Accused Zhang Tianyu (second from left) walking past Li Xueqi (middle, in white top) and Xu Zhaochen (right, in white top) at the iStudio store in Bugis Junction on Nov 14. - ST
SINGAPORE: An emerging trend of foreigners being sent to Singapore by syndicates to commit credit card fraud has raised alarm bells, with retailers across the island being targeted.
The authorities have warned retailers about syndicates that are believed to have stolen the credit card details of victims here through a series of online phishing scams.
These details are then loaded onto a mobile app that can be controlled remotely and used for contactless payments.
The foreigners, who are believed to have been recruited in their home countries via social messaging platforms, are then told to enter Singapore and buy items such as expensive mobile phones, electronic accessories and gold bars via such contactless payments.
They would then sell these items for cash.
There has been a spate of such cases in the past month bearing the same modus operandi, but involving foreigners of different nationalities.
Since Nov 4, at least 10 victims who had fallen for e-commerce scams have reported unauthorised transactions totalling more than $100,000 on their credit cards for purchases such as electronic products, like iPhones and chargers, and jewellery in Singapore.
On Nov 6 and 7, the police arrested three Chinese nationals, aged between 29 and 36, for their suspected involvement in a transnational syndicate.
More than $20,000 in cash, four gold bars and 27 iPhones were recovered and seized in that case.
On Nov 8, Zhang Tianyu, 29, Xu Zhaochen, 36, and Li Xueqi, 36, were each charged with one count of cheating.
They had allegedly committed credit card fraud by buying iPhones from the Apple Store in Orchard Road.
As part of ongoing investigations, the police took the three men to Apple reseller iStudio at Bugis Junction on Nov 14. The men were in restraints and questioned by police at the scene.
Investigations into a fourth person, named in court documents as Zhao Yongzhi, are ongoing.
In another case with a similar modus operandi, the police arrested a Malaysian man and woman on Nov 8.
The police said the duo had responded to a fast cash advertisement on social media.
The man then tried to buy mobile phones at a retail store using a mobile wallet. But the payment failed after several attempts and a police report was made.
The police identified the duo within seven hours and arrested them, seizing three mobile phones, a bank receipt and $7,600 in cash.
On Nov 9, Quek Jian Qing, 21, and Yong Huo Ying, 24, were each charged with one count of cheating.
The duo had allegedly conspired to commit credit card fraud to purchase iPhones at the Best Denki outlet at Parkway Parade.
They were taken to the store on Nov 14 by the police for investigations.
The two cases are believed to involve different syndicates, despite bearing the same modus operandi.
The five suspects are in remand, and their cases are expected to be heard again on Nov 15.
On Nov 14, a police advisory was issued to retailers of high-value electronic and luxury goods, warning them about the emerging crime trend.
The advisory said suspicious persons have been making contactless payments without presenting a physical card.
Retailers are advised to look out for customers who attempt to make several contactless payments, with some transactions failing, then trying a different mobile phone or card.
The police added that these suspicious customers typically do not request tax refunds, and the transactions often involve the purchase of high-value goods in a single transaction.
They might also try to conceal their appearance with caps and masks, and their supposed nationalities may not match their accents, added the police.
If a transaction fails, staff should politely offer assistance, inquire about the payment method, and request to see the physical card linked with the mobile payment for verification purposes.
If there are multiple red flags, retailers should discreetly halt the transaction and contact the police for assistance.
The police said in the advisory to retailers: “Your role in identifying and reporting suspicious activities is vital in preventing these crimes and protecting your business. If you notice any suspicious activities, please contact the police promptly for immediate assistance.”
Scam numbers hit record highs in the first half of 2024, with more than $385.6 million lost in 26,587 reported cases.
The police warned that it is a serious offence to defraud retailers, and they take a serious view against anyone who may be involved in scams and fraud.
Those convicted of cheating can be jailed for up to 10 years and fined. - The Straits Times/ANN
