Bank officers among eight arrested over fraud involving RM4.7 mln

KUALA LUMPUR: The police have crippled a syndicate using fake documents to apply for personal financing involving losses of RM4.7 million, with eight men including six staff of financial institutions arrested in several operations conducted on Saturday (May 1).

Kuala Lumpur police chief Datuk Azmi Abu Kassim said all of them were detained in separate locations around the Klang Valley, and the police also seized eight mobile phones and several salary slips of borrowers suspected to be involved in the case.

He said initial investigations found that the syndicate targeted individuals who were not eligible to apply for loans either due to being blacklisted or having no fixed source of income.

“The syndicate will prepare supporting documents such as job appointment letters and false financial statements to qualify the borrowers for the financing.

"The staff of the financial institution linked to the syndicate will then approve the funding without due inspection or verification of the documents involved," he said during a press conference at the Kuala Lumpur Contingent Police Headquarters, here, today.

Azmi said the average amount for each loan was RM150,000, and the borrower would only receive about 30 per cent of the total amount.

He said initial checks found that the syndicate had been active since 2019, and the police were currently tracking down another 34 individuals to assist with investigations.

"The 34 individuals detected comprise 12 women and 22 men aged 24 to 45. Some of them are not working or doing business, and have addresses within and outside Kuala Lumpur.

"The police have managed to arrest the mastermind of this syndicate and we believe there are still others involved. We hope these 34 individuals will come forward to help with the investigation," he said.

-- BERNAMA