Police in the City Of London have today made a series of arrests across the United Kingdom as part of an investigation into a criminal network suspected of stealing millions of pounds by using fraudulently purchased SIM cards to dial international premium rate phone numbers.
In the early morning operation, nine addresses were targeted across London, Essex, the West Midlands and Middlesbrough. Eight men and one woman were arrested, aged 42, 34, 32, 32, 28, 26, 22, 21 and 18 on suspicion of conspiracy to defraud.
Officers also seized up to £15,000 worth of mobile phones, found still in the boxes with the SIMs removed, along with hundreds of SIM cards, thousands of pounds, laptops and computers and fake documents.
In one property they also found ‘advanced fee’ fraud letters, prepared to try and con people out of their savings with the promise of a much bigger prize.
Detectives from the City of London Police, which is the National Lead Force for fraud, worked in partnership with O2 after the mobile phone network noticed customers’ phone lines running up massive bills.
A nationwide investigation uncovered an elaborate and expansive fraud that began with an organised crime gang utilising fake identities and counterfeit accounts to buy phones operating on the 02 network.
The gang purchased the phones from high street shops and online before passing them to the person detectives believe to have been the mastermind behind the whole operation.
The next phase of the fraud saw the SIM cards from the phones being used 24/7 to call international premium rate telephone numbers, some costing up to £10 a minute, set-up by the same criminal gang.
Telecommunication regulation in some international destinations means the UK network providers must pay the providers of a phone service before they receive money from their own customers.
This meant the gang’s multi-million pound phone bill from the premium rate calls was paid, and only when O2 approached their ‘customers’ for payment was the fraud uncovered.
Detective Superintendent Bob Wishart, from the City of London Police, said:
“Today we have struck at the very heart of a complex criminal network that has been targeting the telecommunications industry to steal millions of pounds.”
“Our investigation found a crime gathering momentum. Each month more SIM cards were being used to make more phone calls to premium rate lines at more expense to the network provider.”
“The criminal exploitation of the latest consumer technology is a recurring theme of our work. Our collaboration with O2 on this investigation highlights the benefits of how the private sector can work with the police to proactively target common threats to our communities.”
Adrian Goreham, O2′s General Manager Fraud & Security said:
“This was a sophisticated and organised attempt to defraud mobile phone operators. We are committed to reducing mobile phone crime and have a dedicated team that monitors and investigates such attempted criminal activity. We are extremely pleased that our own investigation and the information we have shared with the City of London Police has resulted in these arrests”.
For more information – visit the City Of London Police website http://www.cityoflondon.police.uk/