HMRC have reported that Romania's Police’s Economic Crimes Investigation Directorate have arrested thirteen people in connection with phishing attacks on its systems, with British police arresting one more in Preston. They have been detained on suspicion of computer fraud, money laundering and illegal access to a computer system.
Criminal investigators from HMRC joined more than 100 Romanian police officers to arrest the men and women, aged between 23 and 53, across Romania on suspicion of making fraudulent tax repayment claims using personal data that was stolen. A 38-year-old man was arrested in Preston in another investigation linked to the phishing attacks.
According to HMRC the organised criminal gangs stole data and used it to submit fraudulent PAYE claims, as well as VAT repayments and Child Benefit payments. The arrests are part of ongoing investigations linked to phishing attacks. Two other men, aged 27 and 36, were arrested in Bucharest in November on suspicion of cybercrime and fraud offences.
The phishing incident, Costing taxpayers £47 million, made headlines because HMRC's new chief executive, John-Paul Marks, and his deputy, appeared before the Treasury Committee without informing it of the incident. Days after their appearance, he received a letter from Dame Meg Hillier DBE MP Chair, Treasury Committee, warning HMRC that their failure to report details of the breach was ‘unacceptable’.
A video of the raid has been released by the Romanian authorities.