PJ arrest two in Faro over alleged fake investment scam

Two men have been arrested in Faro on suspicion of fraud and money laundering linked to an alleged fake investment scheme that police say targeted victims through social media and online communication platforms.

The arrests were carried out this Thursday by Portugal’s Judicial Police (PJ) as part of ‘Operation Faroeste’, led by investigators from Braga’s Criminal Investigation Department with support from the Southern Directorate.

According to the PJ, the suspects are strongly suspected of operating fraudulent investment and sports betting management schemes between 2022 and 2025.

Investigators say the pair used social media networks and online communication platforms to advertise purported financial investment opportunities and betting services, promising victims high returns and guaranteed profits.

Believing the offers to be genuine, victims transferred money to bank accounts allegedly controlled by the suspects.

Police say the funds were subsequently withdrawn in cash or moved through a series of bank transactions designed to make tracing the money more difficult.

So far, investigators have identified six victims and estimate losses at more than €34,000, although the PJ believes there may be additional victims who have not yet come forward.

During the operation, officers carried out two searches in Faro, seizing computer equipment, mobile phones, banking documentation, more than €19,000 in cash and other material considered relevant to the investigation.

In one of the properties searched, investigators also discovered two firearms and dozens of rounds of ammunition.

Police said the owner did not possess a valid firearms licence and is therefore also suspected of illegal weapons possession.

The two suspects, both aged 23, are due to appear before a judge for questioning and the possible application of preventive measures.

The investigation is ongoing.

Michael Bruxo

Journalist for the Portugal Resident.