TOKYO (TR) – As a part of an ongoing crackdown on fraud committed by organized crime groups, Tokyo Metropolitan Police on Wednesday busted a fraud ring that included a boss in the Sumiyoshi-kai over the alleged sale of fraudulent investments, reports the Sankei Shimbun (June 24).
Between February of 2013 and June of last year, Tsuyoshi Kato, a 48-year-old resident of Toshima Ward, allegedly collected 660 million yen from approximately 70 elderly victims throughout the nation for investments in senior citizens’ homes under false pretenses.
Police also arrested three other members of the ring. Kato has denied the allegations.
The scam is classified by police as a “special fraud,” in which the victims are conned with fake investment schemes. In this case, the victims were told that a refundable payment was necessary to secure places in senior citizens’ homes. Between January and April of last year, an 85-year-old woman in Chiba Prefecture paid 21 million yen to the suspects.
According to police, the ring is a part of a larger group, which includes other Sumiyoshi-kai members, that has swindled victims out of a total of 2.2 billion yen. Thus far, police have made a total of 30 arrests.
