Protection Regulation ( GDPR ) states that “ Processing is necessary for the purposes of the legitimate interests pursued by the controller or by a third party , except where such interests are overridden by the interests or fundamental rights and freedoms of the data subject which require protection of personal data , in particular where the data subject is a child .” 7 While it may be challenging to define what constitutes or not a “ legitimate interest ,” Recital 47 of the GDPR states that “ processing of personal data strictly necessary for the purposes of preventing fraud also constitutes a legitimate interest of the data controller concerned .” As a result , FIs operating in Europe may leverage such existing legal frameworks to explore cross-industry data-sharing opportunities .
Conclusion
FIs should communicate compassionately , manage and set realistic expectations for the victims , assess additional safety concerns arising from the fraud and assist victims in preventing further victimization . In this regard , FIs should make sure to let fraud victims know that their recovery requires them to play an active role by working with regulatory , government and LE agencies , the criminal justice system , social service agencies and nonprofit organizations to address the fraud and pursue justice . This is crucial for victims to report the crime , no matter how small , to prevent further victimization of more people and to have a chance to bring perpetrators to justice . Reporting the crime is also a must to obtain financial recovery . In this regard , FIs should set realistic expectations because financial recovery is difficult to achieve . Fraud victims must take civil legal action , which can take significant time and not recover assets . FIs should consider that recovery is not only about money but also about health . Fraud victims may face trauma and need health services to recover from their victimization . FIs must take into account the emotional impact of fraud on the victims and identify the appropriate resources as well as local agencies or individuals that can help victims ( e . g ., organizations focused on suicide , elderly victims , etc .) based on their needs . In addition , FIs should provide educational resources about fraud to prevent further victimization or to avoid victimization in the first place by educating their customers . This way FIs may assist their customers and mitigate the emotional impact of fraud and its devastating impact on people .
Jonathan Dupont , FIU investigator and subject-matter expert on cryptocurrency , human trafficking and crimes against children , Lithuania , jonathandupont @ protonmail . com
1
Mark Button , Chris Lewis and Jacki Tapley , “ A better deal for fraud victims : Research into victims ’ needs and experiences ,” National Fraud Authority , 2009 , https :// researchportal . port . ac . uk / en / publications / a-better-dealfor-fraud-victims-research-into-victims-needs-and-e
2
Ibid .
3
“ Taking Action , An Advocate ’ s Guide to Assisting Victims of Financial Fraud ,” FINRA Investor Education Foundation , 2021 , https :// www . finrafoundation . org / sites / finrafoundation / files / taking-action-an-advocatesguide-to-assisting-victims-of-financial-fraud _ 1 . pdf
4
“ Non-Traditional Costs of Financial Fraud ,” FINRA Investor Information Foundation , 2015 , https :// www . finrafoundation . org / files / non-traditional-costs-financial-fraud
5
“ Exposed to Scams : What Separates Victims from Non-Victims ,” FINRA Investor Information Foundation , September 2019 , https :// www . finrafoundation . org / sites / finrafoundation / files / exposed-to-scams-what-separatesvictims-from-non-victims _ 0 _ 0 . pdf
6
Ibid .
7
“ General Data Protection Regulation ,” Official Journal of the European Union , EUR-Lex , https :// eur-lex . europa . eu / eli / reg / 2016 / 679 / oj
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