Scheme Fraud

Scheme fraud refers to a deceptive plan or strategy designed to deceive individuals or organizations for financial gain. It typically involves a perpetrator creating a false appearance of legitimacy, often using promises of high returns or exclusive opportunities to lure victims. Common examples include Ponzi schemes, where returns are paid to earlier investors using money from newer investors, rather than legitimate profits. The fraud relies on ongoing recruitment of new participants and usually collapses when it becomes unsustainable, leaving many victims with significant financial losses. Awareness and vigilance are crucial in avoiding such scams.