Syndicate dismantled after more than $1.3 million in fraudulent NSW Government grants detected

Strike Force Sainsbery investigators have charged three men who allegedly claimed more than $1.3 million in fraudulent disaster payments, as inquiries into fraudulent claims against NSW Government schemes continue.

In November 2021, detectives attached to the State Crime Command’s Financial Crimes Squad and all Sydney Metropolitan Regions, established Strike Force Sainsbery to investigate fraudulent applications made against NSW Government financial relief schemes related to the COVID-19 pandemic and natural disasters.

Service NSW Fraud Response Unit is also assisting Strike Force Sainsbery.

As part of ongoing inquiries, strike force investigators uncovered an alleged criminal syndicate involved in numerous fraudulent claims of NSW Government support payments.

Following extensive inquiries, detectives – assisted by North and South West Metropolitan Operations Support Group (OSG) – executed three search warrants at homes at Auburn, Chester Hill and Carramar from 6am yesterday (Thursday 31 March 2022).

During the searches, police seized cash, electronic devices, and documentation, which will undergo further forensic examination.

Three men – aged 48, 34 and 30 – were arrested during the operation and taken to Bankstown Police Station.

The 48-year-old man was charged with 22 offences, including knowingly direct activities of criminal group, deal with identity info to commit indictable offence (x7), and dishonestly obtain financial advantage etc by deception (x14).

Police will allege in court that the man co-ordinated the syndicate, instructing others to submit fraudulent claims using stolen or borrowed identities.

It will be further alleged that the man received a majority share of the fraudulently obtained payments.

The 34-year-old man was charged with 17 offences, including participate criminal group contribute criminal activity, possess prohibited drug, deal with identity info to commit indictable offence (x3), and dishonestly obtain financial advantage by deception (x12).

The 30-year-old man was charged with 18 offences, including participate criminal group contribute criminal activity, deal with identity info to commit indictable offence (x6), and dishonestly obtain financial advantage by deception (x11).

Police will allege in court that the pair sourced personal identity information and bank details for the purpose of submitting fraudulent claims against the COVID-19 Micro-Business Grant and The Small Business Fees and Charges Rebate.

All three men were refused bail to appear at Bankstown Local Court today (Friday 1 April 2022).

Financial Crimes Squad Commander, Detective Superintendent Linda Howlett, said the scale of fraudulent claims made by the syndicate is significant and those involved face serious consequences.

“The opportunistic way this syndicate operated makes their behaviour even more egregious, and they will now face the prospect of languishing in prison for these frauds,” Det Supt Howlett said.

“Investigators are still examining significant amounts of information and applications and we suspect additional charges will be laid as further frauds are discovered and linked to this group.

“This should serve as a lesson to anyone who has submitted or is thinking of lodging a fraudulent disaster payment claim: you are easily detectable, and will be held accountable,” Det Supt Howlett said.

Service NSW Executive Director of Risk, Strategy and Performance Catherine Ellis said the agency would continue to work closely with NSW Police to stamp out fraud.

“It is incredibly disappointing that deliberate, coordinated fraudsters have undermined the systems put in place to support the businesses of NSW in one of the most challenging times we have faced.

“Service NSW is continually strengthening its fraud prevention and detection systems and takes action to report suspected fraudulent activity to the NSW Police and other law enforcement bodies,” Ms Ellis said.

Anyone with information that may assist Financial Crimes Squad investigators is urged to contact Crime Stoppers: 1800 333 000 or https://nsw.crimestoppers.com.au. Information is treated in strict confidence. The public is reminded not to report information via NSW Police social media pages.

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