Seven arrested over elaborate credit card scam
Stapleton, John. The Australian [Canberra, A.C.T] 03 July 2009: 3.
Show highlighting
Abstract
SEVEN people faced court yesterday over a credit card scam involving hundreds of locally manufactured fake cards used by teams of shoppers who promptly sold purchased goods for cash.
SEVEN people faced court yesterday over a credit card scam involving hundreds of locally manufactured fake cards used by teams of shoppers who promptly sold purchased goods for cash.
The Australian Federal Police allege the shopping teams were spending more than $500,000 a week. At least 1200 false cards have been identified since investigations began in March.
The seven arrests were a result of 11 separate raids in Sydney and Melbourne. The credit cards would only be used for a few weeks before being replaced. The Australian custom of signing for credit card purchases rather than use a PIN number made the scam possible, it is alleged.
The AFP alleged in Sydney's Central Local Court yesterday that the principal of the syndicate, Sydney man Tony Hancock, 53, is responsible for the manufacture and distribution of more than 200 fraudulent credit cards per week.
He faces multiple charges including dishonestly obtaining and dealing in personal financial information, conspiracy to cheat and defraud, and knowingly dealing with the proceeds of crime.
Mr Hancock is alleged to have received credit card details from sources overseas, including Spain and Britain, and forwarded this information to another Sydney man, Kha Weng Foong, 35.
At Mr Foong's home, police allegedly found "credit card embossers", encoders, blank credit cards and "computers containing software that was specifically designed for the making of false credit cards and Medicare cards", according to a statement.
The cards were then distributed to "shoppers" who received a percentage of the value of the items they purchased.
A spokeswoman for the Department of Immigration said the scam was discovered while investigating an illegal foreign worker racket among fruit pickers in northern Victoria.
Credit: John Stapleton
No comments:
Post a Comment