Xi Peng charged over alleged $10m luxury car fraud scheme

The alleged mastermind behind what police say is a Sydney criminal syndicate that obtained millions of dollars in fraudulent loans for luxury cars that did not exist has been charged.

The alleged kingpin of what police say is a criminal syndicate that obtained $10m in fraudulent loans using stolen personal information from Sydney automotive financing companies has been arrested outside a suburban police station.

Financial Crimes Squad detectives swooped on Xi Peng, 37, as he strolled past Hornsby police station on Tuesday afternoon following a raid at his Wahroonga address.

He is the third person arrested under Strike Force Myddleton during a months-long investigation into the alleged multimillion-dollar financing fraud.

Court documents reveal police will allege Peng personally dealt with almost $1.7m in crime proceeds through his role in the alleged syndicate.

“The investigation found that the syndicate was allegedly using the stolen personal information of more than 33 people to apply for loans through various financial companies to purchase luxury cars that did not exist,” a NSW Police spokesman said in a statement.

“The total funds stolen through the fraud are estimated to be $10,000,000.”

Xi Peng being arrested outside Hornsby police station. Picture: NSW Police

Strike force detectives have executed multiple raids across Sydney in recent weeks, locating and seizing multiple luxury watches, jewellery and alcohol worth $200,000.

Detectives then executed an additional warrant at Peng’s Wahroonga property on August 15, where they seized $45,000 cash and multiple electronic devices.

After further investigations, he was arrested as he walked past Hornsby police station on Wednesday.

“He was taken to Hornsby police station, where he was charged with 12 counts of knowingly dealing with the proceeds of crime, and knowingly directing the activities of a criminal group,” the spokesman said.

Cash seized at theWahroonga address. Picture: NSW Police

Peng did not apply for bail at Hornsby Local Court on Thursday morning, and his matter was adjourned to Downing Centre Local Court on November 19.

Court documents reveal Peng is charged with knowingly directing the criminal group between June 27 and October 9 last year, and allegedly dealt with $1,673,008 in crime proceeds during that period.

On 12 separate occasions last year, Peng is accused of dealing with crime proceeds in individual amounts ranging from $80,500 up to $339,890.

The other two people previously charged under Strike Force Myddleton remain before the court.

Investigations under Strike Force Myddleton continue.

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