The Bhutanese Leading the way.
Dozens of Bhutanese have fallen victim to a growing wave of Australian Dollar (AUD) exchange scams, with 45 cases reported in Thimphu alone as of 17th November 2025 involving a total loss of Nu 4,196,035.
The Royal Bhutan Police (RBP) shared that while all victims are Bhutanese, it remains unclear whether the scammers themselves are Bhutanese living in Bhutan, or Bhutanese residing abroad or non-nationals due to the widespread use of fake accounts and cross-border elements.
How the Scam Works
As per RBP, the scam thrives within online AUD exchange groups, where Bhutanese seeking AUD and those needing Bhutanese currency (BC) interact alongside “middlemen” who, in most cases, are the scammers.
These middlemen approach individuals privately, usually via Messenger or Telegram, offering currency exchanges.
Victims are asked to transfer BC directly into the account of a Bhutanese residing abroad needing local currency. Once the BC is transferred, the receiver believing they are receiving legitimate money sends AUD to the scammer’s foreign account, not to the intended Bhutanese recipient.
At this point, the middleman disappears without sending the promised AUD to the Bhutanese victim in Bhutan.
The ultimate loss falls on those in Bhutan who transferred their BC, expecting AUD in return.
Police said that in such cases although victims often suspect the accounts may be fake, many proceed with the transaction due to urgent currency needs, contributing to the rising number of cases.
The average age of victims ranges from 20 to 30, according to RBP.
Out of the Nu 4.19 million (mn) involved in the Thimphu cases, Nu 2.60 mn has been recovered, though police say recovery is heavily dependent on timely reporting.
If cases are reported immediately, police can freeze accounts and reverse transactions before funds are moved or are difficult to trace.
RBP said that delayed reporting makes retrieval extremely difficult.
A detailed “Middleman Scam Alert” posted by the Association of Bhutanese in Perth (ABPI) on 15th September 2025 described a common variation of the scam, where the fraudster orchestrates conversations between two unaware Bhutanese, one needing BC and one needing AUD.
As per ABPI, the scammer gives one party’s bank details to the other, making each believe they are transacting directly.
Ultimately, one victim sends the BC believing the scammers will send the AUD.
The screenshot of the BC payment is then forwarded, creating false trust to get the AUD. However, this time the scammer rather than sharing the account details of the victim, gives his own and ends up receiving the AUD.
The victim who sends the BC, never receives any AUD.
At the end, both parties become victims, with disputes arising because each believes they fulfilled their end of the exchange. However, the victim never receives the AUD. The victim then files a complaint against the account holder where the BC was transferred only to know that the other party has made the AUD transaction too, but unbeknownst to the victim it would all be the scammer’s trick to get the AUD.
By the time the realizations come, the scammer disappears leaving both the party as victims.
ABPI in its notification warned that using Telegram or DMs for currency swaps is “high-risk and often involves unregistered remittance dealers.” The association stated that in Australia, such activities require AUSTRAC registration, and that they will not mediate disputes arising from informal exchanges.
They also noted that no successful recovery has been recorded once funds are sent through these unverified channels due to limited intervention capabilities of banks and police, especially in authorized transactions or cross-border operations.
AUD exchange scams are among the most frequently reported online scams, especially affecting individuals unfamiliar with formal remittance processes and reliant on informal digital channels.
RBP reiterated that while these scams are increasingly sophisticated, prompt reporting, verification of account identities, and using official banking or registered remittance services remain crucial steps in preventing further losses.
