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Police have arrested six men and a woman, aged 26 to 38, who are alleged to have made fraudulent claims to an insurance company amounting to $510,000.
After receiving an enquiry from its agent company about requests from 14 customers to terminate their policies and to refund 17 insurance policies within three days, a middleman company tried in vain to contact a newly recruited salesman handling the policies.
The middleman company reported the case to Police last month.
Investigations showed the information contained in the insurance application forms, such as work address, home address and stated salary, was false.
The salesman was believed to have conspired with the 14 customers to take out the policies and request a full refund within the two-week "calm down period".
The refund claims amounted to $510,000.
In an operation today, crime officers of Yau Ma Tei Divisional Support Team raided 10 residential flats in Kowloon and New Territories and arrested the seven people for attempt conspiracy to defraud. They were released on $1,000 bail each and required to report back next month.
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