Yep, it’s totally possible!
I found this article recently on Lookout which has a pretty big list of Android apps found to include RuFraud. This is one of those SMS fraud malware downloaders that so far has mainly affected European. The fake SMS code doesn’t affect users in Canada or the US thanks to the limitations of their North American SIM cards.
Note that the malware was found in supposed downloaders of popular games, not the games themselves.
Here’s the full list of apps which Google has removed from the Android Market.
Puss in Boots (com.Puss.Boots.wallpapers)
Sim City Deluxe FREE (com.astrolog.sim.city.deluxe.free)
Need for Speed Shift FREE (com.astrolog.need.forspeed.shift.free)
Great Little War Game FREE (com.astrolog.great.little.war.game.free)
Cut the Rope (com.Cut.the.Rope)
Angry Birds (com.Angry.Birds)
Assassins Creed (com.Assassins.Creed)
Talking Tom Cat (com.Talking.Tom.Cat)
NEED FOR SPEED Shift (com.nsf.Shift)
Where is My Water? (com.swampy.Water)
Great Little War Game (com.Great.little.War.Game)
World of Goo (com.World.Goo)
Shoot The Birds (com.Shoot.The.Birds)
Riptide GP (com.Riptide.GP)
Talking Larry the Bird (com.Talking.larry.Bird)
Bag It! (com.Bag.It)
Talking Larry the Bird (com.Talking.Larry.Bird)
Angry Birds (com.Angry.Birds.free)
TETRIS (com.tetris.free) (God! Even my beloved Tetris! Oh the humanity!)
Pool Master Pro (com.Pool.Master.free)
Reckless Racing (com.Reckless.Racing.free)
Paradise Island (com.Paradise.Island.free)