FRANKFURT AM MAIN: The German state of North Rhine-Westphalia on April 9 halted emergency payments meant to help freelancers and small businesses through the coronavirus crisis after discovering fraudsters were using spoof websites to trick applicants.

The regional economy ministry of Germany's most populous state said it had filed a fraud complaint with local police following "indications of fake websites that appear prominently in search results".

The websites mimic the state's official site where small business owners can apply for cash grants between €9,000 and €15,000 after entering personal details including their name, address and tax and bank account numbers.

According to early investigations by the state police's cyber crime unit, fraudsters have been using the spoof application forms to get hold of data "presumably for criminal purposes", the ministry said in a statement.

It is believed the scammers have been trying to claim money using the original applicant's details.

The ministry said it had agreed with police to "stop the payouts for freelancers and small businesses for the time being" while the investigation continues.

But it stressed that people in North Rhine-Westphalia could still apply for the aid, taking care to use only the official website: https://soforthilfe-corona.nrw.de.

"We ask those applicants who are currently waiting for their money transfer for understanding and patience," the ministry added.

The cash handout, which is available nationwide, is part of a massive rescue package by the German government aimed at shielding companies and workers from the fallout of the pandemic.

Germany's federal criminal police (BKA) has said it is bracing for an uptick in scams as criminals try to take advantage of the coronavirus aid schemes, already taken up by tens of thousands of business owners.

"It is to be assumed that authorities will have difficulties in examining the high number of applications in such a manner that fraud is recognised," the BKA said in an internal paper seen by the Funke newspaper group.

Like other countries, Germany has closed schools and businesses and confined millions of citizens to their homes in a bid to slow the outbreak.

The measures are battering Europe's top economy, which experts believe will shrink by around five percent this year.

 - AFP