POS gang ‘swindled retailers’
TWELVE members of a gang who allegedly provided “free” point of sale machines to over 300 retailers last year, swindling them out of about 600,000 yuan (US$91,225), have been charged with fraud, prosecutors in Fengxian District said yesterday.
The suspects, claiming to be China UnionPay staff members, charged the victims 2,000 yuan to activate the POS machines they provided, prosecutors said. The gang’s leader, surnamed Chen, allegedly registered a shell company in the city and forged China UnionPay employee cards. Then the gang members gave free POS machines to 303 retailers in Shanghai, Beijing, Tianjin and Guangdong Province, offering to provide service at a very low rate, said prosecutors.
They then asked the retailers to transfer 2,000 yuan to pay for machine "activation” and promised to return the money in a couple of days.
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