14 DAY TRIAL // Australian authorities have operated two more arrests connected to the investigation of a $100 million bank fraud plot that saw the involvement of bank insiders.
A 37-year-old suspect from Casula was arrested on charges of money laundering, participating in a criminal group, dishonestly obtaining a financial advantage and dealing with identity information with intent.
A 30-year-old former Westpac employee who provided insider knowledge about victims with large bank accounts to the fraud ring, was also charged.
Three men have been arrested so far in connection with the operation that started with the theft of $1.1 million from the account of an elderly woman.
A 57-year-old man was charged last year in October, but the authorities claim the criminal network was larger and expect more arrests in upcoming days.
"They've had people inside the banks ... that have been acting corruptly in their role and that has certainly assisted these people in this conspiracy," Superintendent Garry O'Dell said, according to the Sydney Morning Herald.
"They've used false identifications or identifications of people who have been in the country and left the country and through that identity then they've been able to open accounts and launder money through those accounts," he added.
Investigators claim the group was prepared to target more bank accounts which would have caused loses of up to $100 million to several banks.
It appears that fraud cases involving corrupt bank employees are increasing in number due to the difficult economic times. Earlier this month a criminal network operating in a similar manner and relying on insider information was dismantled in the United States.
In July 2010, a Bank of New York computer technician was arrested for his role in an identity theft scheme in which he abused his access to misuse the personal information of 2,000 of his colleagues.