FLY-BY-NIGHT SYNDICATE USING FAKE RECEIPTS CRIPPLED WITH FIVE ARRESTS

HULU SELANGOR, Oct 6 (Bernama) -- A fly-by-night fraud syndicate, which has been actively defrauding goods suppliers using fake payment receipts since early June, was busted after five of its members were arrested in two Selangor police operations recently.

Selangor police chief Datuk Shazeli Kahar said that in the first operation, they arrested three men aged between 53 and 58 in front of a car service centre in Bandar Mahkota Cheras at 2.15 pm on Sept 26.

“Police also seized various stolen items, including plastic packaging, oil palm fertiliser, kitchen items, gas cylinders, air-conditioners, air compressors, engine oil, hydraulic oil, paint, heat insulation paint coating and a lorry,” he told a press conference here today.

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He said that following the arrests, police discovered a warehouse located in Kajang that was used by the syndicate to store goods obtained from victims of fraud.

“The discovery of looted items in the warehouse helped police solve six fraud cases in Selangor involving losses of RM166,338.10, in addition to two fraud cases in Perak involving losses of RM55,515.70," he said.

Shazeli said further investigations led to the arrest of two more syndicate members - a 52-year-old local man and a 30-year-old Pakistani man - bringing the total number of people arrested to five.

“A criminal record check found that three of the five arrested have records for offences under Section 420 of the Penal Code for cheating.

“The fourth suspect has a record under the Film Censorship Act and the Dangerous Drugs Act, while the Pakistani national has no criminal record,” he said.

He said the second and third suspects tested positive for methamphetamine, while all five suspects have been remanded for seven days until Oct 8 to assist in investigations under Section 420 of the Penal Code.

Shazeli stated that the syndicate’s modus operandi was to place purchase orders via phone call to a (victim) company and then submit fake receipts as evidence that payment had been made.

“The syndicate would also use the services of a transport company to collect goods from the victim’s company, but which drops off the goods at a location different from the address given and then re-sell the goods at a 50 per cent discount from the original price,” he said.

As such, Shazeli advised company suppliers to ensure that payment from customers has been received before any purchased goods are released to avoid falling prey to fraud.

-- BERNAMA