Purported AI-Manipulated Videos of Cypriot Officials Circulated in Alleged Investment Fraud

Fraudsters created sophisticated AI-generated deepfake videos featuring prominent Cyprus politicians including the President of the Republic, Averof Neofytou, and Haris Georgiades, without their knowledge or consent. The deepfakes showed these officials appearing to recommend investments as solutions to economic difficulties, with lip movements matching the fraudulent statements. The scam operated through social media videos followed by phone calls from fake 'financial advisors' who created personal accounts showing rapidly increasing profits. Victims were initially asked to invest €250 or €150 depending on the platform, with one platform requesting €250 and another €150. The Cyprus Consumers Association reported 14 people fell victim to these scams in just one day, with one case involving losses exceeding €40,000. In that case, a supposed €40,000 investment grew to €195,000 on paper but was never recoverable. Some victims invested their last available funds. When victims tried to withdraw money, they faced excuses, delays, and eventually no response. The association has been monitoring the situation since early January and identified two different platforms involved. Some citizens reported the scams to police, but the perpetrators operate in ways that make them difficult to trace even for the Economic Crime Unit.