FBI Operation Blackout Seizes $17 Billion in Global Scam Compounds Targeting Americans
FBI Director Kash Patel announced Operation Blackout has disrupted criminal syndicates operating fraudulent investment schemes, often targeting senior citizens.
FBI Director Kash Patel revealed that Operation Blackout has seized approximately $17 billion connected to global scam compounds that target Americans, primarily senior citizens, through cryptocurrency investment fraud. The FBI-led initiative aims to identify, disrupt, and dismantle these foreign operations.
Operation Blackout involves overseas raids and asset seizures, alongside efforts to sever communication networks, rescue trafficked workers, and return stolen funds to victims. Patel stated that these scam compounds are massive, resembling villages with structures where individuals are forced into labor.
Common schemes involve criminals cultivating online relationships or friendships with victims before directing them to fraudulent cryptocurrency investment platforms. Victims may initially see apparent returns but are later unable to withdraw their money. Patel noted that many targets are senior citizens who may be less familiar with newer technologies, often falling prey to scams propagated via social media, phone calls, text messages, and Telegram.
An operation in August at a large scam compound in Cambodia, O’Smach Resort, resulted in the seizure of hundreds of electronic devices and boxes of evidence. The FBI also highlighted Operation Level Up, its domestic prevention component. Under this operation, the FBI proactively identifies and contacts potential victims of cryptocurrency investment scams. This has led to notifications for over 10,000 individuals and the prevention of an estimated $660 million in losses, with an additional $122 million in cryptocurrency seized or frozen. The FBI reported that 77% of contacted individuals were unaware they were being targeted by scams.
The criminal networks have been migrating, with a recent FBI Honolulu-assisted operation in Madagascar dismantling 13 scam centers operated by Chinese organized crime syndicates. Patel indicated that the FBI is strategically positioned to address this migration into central and sub-Saharan Africa.