Nineteen arrested for conspiracy to defraud

Police today (August 28) arrested 13 men and six women in the territory for conspiracy to defraud after they were suspected of submitting false documents to banks to obtain credit facilities.

Acting on information, officers of Commercial Crime Bureau (CCB) conducted an investigation over a bank fraud syndicate. Enquiries revealed that the fraudsters set up three locally incorporated companies and other bogus supplier companies. They submitted some false bank statements, auditor's reports and invoices to vicimized banks to obtain credit facilities.

After the credit lines were set up, the fraudsters would submit false invoices in order to draw funds out from the bank to the accounts of the bogus companies until the credit lines were used up. The money was then subsequently diverted back to the syndicate members.

Six banks were victimized and a total of $21.66 million were lost.

After an extensive investigation, officers of CCB mounted a territory-wide operation since this morning (August 28) and arrested 13 men and six women aged between 27 and 55 including two masterminds following raids of various locations. Some documents and computer were also seized in the operation.

The arrested persons were still being detained for further enquiries.

The operation is still ongoing.


Police Report No. 5
Issued by PPRB

End/ Tuesday, August 28, 2007