An official communique by the City of London Police reveals the arrest of a currency trader. The event is connected to an ongoing investigation into a very large suspected Ponzi scheme. According to the information provided by the City of London Police the fraud could be worth tens of millions of pounds.
The currency trader’s identity remains confidential, but according to the announcement he is 59 year-old and was arrested in East Yorkshire. As the authorities are questioning the suspect they are looking to find evidence of false representation and money laundering.
An investment scheme which is operating globally has been identified by authorities in recent months.
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Reports submitted by close to 375 people, including 33 from Thailand and 17 from Australia have led authorities to link the cases to a coordinated effort. The police announcement states that a consortium invested £4 million ($6.17 million) while one individual contributed £830,000 ($1.28 million).
The initial suspicions about a Ponzi scheme type of fraud surfaced in December 2014 when the National Fraud Intelligence Bureau linked about 70 Action Fraud reports with a value of approximately £10 million, referred the case to the police.
Commenting on the announcement, Detective Inspector Nigel Howard said, “As the National Policing Lead for Fraud we are well placed to lead investigations of this nature and scale, drawing on the experience, expertise and resources within the force and the relationships we have in place with national fraud agencies and UK police forces.”
“We now urge anyone who believes they have fallen victim to an investment fraud, both in the Humberside region and across the UK, to report to Action Fraud,” he concluded.