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Financial fraudster jailed for nine years - 23/11/2009

A Scottish-based fraudster has been sent to prison for nine years for a four year campaign of complex frauds using a pay as you go mobile phone, fake accents and a library card.

Frageand Naseem, 32, from Livingston, near Edinburgh, was convicted for sophisticated frauds to steal more than £8m and the attempted theft of $170m from UK high street banks.

Naseem telephoned international companies and duped staff into giving him small bits of information. This continued through many calls and across many months. Once he had gleaned enough details he took control of corporate accounts and arranged to transfer money around the world and set his family up in business.

In sentencing at Croydon Crown Court Judge Stowe stated that Naseem had also held up court proceedings while feigning mental illness.

Speaking after the verdict Superintendent Colin Cowan, from the City of London Police, said: "I am very pleased to see the level of sentence given to Naseem. It shows once again that fraud is a serious crime with serious consequences."

Naseem was so convincing with his use of a range of accents and his persistent nature that he conned staff in several banks into believing he was calling from the client company. He was also known to call back and laugh at them down the phone once he had stolen the funds.

The City of London Police arrested Naseem in Edinburgh in April 2006 following an extensive operation. He was traced to an internet café, which had been identified by police as the source of a number of emails relating to the frauds. When searched he was found in possession of a mobile phone that had been used to contact another bank he was targeting and a notebook containing contact details for the bank’s staff.

His downfall came about because he made two key mistakes - calling his mum from his criminal phone and using his library card to access an internet cafe. Following his arrest, Naseem was transferred to London where after charge he was remanded in custody before later being moved to a secure psychiatric hospital.

He pleaded guilty to five offences of obtaining money transfers by deception, defrauding £8.2m from national and international banks.

At earlier proceedings the court also heard how Naseem had instructed RBS’ foreign currency traders to use the Bank of Korea’s sterling account to buy $170 million on the markets for its dollar account.

He enquired about moving the funds on, but discovered they had to remain in trading accounts. This gave RBS time to uncover the fraud and reclaim the money.

Det Supt Colin Cowan, from the City of London Police Economic Crime Directorate, said: "This investigation is a great example of the police in both Scotland and London working together with the banks to share information quickly, combine resources and take swift action."