'Card Fraud Ring' Busted in West Midlands

By Peter Wakeford
Published on 13 Aug 2008
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'Card Fraud Ring' Busted in West Midlands

Two people have been charged, after police raided the premises of an alleged card crime gang.

A specialist police unit is celebrating a successful raid on a counterfeit card factory in Birmingham.

The Dedicated Cheque and Plastic Crime Unit (DCPCU) conducted the operation yesterday, and have charged two individuals with conspiracy to defraud as a result.

Stolen chip and PIN devices, account numbers, fake magnetic stripe cards and special fraud-enabling computer software were all found on site. The DCPCU also suggested that the fraudster gang has been stealing PIN information from various terminals in retailer stores.

Detective Chief Inspector John Folan, who heads up the Unit, said: "These arrests are a significant development in our fight against the organised criminal gangs responsible for this type of fraud. To date, compromised chip and PIN terminals have been found in less than 30 retail outlets throughout the UK.

"Together with the banking and retail industries we are working to ensure this figure is minimised. We are sending a very clear warning to fraudsters these crimes will not be tolerated, and that we will continue to target them and disrupt their fraudulent activity."

Sandra Quinn at payments association Apacs added: "Fighting fraud is a shared responsibility and we continue to work with law enforcement and retailers to tackle the organised criminal gangs responsible. Chip and PIN remains the safest method of payment for goods and services."

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Comments (1)

Any opinions expressed below are solely those held by individual users and are not in any way endorsed by, or representative of those held by Money.co.uk. We accept no responsibility or liability for the accuracy or content of any material submitted and maintain the right to publish, remove or edit it as we see fit.
Mark Elkins, Financial Services Manager, SAS UK
14th Aug 2008 12:14
This story is yet another example of how fraudsters, who always take the line of least resistance, can exploit opportunities in those countries that have not yet adopted Chip and Pin, highlighting the need for alternative fraud prevention technologies to be in place.

For those with Chip and Pin, as a first line of defence, it appears to have worked, at point of sale. Fortunately card issuers realise that it has limitations and have invested in fraud detection/prevention systems. The ability to authorise, refer or decline a transaction has to take place in real time, and be based upon robust models that are current and accurately reflect customer expenditure profiles and issuer fraud experiences. To be effective it needs to check 100% of transactions, and not just a nominal percentage.When Banks make the investment in these kind of sophisticated, advanced systems that continually improve their models, then they will be protecting their customers, their shareholders and themselves.

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