Gardaí are continuing to question six people arrested as part of an investigation into a €1 million mortgage fraud where people created false identities to obtain money from banks and financial institutions.
Detectives from the Garda Bureau of Fraud Investigation in Cork city assisted by local Garda units arrested four men and two women in a series of raids in Mayfield in Cork city, Kanturk and Mallow in North Cork and Midleton in East Cork early this morning.
All six were arrested under Section 50 of the Criminal Justice Act which allows gardaí detain suspects for up to seven days and the suspects are detained at the Bridewell, Gurranebraher, Kanturk, Mallow and Midleton Garda Stations
According to an informed source, the investigation relates to a highly sophisticated fraud where people created false names and bank accounts to obtain mortgages on a number of properties in Munster from three different financial institutions between 2006 and 2008.
The suspects initially made repayments on the mortgage but when they defaulted on their repayments and the banks went investigating, they discovered that mortgages had been given to people who did not exist.
The financial institutions notified gardaí who began an investigation and today’s series of raids following an extensive operation by gardaí into the creation of false documentation and identities to support the fake mortgage applications.
Gardaí also seized a large amount of documentation along with computers, storage devices and phones during yesterday’s raids which were mainly on private dwellings but did include one business premises.
Gardaí also seized cannabis plants with an estimated street value of €5,000 in one of the raids. Gardaí have refused to comment on what links the six suspects but an informed source said that the investigation was ongoing.