Loan scam syndicate busted, 18 held
GEORGE TOWN: Police busted a syndicate offering fake loans, with the arrest of 18 people in two raids in Batu Ferringhi here last Thursday.
The scammers are believed to have raked in up to RM500,000 a month.
State Commercial Crime Investigation Department chief Assistant Commissioner Mohd Rosni Mohd Lazim said, acting on a tip-off, police raided a house in Jalan Sungai Emas Satu, Batu Ferringhi, here last Thursday and detained 12 people, including two women, aged between 16 and 23.
He said police seized 34 cell phones, two laptops and 14 automated teller machine cards.
“The suspects admitted to being involved in the syndicate as call operators. They were paid between RM3,000 and RM5,000 a month.
“The syndicate had been operating for the past six months, using social media platforms, such as Facebook and Instagram, to seek out their victims.
“The syndicate members frequently moved from one rented house to another to avoid detection,” he told a press conference at the state police headquarters here yesterday.
One of the suspects detained had rented the premises for
RM3,500 a month. Present was state police chief Datuk Mohd Shuhaily Mohd Zain.
Rosni said in a follow-up raid on a house in Solok Sungai Emas, Batu Ferringhi here, police arrested six people, including a woman. Police seized 10 mobile phones, a laptop and 11 ATM cards.
“Checks on the seized items linked the syndicate to 21 cases in 12 states. Proceeds from their cheating activities amounted to between RM300,000 and RM500,000 a month,” he added.
Rosni said the syndicate would get those interested in the loans it advertised on social media to fill
an online form with their particulars.
“They will then call the victims and convince them to make payments supposedly for processing their loan applications.”
He said after the victims made the payments, the syndicate would block the victims’ calls.
“We believe the syndicate has links nationwide and are tracking down the other members.”
The case is being investigated under Section 420 of the Penal Code for cheating and Regulation 5(1) of the Prevention and Control of Infectious Diseases Act 2021.