Auckland Restaurants Lose $15,000 to Offshore Abalone Booking Scam
An Auckland Chinese restaurant lost $15,000 in an offshore group-booking scam that targets hospitality businesses heading into the busy festive season, 1News reported. Police stated that scammers operating from overseas call local eateries to request large function bookings, conditioning confirmation on the restaurant pre-paying for bulk orders of abalone, also known as pāua, from a Chinese supplier.
According to police details cited by 1News, fraudsters send a fake transfer confirmation that appears to reimburse the restaurant once the money leaves the country. Detective Senior Sergeant Craig Bolton warned that the scam could spread further as holiday functions ramp up. It’s coming to a busy time of year, so a phone call looking to secure a booking for a large function could seem appetising,
Bolton told 1News, advising businesses to conduct large pre-payments and arrangements in person.
How the Abalone Supply Chain Trap Works
The scam weaponizes established industry supply chains by requesting high-value seafood products that restaurants normally source offshore through routine channels, b2bnews.co.nz reported. Unlike quirky crime trends, b2bnews.co.nz characterized the incident as a working-capital failure aimed at small operators under pressure to secure holiday bookings. Payments NZ data from 2025 indicates that gross fraud losses reached $265 million, with $126 million stemming from authorised payments where victims approve the transfer themselves, exactly mirroring the Auckland kitchen’s loss.
Hospitality targets have evolved over more than a decade. In 2010, Newmarket Business Association chief executive Cameron Brewer warned of bogus reservation emails, while a Christchurch restaurant lost $3,800 in 2019 to a fake wedding planner payment scheme, b2bnews.co.nz noted. Wellington venues faced a fake allergic-reaction scam in 2025 demanding hospital bills, and Fisheries NZ intercepted undersized abalone and WeChat crayfish sales in 2024.
Venues rely on internal security processes to prevent booking frauds
Offshore scam centers sit outside New Zealand police jurisdiction, and banks rarely recover money that businesses authorize independently, leaving prevention entirely up to internal venue processes, b2bnews.co.nz reported. Security specialists recommend taking verified deposits directly from customers before engaging with third-party suppliers, ensuring funds actually clear in bank accounts rather than relying on digital payment screenshots.
Frequently Asked Questions About the Auckland Scam
Which businesses are currently being targeted by the offshore fraudsters?
Police reported that Chinese restaurants in Auckland have been targeted so far, though authorities warned the operation could expand to other venues ahead of the Christmas function season.
How much money did the victimized restaurant lose?
One Auckland Chinese restaurant fell victim to the scheme and lost $15,000 to an offshore bank account before realizing the transfer receipt was fraudulent.
What specific product do the scammers demand restaurants purchase?
Fraudsters require eateries to pre-pay for a large order of abalone, or pāua, from a designated supplier located in China as a strict condition for booking a large function.
What do police recommend venues do to avoid losing money?
Detective Senior Sergeant Craig Bolton advised venue operators to avoid engaging with remote pre-payment demands and to handle all large booking arrangements and money transfers in person.
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