The Albanian government has announced new measures to support fraud victims, indicating that it will be easier to obtain compensation following the latest round of federal initiatives targeting scammers. This move is part of the government’s efforts to enhance citizen protection and combat fraud that harms many Australians.

$14.7 Million Allocated for Victim Compensation

As part of the campaign, the government will allocate $14.7 million to establish a single pathway for fraud victims to apply for compensation through the Australian Financial Complaints Authority (AFCA). This pathway will allow victims to submit claims through an independent channel if they cannot reach a resolution with banks, telecommunications providers, or social media platforms.

Corporate Responsibility

Assistant Treasurer Stephen Jones emphasized that companies must take responsibility for protecting their customers. He stated, “Our crackdown on fraud will cut off the avenues used by scammers to target Australians by setting high standards for what companies must do to prevent them.” He added, “Fraud victims will have a clear path to remedy.”

Claims Against Multiple Entities

The new measures will allow victims to submit claims against multiple entities. For instance, an individual who lost money in a social media scam can file a claim against both the social media platform and the bank they deal with. If the AFCA finds that both entities failed to provide adequate protection, they could share liability.

Government’s Efforts in Fraud Prevention

The Albanian government has urged companies, particularly social media platforms, to make greater efforts to prevent Australians from falling victim to fraud costing billions of dollars annually. While overall fraud losses have decreased, reports of social media fraud increased by 17% in 2023.

In July, the government revealed new mandatory codes requiring social media companies, banks, and telecommunications providers to intensify their efforts to combat fraud. Notably, Australians lost $2.74 billion due to fraud last year, highlighting the urgent need for these measures.