Farmer Targeted on WhatsApp Loses RM740,000 to Non-Existent AI Investment Scheme

A 59-year-old farmer from Kota Tinggi, Johor, has lost close to RM739,000 after falling victim to a fraudulent investment scheme that masqueraded as an artificial intelligence driven trading platform. The case, which came to light in late April 2026, underscores the growing danger posed by scam operations that exploit the credibility of AI technology to deceive ordinary Malaysians.

Kota Tinggi police chief Supt Yusof Othman confirmed that the victim was first approached in February by an unknown woman who contacted him via WhatsApp. The woman presented him with a scheme she described as the “AI Investment” scheme, one that supposedly harnessed the power of artificial intelligence to generate investment returns worth millions of ringgit.

Enticed by the extraordinary profit claims, the victim agreed to participate and subsequently made five separate money transfers to four different bank accounts. The total amount transferred came to RM738,950, a life-altering sum for a farmer whose livelihood depends on physical labour.

What made this scheme particularly insidious was the mechanism used to extract further payments. The scammers told the victim that profits amounting to approximately RM10 million had been generated on his behalf but were being held in a blocked state within the investment application. To release these blocked profits, he was told he needed to make additional staged payments totalling the amount he had already transferred.

The victim only came to terms with the deception when it became clear that no matter how much he paid, no returns would ever materialise. He filed a police report and the case is now being investigated under Section 420 of the Penal Code for cheating.

This case reflects a broader and deeply concerning trend in which scammers leverage the buzzword appeal of artificial intelligence to give fraudulent investment schemes an air of technological credibility. For victims who may not be deeply familiar with how AI technology actually works, the promise of an automated, AI powered trading system delivering guaranteed millions can seem entirely plausible, especially when delivered with confidence and professional-sounding language over a messaging platform.

The “blocked profits” tactic is a particularly manipulative hallmark of investment fraud. By convincing victims that large sums have already been earned and are ready to be released upon additional payments, scammers transform greed into leverage, making victims feel that paying more is a rational step rather than a red flag.

Malaysians are strongly advised to be sceptical of any investment opportunity delivered through messaging apps, especially those promising AI-driven returns or using claims of “blocked profits” to solicit further payments. No legitimate investment platform operates this way.