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Police today (December 1) arrested six bank fraud syndicate members who had used false bank statements and fraudulent commercial invoices for drawing credit facilities of $9.8 million from local banks.
On October 17, a 34-year-old man made a report to the Mong Kok Police Station alleging that his garment trading partner, a 42-year-old woman, had made use of his local incorporated company to obtain letter of credit facilities amounting to HK$9.8 million from three local banks.
When the credit facilities exhausted and the company failed to repay the banks by August 2005, he had lost contact with the woman.
The case was taken over by the Commercial Crime Bureau for investigation on October 27. In-depth investigation revealed that the company had submitted false audit report, forged bank statements and fraudulent commercial invoices to the banks.
It was also discovered that the informant, together with two other men, aged 32 and 52, were also involved in related fraudulent activities to obtain the loan from the banks while a 43 year-old man was responsible for dissipating the fund after drawing down the credit facilities.
A 41-year-old woman, another company owner was also identified as purporting dealings with the subject company by producing fraudulent commercial invoices.
Enquires also found out that among the $9.8 million loan, $1 million was guaranteed by the Small Medium Enterprise Guarantee Scheme.
An arrest operation was mounted today and the four men and two women, aged between 32 and 52, were arrested at their residential addresses all over the territories. Raids were also mounted on two offices in Tai Kok Tsui and Tsim Sha Tsui where some banking documents, computers and facsimile machines were seized.
It was believed that the 42-year-old woman was the mastermind of the syndicate. All the six persons were arrested for conspiracy to defraud while the 43-year-old man was additionally arrested for money laundering.
All the arrested persons are being detained for enquiries.
Police Report No. 9
Ends/Thursday, December 1, 2005
Issued at HKT 21:54
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