Two TikTokers have been arrested after allegedly using the platform to help run a massive tax scam worth around $204 million.
HM Revenue and Customs confirmed that two men were arrested in east London after cybercrime investigators blocked £153 million ($204M USD) in suspected fraudulent claims.
The suspects, aged 22 and 25, are Romanian nationals and were arrested at addresses in Newham on April 23. Both have since been released on bail as the investigation continues.
According to HMRC, the pair are accused of using TikTok to convince UK taxpayers to hand over personal tax account details by promising them financial rewards.
Authorities say those details were then allegedly used to apply for fraudulent tax repayments.
HMRC warned that anyone who shares their tax information online risks having their identity stolen, their bank account frozen, and could even be left liable to repay money claimed in their name.
HMRC warns TikTok users over “risk free” cash scams
Simon Grunwell, Head of Cybercrime Investigations at HMRC’s Fraud Investigation Service, said users should treat tax information the same way they treat bank details.
“You should protect your personal tax details in the same way you protect your bank details,” he said.
“Claims of quick, risk-free cash in return for sharing your personal information are a scam. They aim to defraud you and the taxpayer.”
HMRC said social media scams often claim to be “risk-free” and may use direct messages to lure people in. The agency also warned that similar suspected scams have appeared across other platforms, including Instagram and Snapchat.
HMRC Example of an Instagram tax scam.
The two men were arrested on suspicion of fraud by false representation, encouraging or assisting offences, unauthorized access with intent, and money laundering offences.
HMRC added that it will never use social media to offer a tax rebate or ask for personal or payment information.
Anyone who sees suspicious HMRC-related social media accounts or messages has been urged to report them to the agency.
This isn’t the first TikTok scam to be thwarted. Earlier this year, a man from Kazakhstan was sentenced to almost three years in prison after he posed as a magician healer on TikTok and took money from viewers.
