Protecting the rights of victims of online fraud

New research in Ireland for the EU Fundamental Rights Agency

With the increased shift of everyday activities to the online environment, more and more individuals fall victim to crimes committed online.

Online fraudsters target millions of victims across the EU every day, generating multiple billions in illicit profits every year , and the impact of these crimes is significant and increasing. Victims of online fraud are often revictimized. (Europol, Online fraud schemes: a web of deceit)

HOw are the rights of victims of online fraud in Ireland proected? New research for : FRA Logo.  
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Text below reads: If you have reported online fraud to Gardai, a bank, or 
any other organization, we'd like to hear from you

More than half (56%) of people answering a European Commission survey in 2019 had experienced at least one type of fraud or scam.

The impact of crime committed online can be significant for its victims. It can cause serious economic and reputational damage and can have a negative financial and emotional impact on individuals. A recent report shows that people fear being “hacked for fraud/spying purposes” more than attacks to their personal safety” (IPSOS, 2019).

The reporting rate remains low, and victims very often are too ashamed to report this type of crime. Additionally, victims of online fraud very often need to perform several actions in order to protect themselves from the further consequences of experiencing fraud. For example, they need to change their email addresses or passwords, report their payment cards, call the banks to try to stop the transfer etc. In other words, they need to perform several steps in order to possibly recover their money and safeguard themselves against repeat victimisation. These steps can be complex and challenging.

Victims of online financial fraud are covered by the EU legislation concerning the support and protection of victims, including the EU Victims Rights Directive  and the Directive on combating fraud and counterfeiting of non-cash means of payment . Victims of online fraud should receive appropriate information, adequate support, and protection, and can participate in criminal proceedings. Victims of fraud should have sufficient access to information including advice on how to protect themselves against the future negative consequences of the offences (such as for example identity theft as a consequence of online fraud). EU Member States are also obliged to take preventative action against online fraud.

The EU Charter of Fundamental Rights guarantees the right to property (Article 17), and victims are guaranteed the right to effective remedy (Article 47). Article 38 also provides for a high level of consumer protection.

EU Member States must ensure that property rights are sufficiently protected by law in their countries, and that adequate remedies are provided for victims of property crime. Authorities are obliged to conduct effective criminal investigation and, if appropriate, prosecution.

This project will focus on access to justice for victims of online fraud understood as crimes against property involving non-cash means of payment, committed online with the use of a computer, smartphone or other device connected to the internet, by means of deception (or false representation). Some examples of online fraud crimes included are:

  • Investments fraud
  • Consumer fraud
  • Rental fraud
  • Inheritance fraud
  • Extortion

As part of the Europe-wide FRANET research team, we will analyse national legislation in Ireland and practice on victims’ rights from the angle of protection of rights of victims of online fraud understood as crimes against property, including in a cross-border context. We will speak with victims of online fraud, as well as financial institutions, online platforms and providers, data protection authorities, civil society, law enforcement authorities, cybersecurity bodies, and consumer protection authorities.

The EU-wide report will provide guidance to EU institutions, EU Agencies such as Europol and Eurojust, and Member States, in particular their law enforcement and justice authorities, about how to effectively ensure rights of victims of online fraud understood as crimes against property.