People who run pension schemes have been urged by The Pensions Regulator to protect savers from scams.
Coinciding with Scams Awareness Week, which runs from October 21-25, TPR highlighted the case of Pauline Padden, a nurse who lost her entire pension savings to fraudsters, to encourage schemes to take extra steps to protect savers.
Padden, who is a children’s critical care nurse, lost her entire £45,000 pension savings to fraudsters after she was contacted out of the blue at a very vulnerable point in her life.
“I was devastated. It is a very real crime. There are victims and we do pay the price,” Padden stated.
“If me telling my story helps one, two or three people from going through the same, it will have been worth it.”
A video of Padden recounting her full story has been issued by the TPR in association with the Pension Scams Action Group.
TPR is urging trustees and administrators to share the new video aimed at savers with their members, to help them know how to spot and avoid scammers’ duplicitous tricks.
Padden was one of 245 victims scammed out of a total of more than £13.5mn in pension savings after they were persuaded to transfer into fraudulent schemes.
TPR executive director of regulatory compliance, Gaucho Rasmussen, said: “Pauline’s story starkly demonstrates how ruthlessly fraudsters will exploit victims’ vulnerability to make their ill-gotten gains.
“As our new report demonstrates, we take determined action to protect savers’ hard-earned pensions and bring fraudsters to justice.
“We urge industry to adopt higher standards of anti-scam practice to prevent fraudsters reaching savers like Pauline.
“Take the Pledge to Combat Pension Scams, deliver on it and report any suspicions to Action Fraud. Trustees should also consider making a report to us via the whistleblowing form on our website if any concerns arise, such as potential criminal offence.
“Every report counts, providing TPR and our PSAG partners across law enforcement, government and the industry with the vital intelligence we need in the fight against fraud and criminality.”
tom.dunstan@ft.com
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