Cops cripple ‘CTP greenslip fraud gang’

THE mastermind behind an alleged $3.5 million car insurance fraud ring involving a team of doctors and solicitors in southwestern Sydney has been charged following an eight-month, multi-agency investigation.

• Stolen car CTP scams costing NSW drivers $400m a year
• Victor Dominello: Motorists to get fairer deal on green slips

THE mastermind behind an alleged $3.5 million car insurance fraud ring involving a team of doctors and solicitors in southwestern Sydney has been charged following an eight-month, multi-agency investigation.

The organised crime gang, led by Iraqi refugees allegedly carrying out insurance fraud that hurts every motorist in NSW, has been crippled after the arrest of a 31-year-old male Iraqi refugee.

Police yesterday swooped on an office in Liverpool, following two raids at his nearby home and the man’s wedding planning business. The man was arrested and charged with 41 offences.

Officers also seized $100,000 in cash, gold bars worth $30,000 and a gun.

The man — who is now an Australian citizen — was ­refused bail and is due to front Liverpool Local Court today accused of organising, co-ordinating and facilitating fraudulent compulsory third party (CTP) insurance claims.

It comes after The Daily Telegraph revealed the alleged green slip ­racket involving minor or fake crashes being reported to insurance companies and a police assistance line.

Bogus conditions such as post-traumatic stress disorder in drivers and passengers, including tiny babies, were ­allegedly being claimed as part of the scam, with ­insurance firms paying out rather than go to court.

The man was refused bail.

He is due in Liverpool court today. Pictures: Police Media

Afghani and Vietnamese communities are believed to have been roped in to help carry out the frauds, masterminded by the Iraqi-led gang.

Much of the crime happened in Sydney’s west and southwest.

The state government ­believes car insurance fraud costs every motorist in NSW an extra $75 in increased costs.

Speaking about yesterday’s arrest, fraud and cybercrime squad commander Detective Superintendent Arthur Katsogiannis, said: “We’ll be alleging he is one of the key organisers and facilitators of fraudulent CTP claims.”

More gang members could be arrested in the coming days.

“We are determined to dismantle  the  business model and put every person who  has  knowingly played a part in defrauding the CTP scheme before the courts,” Det Supt Katsogiannis said.

“Once again, I warn anyone involved in facilitating, submitting, or participating in fraudulent CTP insurance claims to expect a visit from detectives. We’ve knocked on one door, yours might be next.”

NSW Finance Minister Victor Dominello  called  the arrest a “significant milestone” in the fight against costly ­insurance fraud.

“Every NSW motorist is being stung by this illegal and unethical behaviour. Yesterday’s arrest is a powerful ­reminder of the NSW Government’s determination to bring these fraudsters to justice,” Mr Dominello said.

“Fraudsters have nowhere to hide and should be worried. They will be caught, ­arrested and prosecuted.”