By Toi World Desk

Copyright indiatimes

Dubai Police have dismantled a transnational fraud ring that used shell companies to launder funds acquired through stolen credit cards. The operation, led by the Anti-Fraud Centre of the General Department of Criminal Investigation, followed an extensive surveillance effort and marks another strong step in safeguarding the emirate’s financial system.Shell companies as a cover for financial crimeAuthorities revealed that the criminal gang established fake commercial entities—companies with no real operations or market presence. These fictitious businesses were registered as legal entities but served no legitimate commercial purpose. Instead, they were used to:Deceive banks and regulatory bodiesMove funds sourced from fraudulent transactionsLaunder money and conceal its originsBy exploiting the legal framework for business registration, the group created an illusion of legitimacy. These companies acted as fronts for processing illicit transactions, helping the perpetrators bypass oversight and redirect stolen funds into the financial system. Fraudulent use of stolen bank cardsThe gang specifically targeted financial institutions by conducting transactions using stolen credit and bank card information. The stolen data enabled them to extract funds illegally and funnel the money through their network of shell companies. This process was deliberately designed to:Obscure the financial trailExploit vulnerabilities in digital payment systemsAvoid detection by standard banking controlsThe operation highlighted a growing trend in cyber-enabled financial crimes, where fraudulent digital transactions are masked through seemingly legitimate business activity. Surveillance, strategic partnerships, and arrestsDubai Police credited the success of the operation to meticulous monitoring and continuous surveillance, carried out in collaboration with strategic partners. The investigation was conducted by the Anti-Fraud Centre under the General Department of Criminal Investigation.Key outcomes of the operation included:Uncovering the gang’s financial schemes and digital tacticsApprehending all involved suspectsReferring them to the competent judicial authoritiesPolice officials emphasised that the dismantling of this gang demonstrates Dubai’s readiness and capability to combat organised fraud, especially operations that attempt to destabilise the financial ecosystem through high-level deception.Ongoing efforts and public vigilanceThis case is part of a larger, ongoing effort by Dubai Police to target fraud networks operating within and beyond UAE borders. Authorities reminded the public that:Just last month, two individuals were arrested for exploiting bank accounts and digital wallets for similar fraudulent schemes.Victims in that case were coerced into sharing banking credentials or opening financial accounts in exchange for small commissions.These accounts were then used to move stolen funds across a layered network, making the money trail difficult to follow.To support these efforts, police called for increased public awareness and cooperation. Individuals and institutions are urged to report suspicious financial behavior through:The “Police Eye” platformThe 901 call centreAuthorities reiterated that early reporting and active vigilance are essential in preventing such crimes and ensuring prompt intervention.