Two people have been arrested in the Canary Islands after allegedly defrauding dozens of customers in a large-scale used car scam worth more than half a million euros.
The pair were detained in Santa Cruz de La Palma by the National Police and are accused of orchestrating a scheme that targeted at least 50 victims through a local vehicle dealership.
Police launched an investigation last month after a victim reported handing over two cars to be sold on their behalf, but never received the agreed payment.
According to investigators, the main suspect offered to either sell vehicles on behalf of owners or purchase them directly. Victims were often contacted via online classified ads or met in person at the dealership.
Buyers and sellers were asked to sign minimal paperwork – basic deposit or sales agreements – but police say many never saw their vehicles or their money again. In several cases, those affected were paid far less than agreed or received nothing at all.
So far, officers have identified 50 victims, but say the number could rise as the investigation continues. So far, the suspected fraud is believed to exceed €500,000, while the alleged perpetrators are thought to have pocketed at least €215,000 in profits.
At least 34 vehicles, including both cars and motorbikes, are believed to have been involved. Many were sold on to a car dealer in Tenerife, who police say bought them in good faith.
Some of the sales were processed through a bank account held by the primary suspect.
The two individuals were arrested at the end of May and have since been released under investigation. Authorities have sealed the dealership and frozen associated bank accounts.
