In a harrowing tale of deceit that highlights the growing dangers of AI-generated deepfakes, a 72-year-old grandmother from Taranaki, Jill Creasy, lost $224,000 after being manipulated into a cryptocurrency investment scam. The fraudsters used an AI deepfake video featuring New Zealand Prime Minister Christopher Luxon endorsing Bitcoin investments aimed at pensioners. This shocking case not only demonstrates the dark side of AI technology but also underscores the vulnerability of the elderly in the rapidly evolving world of cybercrime.
The scam began when Creasy stumbled upon a video advertisement on Facebook in July 2024. In the video, a highly realistic AI-generated version of Christopher Luxon urged retirees to supplement their income by investing in Bitcoin. The professionalism of the video, coupled with the use of a trusted public figure, was enough to convince Creasy that the offer was legitimate. But as we now know, this was far from the truth.
AI Deepfakes: The New Face of Fraud
What makes this case particularly alarming is the sophistication of the scam. Deepfake technology has advanced to the point where it is nearly impossible for the average person to distinguish between real and fake content. The perpetrators of this fraud took advantage of that technological power, creating realistic videos not just of Luxon, but also of other well-known New Zealand figures like Winston Peters and TVNZ broadcaster Jenny May Clarkson.
The appeal of the deepfake was powerful, especially for someone like Creasy, who was already dealing with financial concerns in her retirement. With a modest $20,000 in savings and $200,000 inherited from her late mother, she believed this was an opportunity to secure her financial future. Unfortunately, the criminals preyed on her hopes and trust in a public figure, showing just how vulnerable individuals can be to such well-executed deceptions.
Also read: Russian President Putin Announces BRICS Crypto Adoption for Investment at BRICS Business Forum
The Mechanics of the Scam: A High-Tech Heist
After responding to the video, Creasy was contacted by a man who identified himself as Adam Manolas, a supposed investment adviser from Terma Group, based in Manchester. Manolas guided her through the process of investing in cryptocurrency, instructing her to download remote-access software, AnyDesk, which allowed him to control her computer. From there, he set up accounts for her at crypto exchange platforms Easy Crypto and Binance, and instructed her to transfer money from her TSB internet banking account.
Creasy watched helplessly as he transferred sums of up to $20,000 — her daily transfer limit — to purchase Bitcoin over the next 26 days. She was assured that her investments were safe and that her $224,000 would soon generate a handsome return, with Manolas even claiming that her portfolio had already grown to $320,000. But that was just another lie in a web of deceit.
The depth of the scam became apparent when Creasy realized that her Bitcoin wasn’t going into her account at Binance as promised. Instead, a computer expert she later hired tracked the funds to a third-party Binance holding account that was receiving nearly $3 million daily. This holding account contained nearly $1 billion in cryptocurrency, suggesting that Creasy was not the only victim of this sophisticated international criminal network.
Scammers Prey on Trust and Technology
Creasy’s ordeal paints a grim picture of how scammers can exploit a combination of trust, advanced technology, and sophisticated psychological manipulation. The criminals didn’t just rely on the allure of easy money. They built an elaborate façade, complete with professional-looking websites, supposed expert advice, and the appearance of legitimacy through deepfake videos.
To Creasy, this investment seemed like a once-in-a-lifetime opportunity, endorsed by figures she trusted. The depth of her conviction was such that even after receiving warnings from TSB and Easy Crypto about the unusual transactions, she reassured them that everything was above board. The scam worked because it combined powerful technology with emotional manipulation, targeting Creasy’s desire to provide for her family and secure her financial future.
The emotional toll on Creasy is immense. “First of all, I felt angry, and then I felt foolish. Then I felt really ashamed,” she confessed. The financial consequences are equally devastating, as Creasy’s life savings, her inheritance, and even funds she had earmarked for her grandchildren were wiped out.
Why Did No One Intervene Sooner?
This tragic case raises serious questions about the role of financial institutions and technology platforms in protecting consumers from such sophisticated scams. TSB, Easy Crypto, and Binance had all flagged concerns about the transactions, yet they proceeded after receiving assurances from Creasy. While these platforms did take steps to intervene, it was ultimately Creasy’s insistence — manipulated by the scammers — that allowed the fraud to continue.
TSB later conducted an investigation and, while expressing sympathy, declined liability, pointing out that Creasy had enabled the scam by allowing remote access to her computer. According to TSB, Creasy had failed to take “reasonable care” of her security credentials by sharing two-factor authentication (2FA) codes with the scammer.
However, some argue that more could have been done to prevent the loss. The ease with which Creasy’s life savings were transferred through multiple transactions, despite concerns from TSB and Easy Crypto, suggests that existing safeguards may be insufficient in an era where AI, deepfakes, and cryptocurrency scams are becoming more prevalent.
A Growing Threat: Deepfakes and the Future of Fraud
The case of Jill Creasy is a stark reminder that technology can be both a force for good and a tool for exploitation. AI-driven deepfake scams are becoming increasingly common, with cybercriminals using fake videos of trusted public figures to lend credibility to their schemes. The Financial Markets Authority (FMA) issued warnings about these scams months later, but by then, it was too late for Creasy.
The rise of deepfakes presents a new challenge for regulators, financial institutions, and consumers alike. How do you protect people from fraud when the deception is so advanced that it’s virtually indistinguishable from reality? And what steps should the government and tech companies take to combat the growing threat of AI-driven scams?
Prime Minister Luxon has since spoken out, emphasizing that he would never endorse any particular investment and urging New Zealanders to remain vigilant. But for Creasy and countless others, this advice comes too late.
The Human Cost of AI-Driven Fraud
Beyond the financial loss, Creasy’s story is a deeply personal one. Her emails to the scammers, in which she expresses her anger and heartbreak, reveal the profound emotional impact of being swindled by people who prey on trust and hope. “If you entrusted me with your money, I would pay you back when you asked for it,” she wrote, emphasizing the betrayal she felt.
Now, Creasy faces an uncertain future. With her retirement funds depleted, she is left grappling with the fallout of the scam, both financially and emotionally. She has reported the crime to the police, but the chances of recovering her money are slim. As the criminals operate across borders, they remain elusive, with law enforcement struggling to track them down.
Creasy is determined not to let the scam go unpunished. In a startling admission, she told the NZ Herald that she has contemplated hiring a hacker to track down the man who stole her savings. “I told the detective, ‘If you give me a Luger, I’d drop him,’” she said, underscoring the deep anger and sense of injustice she feels.
A Wake-Up Call for Governments, Tech Companies, and Consumers
The case of Jill Creasy should serve as a wake-up call for all of us. As AI continues to advance, so too do the methods that criminals will use to exploit unsuspecting individuals. Governments must take stronger action to regulate and mitigate the risks of AI-driven fraud, while financial institutions and tech companies must implement more robust safeguards to protect vulnerable consumers.
For the rest of us, the lesson is clear: in an age where technology can be manipulated to deceive, we must all remain vigilant and skeptical of offers that seem too good to be true—even when they appear to come from the most trusted sources.
