With the development of the 4.0 revolution, credit card transactions are becoming a popular payment method at retail stores and restaurants. However, along with the convenience, there have been many cases of “fraudulent credit card transactions”. This is an act of e-commerce fraud, violating the regulations of the State Bank and the Ministry of Finance. What is worrisome is that this phenomenon is increasing, causing many difficulties for banks issuing credit cards.
Even more dangerous is the phenomenon of some units accepting POS-registered cards as restaurants/cafes, and then swiping credit cards through POS without generating goods or services, without generating tax invoices, to receive benefits. This behavior violates the current tax invoice policies of the State.
Groups/organizations “withdrawing or delaying credit cards” on the social networking site Facebook (Photo: Danang Police)
According to the Danang Police, through surveillance and monitoring on the internet, the Cybersecurity Department and the High-tech Crime Prevention and Control Department – the city Police (Cybersecurity Department) have discovered many Facebook pages posting articles related to “withdrawing or delaying credit cards”. The subjects set up pages, groups/organizations on the Facebook social network and then ran advertisements with posts about being able to withdraw cash from credit cards or delay card payments using POS machines at a low cost.
Up to January 2024, the Cybersecurity Department has organized survey operations and worked, drawn up administrative violation records against 03 “credit card withdrawal or delay” points in the city. Based on that, continue to advise the Director of the Provincial Police Department to report and advise the Chairman of the City People’s Committee to make a decision to impose administrative sanctions on 04 defendants who have committed “using POS machines to carry out fraudulent payment transactions at accepting units (without the occurrence of goods trading and service provision)” with a total amount of 660 million VND.
In which, each defendant is fined the principal amount of 125 million VND, with additional penalties (confiscation of exhibits, vehicles used for administrative violations) and obliged to remedy the consequences (depositing the illegal gains into the state budget).
The City People’s Committee of Danang has issued recommendations and requests to the State Bank’s branch in Danang to continue researching regulations and related violations regarding the type of activity point “credit card withdrawal or delay”. Based on that, there will be reminders and rectification for the provision, leasing and use of POS machines in Danang city in the coming time.
Through the above incident, the Cybersecurity Department of the Danang City Police advises people to not use POS machines that they own with the purpose of swiping cash or delaying credit card payment; Absolutely do not provide personal credit cards to individuals who own POS machines to swipe for cash or delay card payments.
