IPOH: A 75-year-old company director here lost about RM1.4mil after falling victim to an online trading scam.

Perak police chief Comm Datuk Noor Hisam Nordin said the man had on April 15 received a call from an unknown woman offering him to be a business partner who buys products from foreign companies.

"Having supposedly checked the status of the company, which he found to be operating since 1989, he agreed to take part.

"He was asked to download a mobile app SHV Shop that sells luxurious branded items," Comm Noor Hisam said in a statement on Tuesday (May 27).

"If someone wants to buy a product, the man would need to pay for it up front and he would get 30% in commission," he said, adding that his first transaction of about RM22,122 was made through a cash deposit machine to a bank account of said company.

"Having received the return, he trusted the company and conducted online and over-the-counter transactions of about RM1.4mil into six different bank accounts.

"After the transactions, he stopped receiving any returns and he realised he has been cheated," he added.

Comm Noor Hisam said the man lodged a report on Sunday (May 25), with the case to be investigated under Section 420 of the Penal Code for cheating.

"The police would like to remind the people to be careful of investment schemes that promise overly-high returns.

"Also check trustworthy sources like SemakMule, Bank Negara and Securities Commission to get more information before investing in any schemes," he added.