Arshad Hossein: Bankstown man jailed after defrauding $360,000 from Bangladeshi community

A ‘well respected’ member of the Bangladeshi community fleeced the life savings of multiple families through fraud schemes including a fake business selling plastic bags to Woolworths.

A ‘well-respected’ member of the Bangladeshi community fleeced the life savings of multiple families over three years, including money which was supposed to pay for a sick man’s surgery, through a number of fake businesses, investment schemes, and broken promises.

Arshad Hossein, 59, from Bankstown, defrauded a total of $360,000 from various Bangladeshi families, and took advantage of the trust of the community to offer multiple ‘business opportunities’ to people through mutual acquaintances, and another through a community Facebook page.

That included a scheme where he claimed he was importing plastic bags from Bangladesh, and selling them to Woolworths and BWS. The business did not exist.

The victims of the scam, who Bankstown Local Court Magistrate Stephen Barlow clarified “were not particularly gullible”, trusted Hossein, allowing him to take advantage of them.

One victim invested upwards of $70,000 in the plastic bag scheme, which was almost the entirety of his family’s life savings, including money that was supposed to fund an operation for his sick brother, and his children’s education, the court heard.

Arshad Hossein pictured outside Bankstown Local Court. Picture: Paul Brescia

His brother did not get the surgery, and has since died.

Hossein’s offending was “quite sophisticated”, Mr Barlow said, and involved multiple forged documents, including fake invoices, letters from the Department of Home Affairs, supposed business plans with Woolworths, and BWS, and fake transfers to bank accounts.

Hossein, a former CEO turned Uber driver, claimed that some of the offences were to retain money he lost through a gambling addiction, which spiralled out of control between 2018-19.

But Mr Barlow pointed out that the biggest fraud offences, including taking $260,000 from a Bangladeshi woman to purchase a property in North Sydney — which did not exist — took place in 2017.

“I’m not satisfied the 2017 offending was a consequence of his gambling condition, rather than general dishonesty,” Mr Barlow said.

Hossein’s lawyer told the court his client is now seeking help for his gambling addiction.

He attended his first session one day before he was due to be sentenced.

The property fraud started when Hossein asked to borrow $10,000 to pay for his son‘s tuition from the woman. After the money was quickly given out, Hossein then told her of a business opportunity, and his partner ‘John’ who helped him invest in properties across Sydney.

But no proof of the property ever came, even after she gave him more than a quarter of a million dollars.

Bizarrely, Hossein tried to claim the money was invested into an employment scheme at the place his victim worked at, according to agreed facts tendered to court. When she made inquiries at work, she was told no money had been given.

Another scheme involved a Melbourne man who sent a request on a community Facebook group asking for help moving money from Bangladesh to Australia, to purchase a property here.

Hossein reached out to him, and said he was trying to purchase property in Bangladesh, offering to use each other’s money to purchase the properties.

Hossein created fake bank account transfers to make it appear that he had sent money over, when he had not, the court heard.

Meanwhile, the victim provided real money to an agent of Hossein’s in Bangladesh, losing upwards of $27,000.

Police prosecutor Phung told the court Hossein was a well-respected member of the community when he committed the offences, and left the first victim without their life savings.

“It’s not as though it was heat of the moment,’ Mr Phung said.

“The offences do go on for over a two year period, there are multiple victims.”

When handing down Hossein’s sentence, Mr Barlow told the court he had to take into account Hossein’s past history of fraud and dishonesty offences, including multiple convictions over the 80s and 90s.

Hossein’s lawyer pushed for his client to be placed on an Intensive Corrections Order, where a prison sentence is served in the community.

But that was rejected by Mr Barlow, who told the court the only appropriate sentence would be imprisonment.

He sentenced Hossein to 18 months in jail, with a non parole period of eight months.

His son, who was in the courtroom to support him, cried when the sentence was handed down.

Hossein had his belt confiscated, and was taken into custody.

He is eligible for release in March 2023.