The EFRI Journey
Since its inception in November 2018 until May 2020, the European Funds Recovery Initiative (EFRI), the EFRI Fund used to be part of the FinTelegram News Group with the mission to support defrauded retail investors in the recovery of lost funds. The dynamics since then have led to EFRI being restructured into the EFRI FUND and the EFRI NGO. While the former is tasked with the financing of the claims and the fight against cybercrime, the non-for-profit EFRI NGO is to operate the claims and, together with its Europe-wide membership base, undertake the fight against cybercrime with concrete initiatives and actions.
This new configuration is intended to make the fight for retail investors and against cybercriminals even more efficient.
EFRI has drafted dozens of Statement of Allegations and criminal complaints and filed them with the appropriate authorities in different jurisdictions. Around 1,500 aggrieved investors have registered via the EFRI website and are part of our community. Of these, more than 800 have issued EFRI with a Power of Attorney (POA) for the recovery of their claims. In total, EFRI NGO represents a claim volume of approximately €30 Million.
Based on the collected information and victim data, EFRI NGO plans to file lawsuits against the scam operators and their payment processors. To this end, EFRI NGO needs the necessary funds to finance the lawsuits and claim proceedings. This money will be collected and made available through the EFRI FUND.
The Whistleblower Program
The EFRI FUND will also provide the means to establish a Whistleblower Program through which rewards will be paid to active whistleblowers if their information leads to the successful recovery of funds.
The Whistleblower Program also receives the share of the EFRI FUND from EFRI NGO from the successfully won funds. Regulators such as the US SEC or CFTC have long recognized that whistleblowers are an efficient weapon in the fight against scammers, perpetrators, or bad actors.
The EFRI Network
The close cooperation with the authorities of various countries has led to a network of public prosecutors, law enforcement agents, and financial market supervisory authorities. In addition, we have a good knowledge of the functioning of scams through participating insiders in recent years.