Bank manager ‘gatekeeper’ of $200m fraud syndicate
Dodgy mortgage brokers, real estate agents and lawyers are all being targeted by investigators following the latest arrest linked to a $200 million fraud ring.
A NAB insider has been charged for allegedly using his position at the bank to issue fraudulent business loans worth approximately $10 million.
The Sydney man’s arrest is the latest in a series of crackdowns targeting a group that allegedly used stolen personal information to apply for loans to buy non-existent luxury “ghost cars”.
Police estimate the syndicate is worth more than $200 million and say the total figure “could reach at least a quarter of a billion.”
“In my time investigating corporate corruption cases of this magnitude, it would have to be in the top three I’ve ever seen,” Financial Crimes Unit commander Gordon Arbinja told reporters on Friday.
The 36-year-old man faces 19 charges after his arrest in the city’s southwest on Thursday.
Detective Superintendent Arbinja claimed that he was the “custodian of the funds” in the group.
“Without this person, fraud cannot be facilitated,” he said.
Det Supt Arbinja said the man had worked with NAB since 2008 and had contributed to the union for at least three years.
He left the bank for a period of 18 months to work as a mortgage broker before returning in 2018 as a business bank manager.
He was promoted to a more senior position in 2022.
NAB, whose staff worked with NSW Police on the matter, confirmed the man had been terminated and added that the bank had zero tolerance for criminal behaviour.
It was stated that no customers were affected by the alleged fraud.
He was the 16th person charged by the NSW Police strike force, which targeted the same union whose $60 million in assets was seized by the state’s crime commissioner.
Detectives initially focused on the syndicate’s use of stolen personal data to obtain loans to purchase non-existent luxury cars.
But digging deeper into the fraud allegedly uncovered pools of funds from large-scale personal, commercial and mortgage loan fraud against multiple lenders.
Det Supt Arbinja said police would now focus on professional facilitators including bankers, mortgage brokers, estate agents and lawyers.
NAB’s group investigations manager Chris Sheehan said the bank took swift action to investigate and terminate the employee.
“NAB has worked in partnership with NSW Police on this matter and continues to provide significant support to assist with the investigation and recovery of funds lost due to criminal activity,” he said.
“There is absolutely no place for financial crime in our society.
“We recognize the important role we play in monitoring and reporting suspicious activity, working closely with police, regulators and government agencies where necessary.”
The man was charged with nine counts of dishonestly obtaining financial advantage by deception.
He was also charged with participating in a criminal group, selling proceeds of crime and possessing anabolic steroids.
He was due to appear in Fairfield Local Court on Friday afternoon.
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