Harley Thomas and Martin Kenney contribute to FraudNet’s new Global Annual Report
MKS Law team considers the challenge of encrypted messaging apps.
Success in asset recovery and criminal accountability will increasingly hinge on adaptive strategies that mirror fraudsters’ agility, harnessing technology and international cooperation to overcome substantial evidentiary and jurisdictional barriers.
That’s according to a new paper just published by Harley Thomas and Martin Kenney in this year’s ICC FraudNet Global Annual Report 2025.
The revelation that members of the US government shared extremely sensitive military operational information via the Signal messaging app has brought into close focus just how common encrypted messaging has become.
Journalists, politicians and, of course, the criminal fraternity have all turned to encrypted messaging platforms. These have unfortunately become integral tools in global fraud schemes, too, posing significant challenges for asset recovery professionals.
While platforms like Signal, Telegram and WhatsApp provide valuable privacy protections for legitimate users, they have simultaneously evolved into a critical infrastructure for orchestrating and concealing sophisticated financial crimes.
Fraudsters leverage these encrypted architectures with their decentralised communication and limited metadata retention, to perpetrate cryptocurrency scams, investment fraud and advanced asset concealment operations, complicating cross-border investigations and recovery efforts.
Large-scale organised fraud groups frequently take advantage of Telegram’s client-side open-source structure, for example. These criminal enterprises exploit the app’s expansive private groups, promoting fraudulent investment opportunities and directing victims toward decentralised cryptocurrency exchanges or peer-to-peer transactions.
Conversely, WhatsApp is commonly utilised for intensive, targeted engagement through one-to-one interactions, notably in so-called “pig butchering” (romance) schemes. Victims are meticulously groomed over extended periods, fostering trust and deepening deception, before being persuaded to part with their funds.
Law enforcement agencies face substantial difficulties when securing crucial evidence from any of these encrypted mobile platforms. Investigators typically begin by attempting to access encrypted data directly from seized mobile devices. Yet the challenges posed by device encryption, local storage permissions and auto-deletion features often hinder forensic retrieval.
Addressing the misuse of encrypted messaging platforms in global fraud schemes demands multi-jurisdictional collaboration, sophisticated technological fluency and continuous procedural innovation.
Success in asset recovery and criminal accountability will increasingly hinge on adaptive strategies that mirror fraudsters’ agility, harnessing technology and international cooperation to overcome substantial evidentiary and jurisdictional barriers.
Proactive engagement between law enforcement agencies, regulatory bodies and legal professionals will further strengthen these collaborative frameworks.
Along with many other excellent contributions from fellow ICC FraudNet members, this year’s ‘Global Annual Report’ is a must-read for all involved in asset recovery investigation and litigation.
The report takes as its theme: “The State of Fraud and Asset Recovery: Timeless Crimes, Modern Approaches”. It comprises 23 original articles authored by 37 leading experts in the field contributing insights and perspectives from across their respective practices and jurisdictions.
