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However, residents in North Hills Village insisted Caparas was the mastermind and said she graduated to Sextortion after making money from live sex chats with foreigners soon after she relocated to the village 10 years ago.'This is a poor village made up of people relocated from the Manila slums but look around and you'll see all the young kids have designer clothes,' one resident said, speaking on condition of anonymity because of fears of retribution from Caparas's gang.'That's because 70 per cent of the households here make their money from Sextortion.

The only difference is they do it from their own homes rather since Caparas was arrested.

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Charges against Caparas were dropped amid suspicions that she bribed officials but she was rearrested in 2016 as the Sextortion activities continued and international pressure on the Philippines police mounted.

Caparas – who like many wealthier Filipino inmates is able to keep a smart phone in jail by bribing warders to turn a blind eye – contacted Mail Online to deny being the ringleader after we reported her role at the heart of the syndicate in December.

The computers are believed to be where her workers seduce and blackmail foreign men online In a tasteless joke at the expense of their desperate victims, the back of the T-shirt features the symbol that pops up on Skype when a victim has blocked a 'chatter' with the words 'We hate this' beneath it.

Cybercrime profits, Caparas – said by neighbours to have bought a fleet of cars and up to 10 houses around the area with her Sextortion earnings – handed out gifts of flat-screen TVs, i Phones, i Pads and Samsung smart phones as raffle prizes at the party, one witness said.

They work to a prepared text to coax victims.'We tease them to get them comfortable and we work to a prepared text.' The 'chatter' then captures the victim performing a sex act on camera and uploads the video to an unlisted You Tube page.

The chatter's boss then gets in touch with the victim and threatens to send the link to the video to family and friends via Facebook if they do not pay blackmail demands.

In one case I told my victim 'Don't flirt on the internet again. I even blocked one victim on Skype to stop him getting any demands for more money from my boss.'Caparas, who is suspected to be continuing to run her syndicate from behind bars, told Mail Online: 'I am ashamed of what I did.

I am so sorry for the victims,' she said.'I was terribly shocked and sad when I hear what happened to the boy in Scotland.

Headquarters: Caparas, 37, allegedly ran her crime gang extorting money from men from this two-storey home, pictured, in North Hills, north of the Philippines capital, Manila.

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