Unravelling credit card scam

Photo / Kenny Rodger

Two people have appeared in court and more arrests are likely as police investigate a credit card scam where more than 100 victims throughout the North Island have lost hundreds of thousands of dollars.

Jade Ratahi, 21, and Darren Small, 38, have appeared in the Auckland District Court on charges of using a credit card to obtain property, with the alleged offences dating back to September.

Ratahi has been released on bail, but Small remains in custody.

The pair have been charged with "persons unknown" and will reappear in court this month.

Further arrests are expected to be made. Victims have been reported from areas including Auckland, Hamilton and Hawkes Bay.

Court documents show the pair were allegedly getting credit card information from discarded receipts. Police are also investigating whether someone with access to a database is passing the card numbers on.

The Weekend Herald understands the alleged fraudsters buy the goods - including spa pools, expensive furniture and pizzas - over the phone and send "gofers" to collect them.

Often the couriers are driving vans hired with fake details.

Because the transactions have been processed before the goods are picked up, the retailers hand over the merchandise without asking to see the credit card, leaving them liable for the debt.

One alleged victim told the Weekend Herald she had "no idea" someone had used her credit card details until the police rang her.

The Havelock North woman said her credit card details were used twice in Auckland, at a furniture store and a locksmith, to a total of nearly $5000.

"I never lost my card. I have no idea how the ratbags got my details. It wasn't a mammoth amount. I've heard of endless other people who have lost thousands and thousands of dollars".

Bank customers are not liable for losses on their cards if they are victims of fraud. But if a retailer processes a fraudulent "card not present" transaction, they are likely to be held liable.

ATM CRIMINALS AT WORK AGAIN

Cash machine users should watch out for another round of "skimming" as sophisticated criminals target ATMs.

The Auckland City police financial crime unit said yesterday that it was aware of three incidents in the past 10 days where devices were attached to ATMs and security details of customers had been acquired.

A false fascia plate was found attached to an ATM in Ponsonby Rd. It was fitted over the card slot area and designed to capture card information.

Detective Senior Sergeant Hywel Jones said police would be checking CCTV footage of the area.

Another ATM on Karangahape Rd and one in the Hamilton suburb of Dinsdale were also targeted. More than one bank had been targeted.

* Anyone who has seen anything suspicious around an ATM should call the police on (09) 302-6400.