CHENNAI: The City Police on Monday busted a gang on a cheating spree with the arrest of two persons who purchased cars on bank loans and later sold them to innocent buyers with bogus number plates, and forged documents. The fraud came to light when Shanmugam, a resident of Nerkundram, realised that he was given fake documents for a second-hand car for which he paid an advance of Rs 4 lakh.
Police said Harinath (33), a BSc graduate, and Arun Prasad (32), who earlier worked as a web designer, had been carrying out the fraud along with four others. Investigators have so far found that the gang had conned five bank branches and purchased cars. “They have mostly targeted a particular nationalised bank. So we are also looking into whether the bank officials are colluding with them,” said a police officer.
They have not paid any dues for the bank loans and had sold the vehicles to others as second-hand cars by changing the number plate.