Major scam operation busted as police raid Gold Coast mansion, offices

TWO men are in custody and a number of luxury vehicles seized as police smash a major fraud operation on the Gold Coast.

TWO man have been charged with major fraud offences as police raided suspected “boiler room” scam operations this morning.

A man believed to be the principal of TRP Investments was taken from his home in Broadbeach to an office being used as a call centre in Surfers Paradise.

TRP Investments is believed to have sold software promising to predict changes in the stock market.

But operators are believed to have been uncontactable when disgruntled consumers called back asking for refunds.

A house at Broadbeach Waters raided by police this morning. Photo: Jessica Huxley

Search warrants were executed at Broadbeach Waters, Broadbeach, Bundall and Surfers Paradise. Two men have so far been charged with major fraud offences. Police will allege they coordinated an unregulated business offering non-existent investment opportunities.

A 53-year-old man has been charged with five offences of fraud. He is to appear in the Southport Magistrates Court tomorrow.

A 22-year-old man has been charged with three offences of fraud. He is to appear in the Southport Magistrates Court tomorrow.

The fraud squad descended on the Andrea Ave home at Broadbeach Waters around 6.30am and later arrested the pair.

A Bentley that was seized by police during a raid at Broadbeach Waters. Photo: Jessica Huxley

Police also took possession of luxury cars, including a Mercedes, two Audis, and a Bentley, motorcycles and a jetski from the home.

Police said the Fraud and Cyber Crime Group worked closely with the Australian Taxation Office (ATO) during the course of the investigations and were assisted today by members of Task Force Maxima, the Office of Fair Trading and the Australian Securities and Investment Commission.

“Today’s action was focused on two fraudulent investment scams referred to as boiler rooms allegedly selling sports betting packages and share trade investing,” ner agencies to stop this offending and prosecute those responsible for these heartless crimes,” Acting Detective Inspector Stephen Blanchfield of the Fraud and Cyber Crime Group said.

“This is an important step in our tough and targeted approach to boiler rooms operating in Queensland.

“The added assistance of the other agencies involved demonstrates a strong commitment to dismantling these types of activities which often target vulnerable Australians.

“Victims of these frauds are spread across the nation with an estimated total loss of up to $4.3 million, including one person who lost in excess of $900,000.

“Victims in these instances are often self-funded retirees who are pressured by sales staff into purchasing investment products with the promise of security in their later years.

“With slick and professional sales pitches and web-based marketing, these offenders cheat those seeking to secure a future and leave them with nothing.

“The ATO has been working closely with us on this joint agency approach to dismantle boiler room syndicates. Anyone involved in such activities should be on notice the ATO will use its powers to ensure syndicates are meeting their tax obligations.”

Queensland Police urged people to be cautious when investing in schemes of this nature and seek professional independent investment and legal advice. Resources to inform people of this type of unscrupulous and unlawful conduct can be found at the ASIC MoneySmart website, the Scamwatch website of the Australian Competition and Consumer Commission and the website of the Office of Fair Trading.

The Fraud and Cyber Group investigations are continuing and further arrests are expected.

The men remained composed as police led them out of the multistorey home, greeting media as they were loaded into undercover police cars.

It is believed the men may have been involved in selling betting software via telephone scams.