Toronto police arrest 12 people, lay 102 charges in major credit card fraud scheme
Toronto police say 12 people are facing a combined 102 charges in connection with an investigation into a major credit fraud scheme.
The charges were announced Monday as police provided an update on Project Déjà Vu, a probe into what investigators described as “synthetic-identity fraud."
Det. David Coffey, of the Financial Crimes Unit, said synthetic-identity fraud is a form of financial fraud in which fictional personal information is used to open accounts at financial institutions and other businesses.
He said police initiated the investigation in October 2022 after officers were contacted by a financial institution that located several synthetic accounts. Coffey said it is believed that most of those accounts were opened by a person who previously worked on behalf of the company.
“The perpetrators of this scheme, which began in 2016, are alleged to have created more than 680 unique synthetic identities, many of which were used to apply for and open hundreds of bank accounts and credit accounts at various banks and financial institutions across Ontario,” Coffey said.
“The fraudulently obtained credit accounts were then drawn upon by way of in-store and online purchases, cash withdrawals, or electric fund transfers.”
Police have released a photo of what they say are synthetic-identity documents seized during a fraud investigation. (Toronto Police Service handout)
He said in some cases, fraudulent payments were made to the accounts to allow the perpetrators to draw from them beyond their defined limits.
Coffey said police have so far confirmed about $4 million in losses.
Twenty search warrants were carried out as part of the investigation, he added.
“Through the search warrants, TPS has also located and seized several dozen synthetic identity documents and electronic templates to create false identifications and false documents,” Coffey said.
He noted that hundreds of debit and credit cards were also seized, along with about $300,000 in Canadian and foreign currency.
“This isn’t just about fraud,” Coffey told reporters. “Accounts obtained under synthetic identities are known to facilitate other serious criminal offences including the laundering of proceeds derived from human trafficking, drug trafficking, and armed robbery, among other serious crimes.”
He said while financial institutions have their own security procedures to prevent fraud, sometimes they are not always effective.
“All financial institutions have security parameters in place in order to minimize the damages to them. The fraudsters are really smart. They are advancing with technology. The identification is very convincing,” he added. “It often does get caught at the financial institutions but it doesn’t always get caught.”
He said he believes there are more suspects and victims that police have not yet identified and the investigation is ongoing.
“We assume there are more victims just because of the number of identities,” Coffey said. “We encourage any of them to reach out to us.”
CTVNews.ca Top Stories
'Some structural damage' from wildfire near Fort Nelson, B.C., mayor confirms
More than one home has been damaged or lost due to a massive wildfire outside of the B.C. community of Fort Nelson, the mayor confirmed Wednesday.
'Very expensive lunch': Sask. driver says he got a cellphone ticket for using his points app in the drive-thru
A warning from a Saskatoon driver about using your fast-food app while in the drive-thru line — a trip to get some free lunch cost him a lot more than he bargained for.
B.C. YouTuber ordered to pay $350K for 'relentless' online defamation campaign
An 'unrepentant' YouTuber has been ordered to pay $350,000 in damages as compensation for a 'relentless' campaign of defamation waged online against a business owner and his company, the B.C. Supreme Court has ruled.
Chief says grave search at B.C. residential school brings things 'full circle'
Chief Robert Michell says relief isn't the right word to describe his reaction as the search begins for unmarked graves at the site of a former residential school he attended in northern British Columbia.
'Endless Shrimp' just one misstep for Red Lobster as it eyes bankruptcy protection
While it's unclear what these closures might mean for the 27 restaurants in Canada, Red Lobster is expected to file for bankruptcy protection in the U.S. this month.
B.C. man shot sex worker in the back during drug-fuelled birthday, court hears
A man from B.C.'s Lower Mainland has been sentenced to four years behind bars after shooting a sex worker in the back during a drug-fuelled 43rd birthday.
'Inhumane conditions': 68 dogs pulled from Winnipeg home
Nearly six dozen dogs were seized from a home Wednesday morning by the Winnipeg Humane Society. It is the largest known seizure of animals in the city’s history.
Ontario's 'Crypto King' Aiden Pleterski arrested
Of the $40-million Aiden Pleterski was handed over two years, documents show he invested just over one per cent and instead spent $15.9 million on "his personal lifestyle." The 25-year-old Oshawa, Ont. man was arrested and charged with fraud and money laundering on Tuesday.
Driver said he smoked pot oil, took medication before Florida crash that killed 8 Mexican workers
A man with a long record of dangerous driving told investigators he smoked marijuana oil and took prescription drugs hours before he sideswiped a bus, killing eight Mexican farmworkers and injuring dozens more, according to an arrest report unsealed Wednesday.