Alleged scam hub shut down in Cebu, authorities probe BPO fraud
CEBU CITY, PHILIPPINES — Authorities in Cebu City have raided and temporarily shut down a business process outsourcing (BPO) firm accused of operating as a fraudulent “scam hub” targeting foreign investors.
The crackdown followed a viral video by a YouTuber who hacked into the firm’s CCTV system, prompting a multi-agency investigation into the company’s alleged cybercrime operations.
Ethical hacking plays key role in exposing scams
In the video, YouTube creator “mrwn” alleged the involvement of BMJ Data Processing Services in online investment scams. The company’s agents were seen in the video pretending to come from other countries and convincing Africans to invest their money in hopes of successful growth.
The firm, operating without a valid business permit, reportedly used fake foreign identities to lure African victims into fraudulent schemes.
The disclosure was praised by authorities, who also reminded people not to hack unauthorized systems and advised them to report securely.
Councilor Edgardo Labella II called for collaboration between ethical hackers and law enforcement to combat cybercrime, and he emphasized public vigilance in identifying fraudulent businesses.
Authorities crack down on fraudulent BPO operations
During the inspection, authorities found the office abandoned, with computers and personal belongings left behind.
Police Regional Office Central Visayas (PRO 7) Director Brig. Gen. Redrico Maranan confirmed that forensic analysis of seized devices is underway, while Cebu City Mayor Raymond Alvin Garcia announced the formation of a task force to monitor suspicious BPOs.
Authorities are calling on the company’s workers to voluntarily show up to avoid criminal charges.
“We will track down all employees. We already have the list. We will give them time to clear their names that’s why they have to go to CCPO to explain,” said Maranan.
“If they had no involvement, they should go to the Cebu City Police Office and explain their side there,” he added.
Legal and reputational fallout for involved parties
The Business Permit and Licensing Office (BPLO) has issued a show-cause order against BMJ Data Processing Services for operating without a permit, while police will pursue charges under the Anti-Cybercrime Law.
The building owner and sublessors may also face liability if proven complicit in the illegal activities.
Meanwhile, businesses like Skyrise 1 and Garden of Envy distanced themselves from the controversy, highlighting the reputational risks posed by fraudulent operations in Cebu’s BPO sector.
