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Police believed to have smashed a personal loan fraud syndicate following the arrest of 24 persons at various locations in the territory in an operation mounted since October 27.
Investigations revealed that a syndicate placed a recruitment advertisement on newspapers to attract job seekers. The syndicate would then provide them with faked documents as their residence, employment and income proof to apply for loans ranging from $15,000 to $120,000 from several financial companies. In return, the syndicate would share 50 per cent to 70 per cent of the loan granted as gratuity.
The operation turned overt on October 27 when Police officers from Commercial Crime Bureau (CCB) spotted a 27-year-old man, believed to be the mastermind, and his 19-year-old male affiliate leading a job seeker to enter a finance company in Kwun Tong and submit a set of documents for applying personal loan. The trio were intercepted for enquiries with faked documents seized and were subsequently arrested.
On the same day, a 26-year-old man, believed to have assisted the syndicate to prepare faked documents, was arrested in Pokfulam and faked documents were seized later at his residence in Western district.
Subsequent operations were mounted on October 28 and so far, 24 persons including 12 men and 12 women aged between 18 and 54, were arrested for conspiracy to defraud at various locations in the territory. Among the arrestees were a 27-year-old mastermind and two male and one female affiliates aged from 19 to 32. The other 20 arrested persons were believed to have uttered the faked documents provided by the syndicate for applying the personal loans.
In the operation, a number of faked documents including bank statements, employment letters, company chops and telephone statements for address proof as well as several identity card copies of loan applicants were seized.
Police investigation revealed that the syndicate has been in operation since May this year and the total amount of personal loans involved so far has been over $300,000.
All the arrestees are still being detained for enquiries and the operation is still going on.
Members of the public who have encountered such scam before are encouraged to call CCB officers at 2860 5012.
Add Police Report No. 1
Ends/Saturday, October 29, 2005
Issued at HKT 16:18
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