-fraud ambassadors” in local universities.

Banks helped halt losses in 131 cases during the first quarter, amounting to over MOP25 million. PJ also flagged 249 suspicious accounts, with mainland authorities freezing 32 bank accounts and intercepting RMB440,000 in illicit funds.

So far this year, PJ has arrested 98 fraud suspects and dismantled several local scam operations. The bureau has joined international cooperation frameworks like INTERPOL’s I-GRIP and the “FRONTIER+” task force, engaging in its first cross-border operation with 10 jurisdictions.

The official also noted that fewer thefts have been recorded in the first five months of 2025, with 269 cases reported. This figure reflects a 27.1% year-on-year decline, while robberies rose slightly by one case to 16.

To further reduce theft, authorities plan to increase police presence and expand public awareness campaigns to inform merchants and residents.

Surge in Gaming-Related Crimes
The most notable increase in the recently announced statistics concerns gaming-related offenses. The PJ investigated 943 gaming-related cases from January to May, a 62.9% rise compared to the same period last year.

Sit revealed that, of these 943 cases, 204 cases (21.6%) involved unlicensed money exchange for gambling, a crime newly criminalized under the Law to Combat Crimes of Illegal Gambling.

The PJ director stated that authorities will continue intelligence gathering, data analysis, and industry cooperation to crack down on illegal lending and gambling-related fraud, which also rose sharply by 93.1% this year.

Since the law’s enactment on October 29, 2024, the PJ has arrested 481 individuals across 323 cases related to illegal money exchange, seizing over HKD60 million in cash and chips.

Under Article 11, Macau law considers unlicensed money-changing a criminal offense if authorities determine it is conducted as a business, whether inside or outside casinos.

Offenders face penalties of up to five years in prison and may also be banned from entering Macau casinos for two to ten years.

Drug crime remains low
The PJ director reported that drug-related offenses remain low but continue to be a priority.

In the first five months of 2025, the PJ recorded 22 drug trafficking cases and 10 drug abuse cases.

Sit noted that the newly revised Anti-Drug Law, effective late last month, added 24 controlled substances, including etomidate found in “space oil,” which enhances the scope for enforcement.

Authorities concluded the briefing by reaffirming their commitment to protecting national security and ensuring stability in the Special Administrative Region (SAR) ahead of major upcoming events such as the 8th Legislative Assembly election and the 15th National Games.