On March 9, Hanoi Police warned about the form of fraud known as Dropshipping to misappropriate property.
Dropshipping is a retail model where the seller does not need to store their products in a warehouse. Instead, the seller only needs to forward the orders and customer details to the manufacturer or supplier.
The seller only needs to focus on promoting the products, while the product provider takes care of everything else. When a customer places an order, the retailers will notify the dropshipping partner – either the manufacturer or wholesaler – who will then package and ship the product to the customer. The shipping partner will charge a fee for each order.
In today’s digital age, dropshipping is a popular choice for individuals and organizations due to its streamlined model. From large businesses to stay-at-home moms looking to earn extra income, anyone can participate in this form of business. However, some individuals exploit this business model to lure unsuspecting victims and then embezzle money.
Ms. N was looking for a new online sales job, so she messaged the “Taobaovn Store” page and received the Zalo barcode from their support staff. She created a store and selected products from the Taobao page to sell. When customers placed orders, Ms. N had to send payment orders in USD through the provided applications and convert them into Vietnamese currency to transfer to the suppliers.
When the number of orders became too large, Ms. N did not have enough financial capacity to make payments. She wanted to withdraw her capital, but was requested to pay all the outstanding orders in order to get her money back. The scammers used various excuses, such as “payment for all orders,” “achieving a revenue of $10,000,” “supporting poor children,” etc., to demand additional money from Ms. N. She transferred the money to them and lost 340 million VND.
The Hanoi Police’s Cybersecurity and High-Tech Crime Prevention Department advises online sellers, especially individuals who have never dealt with “partners,” to be cautious and verify information when participating in the dropshipping business model and conducting money transfers.
Be cautious when faced with opportunities to make large profits through online business applications. If you encounter suspicious cases, contact the police to resolve the issue in accordance with the law.
