Japan's Consumer Agency issued a warning on Thursday regarding fraudulent schemes and predatory business practices targeting victims of the July 28 Kumamoto earthquake.
These warnings aim to prevent a repeat of the widespread financial exploitation seen during previous disasters. Officials are concerned that vulnerable residents may be targeted by cash scams or dishonest repair services while attempting to rebuild their homes and lives.
Between July 28 and Aug. 5, the agency received approximately 10 reports [1] of consumer troubles related to the earthquake. While the current number of reports is low, the agency is monitoring the situation closely to prevent a larger surge in fraud.
Natsuko Horii, Commissioner of the Consumer Agency, said the agency believes there is a possibility that consumer damage similar to that seen during the 2016 earthquake could occur. She said that malicious business practices and cash scams taking advantage of a disaster must not happen.
Historical data underscores the risk. During the Kumamoto earthquake in 2016, the agency received 752 reports [2] of consumer troubles within one month of the disaster. Those cases included reports of scams involving fraudulent requests for disaster relief donations [2].
To combat these threats, the Consumer Agency said it intends to increase the frequency of information dissemination through its official website and X, formerly known as Twitter. The agency is urging residents to remain vigilant, and report any suspicious solicitations immediately.
Local authorities in Kumamoto are coordinating with the agency to identify common patterns in the current reports. This collaboration is intended to provide real-time warnings to residents as new types of scams emerge in the disaster zone.
“Malicious business practices and cash scams taking advantage of a disaster must not happen.”
The rapid issuance of this warning suggests the Japanese government is applying lessons from the 2016 disaster to implement a more proactive defense against 'disaster profiteering.' By publicizing the disparity between the current 10 reports and the 752 cases from a decade ago, the agency is attempting to prime the public for a potential increase in fraud without causing panic.
