A Big Four bank has allegedly been defrauded of a whopping $150million by one of the largest alleged fraud and money laundering syndicates in Australian history.
Police have been investigating employees at the National Australia Bank (NAB) for allegedly facilitating home and business loans for a money-laundering scheme.
The Penthouse Syndicate is accused of acquiring a property empire in Sydney worth tens of millions of dollars using corrupt solicitors, agents and mortgage brokers.
Its alleged ringleader, Shanghai-born Bing ‘Michael’ Li, 38, was arrested in July following a raid of the penthouse at the Crown Towers Sydney in Barangaroo.
Li had rented the $37,000-a-month apartment for about a year before his arrest and was bustled out of the penthouse in handcuffs and a $4,500 Louis Vuitton jacket.
The 38-year-old has been charged with 87 offences, including knowingly directing the activities of a criminal group and dealing with the proceeds of crime.
The NAB employees are suspected of accepting bribes from syndicate members to approve bogus loan applications. None have been charged.
Court documents also revealed a senior banking manager at NAB advised Li and other alleged syndicate members which documents to provide in order to secure loans, the Sydney Morning Herald reported.
Police allege Shanghai-born Bing ‘Michael’ Li, 38, was the ringleader of a Penthouse syndicate responsible of defrauding $150million from NAB
Li, 38 was arrested in July following a raid of the $18million penthouse of the Crown Towers Sydney in Barangaroo in a Louis Vuitton bomber jacket valued at over $5,400 (pictured)
Police allege Li directed the syndicate whilst renting the $37,000 penthouse of the Crown’s residential tower in Barangaroo (the living area is pictured)
The loans, including a $2million mortgage application and a business loan of almost $500,000, was then allegedly approved by the manager.
Police have charged 14 alleged syndicate members for their involvement in fraud totalling $107million – $15million of which has been linked to NAB.
In November, last year, alleged syndicate member Hanna Karliana provided an electronic ‘selfie-style’ image of herself, her Australian passport, phone number, email and signature for approval of a $6million home loan application.
A NAB employee then approved the home loan application based on the identification documents and allegedly falsified financials that Karliana had provided.
In August, the 61-year-old and her partner Indra Hari Nurkianto, 60, were charged over their alleged roles as mules for the Penthouse Syndicate.
It is alleged the couple used fraudulent documents to buy $15million worth of property on behalf of the syndicate.
Police allege the pair secured more than $12million in mortgages and more than $2.3million in business loans with the help of a corrupt NAB employee.
Detectives also arrested Li’s wife, Zhouyao Chen, and charged her with 11 counts of dishonestly obtaining financial advantage by deception, participating in a criminal group and contributing criminal activity.
The NSW Crime Commission seized about $60 million worth of property, cars and luxury items
Some of the luxury watches seized by officers during the raids at the penthouse
Yizhe ‘Tony’ He – Li’s alleged co-conspirator has been charged with 107 offences. He and Li remain in custody.
Despite the arrests, the syndicate is believed to still be in operation, with some members yet to be charged.
About $60million worth of property, cars and luxury goods were seized as part of the NSW Crime Commission investigation during the raids in July.
Detectives have not ruled out the possibility that future fraudulent loans connected to the syndicate will be approved through NAB and other major banks.
