Brothers Held For Swindling Banks Of Lakhs Via Credit Card

Two brothers – Brijesh Patel and Hemal Patel — were arrested for credit card fraud on Friday. At the time of their arrest, the brothers, residents of Isanpur, had 54 credit cards.
They had adopted a unique modus operandi by setting up two dummy companies and wearing hundreds of identities to transfer the money from credit card to those accounts.
By doing so, they had siphoned off several lakhs from banks like Axis, HDFC and SBI.
KN Patel, assistant commissioner of police, Detection of Crime Branch (DCB), told reporters that both of them had procured various documents of different people who had applied for credit cards earlier.
Brijesh used to work for a Direct Service Agency (DSA), which is involved in collecting scrutinising and cross-checking documents of people willing to get credit cards.
Patel said Brijesh, quite familiar with the process of procuring a credit card, was in the possession of documents required to apply for credit cards.
The duo were using various addresses, practically by renting a house, living there for a few days and making a rental agreement to be shown to the bank while applying for a credit card as address proof. “They use their own photographs and keep changing the names and addresses for different applications,” said the ACP.
Surprisingly, banks like Axis Bank (20 credit cards), HDFC (25 credit cards), State Bank of India (seven credit cards) and Kotak Mahindra Bank (two credit cards) had issued more than one credit card with the same photograph, albeit under different names and addresses, to the same people.
Police have also found that the duo was exploiting an Axis Bank scheme whereby one could get a credit card if he or she had paid an insurance premium. “They pay a premium for a policy against a dummy name and the address of the rented house and show this payment slip to get the Axis Bank credit card,” another police source said. After procuring the card, Brijesh and Hemal used to encash it and transfer the money on the basis of the purchase made through the dummy companies — Earth Electronics and Sagar International — formed by them.
“They swipe the credit card, get the money in these accounts and withdraw it to never pay to the banks,” Patel said. The banks, however, drew a blank when they went to recover the money from the address submitted during the time of procuring the credit card because by that time, the brothers had conveniently shifted to another place.
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Courtesy : DNA