Tag: Elfriede Sixt

Europe built instant, low‑cost payment rails—and accidentally created a paradise for cyber‑fraud. That’s the core message in a new academic paper by Elfriede Sixt, Chairwoman of EFRI and partner in the C42 project, who lays out a data‑driven indictment of today’s liability rules and a blueprint to fix them.

In a case that raises fundamental questions about legal ethics and professional accountability, the Dutch law firm BarentsKrans has come under fire for abandoning the European Fund Recovery Initiative (EFRI) and over 600 financial fraud victims just days before a critical court deadline. EFRI accuses the law firm of concealment, conflict of interest, and unethical conduct—all while pocketing tens of thousands of euros meant for justice. This is not just a legal misstep. It’s a betrayal.

The Amsterdam public prosecutor's office reached a questionable settlement with former Payvision executives Rudolf Booker and Cheng Liem Li, concluding a chapter in the ongoing saga of cybercrime and money laundering. The resolution, however, has raised eyebrows for what many see as its leniency, particularly in light of the devastating impact on the victims of Payvision's scam operations. FinTelegram sought the expertise of Elfriede Sixt, co-founder of the EFRI, for a candid and insightful discussion.

It was early 2019 when a year-long investigation by law enforcement agencies resulted in the arrest of two cybercrime masterminds, Uwe Lenhoff and Gal Barak, took place. Both were clients of Rudolf Booker's high-risk payment processor Payvision with their scams. Lenhoff was even a sales partner of Payvision. Now the Dutch lawyer Marius Hupkes is also taking action against Payvision in Amsterdam on behalf of scam victims and invites them to contact him.

The Markets in Financial Instruments Directive (MiFID 2) is a set of regulations designed to harmonize financial markets and ensure that investors are protected across the EU. One of the key components of MiFID is the establishment of financial ombudsmen, designed as independent dispute resolution services to efficiently help consumers and financial firms resolve complaints and disputes. In reality, these ombudsman services frequently side with financial firms.

We had already been expecting this for a few weeks. Since the Dutch banking giant ING announced in October 2021 that it would phase out Payvision, it was clear that at some point, quietly and secretly, the high-risk payment processor founded by Rudolf Booker would disappear. For ING, Payvision, acquired in 2018 under then-CEO Ralph Hamers for a reported €400 million, was a huge financial and reputational flop. Court documents to CEO Andre Valkenburg can no longer be served!

Deutsche Handelsbank has been the subject of our reports concerning scam facilitation and money laundering several times in recent years. The European Fund Recovery Initiative (EFRI) filed money laundering charges against Deutsche Handelsbank in 2020. Now the investigation by the German prosecutor's office has been ended. A penalty notice was issued, and the bank was ordered to pay a fine of €1 million. Although it is a high fine for such a small bank, EFRI principal Elfriede Sixt is not yet satisfied!

It is now well known in the international fintech scene that Payvision, founded by Rudolf Booker in 2002 in Amsterdam, was a dubious high-risk payment processor that facilitated not only porn and gambling merchants but also broker scams. Many scam victims have deposited and lost their money through Payvision. The victim protection organization EFRI claims that Payvision knowingly and intentionally facilitated scams to boost its volume and profits.

In a recent press conference, ING CEO Steven van Rijswijk referred to the Payvision money laundering case. He said that the bank is not concerned about a possible settlement. "We have a strong capital position," Van Rijswijk said. He was open about the mistakes made when the fintech company was bought in 2018. "Obviously, that deal hasn't been a success," he said lightly. A few days ago, Payvision founder Rudolf Booker blamed ING for the Payvision collapse.

The Dutch authorities and media now target ING and its subsidiary Payvision. The financial newspaper FD yesterday published another report about the investigation of the Dutch regulator DNB and the alleged financial criminal activities of Payvision. Its CEO Rudolf Booker is said to have personally given instructions to work with scammers such as Gal Barak and Uwe Lenhoff. Payvision executive Andre Valkenburg recently lied in court filings and claimed he would know of no investigations.

On the 28th of October 2021, ING announced that its subsidiary Payvision would be terminated. The Amsterdam-based FinTech, founded by Rudolf Booker, had just been acquired by ING in 2018 for €360 million. However, it turns out that Payvision facilitated cybercrime and porn business with its payment services. Booker was forced to leave in April 2020. Evidently, he wants to build on his cybercrime expertise and develop the compliance venture Fourthline. Investor protection advocate Elfriede Sixt calls this a joke!

It is a cold case now but still not resolved! Between 2018 and 2020, FinTelegram exposed that a group of Israeli payment processors controlled by Eyal Nachum and his partner Tamir Zoltovsky facilitated binary options and broker scams big style. They worked with entities in Montenegro or the Marshall Islands and with the regulated e-Money Institutions Bruc Bond (previously Moneta International) and International FinTech. In April 2020, the Bank of Lithuania revoked Bruc Bond's EMI license; consequently, the group vanished from Europe, but their scam-facilitating activities remain to be investigated.