Luxembourg prosecutors arrested 40 suspected money mules last year as part of ongoing fraud investigations, with total damage estimated at €10.2 million, according to state prosecutor David Lentz of the Luxembourg City public prosecutor’s office. Authorities say €8.6 million was lost and €1.6 million was recovered.
More than 80 investigations are currently under way and around 700 victims have filed complaints. Prosecutors say money muling is a key step in laundering proceeds from phishing and other scams, helping criminals move stolen funds without receiving the money directly.
Lentz explained that money mules are typically private individuals who allow their bank accounts to be used in exchange for a commission. Funds can arrive in large transfers, then be withdrawn, moved to other accounts, or converted into cryptocurrency to obscure their origin. He described money mules as the “final link in the chain” and an “essential” one for scams to function.
Authorities say money mules are often recruited via social networks and are usually younger. While they may not have carried out the original scam, prosecutors warn they can still face criminal liability for providing their accounts and handling the funds.
Lentz said penalties can include up to five years in prison, fines ranging from €1,250 to €1,250,000, and the seizure of personal assets to help compensate victims.
Prosecutors urged the public not to share sensitive information such as bank card details, LuxTrust certificates or passwords, and to remain cautious about suspicious emails and phone calls. In cases of suspected fraud, authorities advise people to block all accounts immediately and file a police complaint.
