The alleged Westpac fraudster is suspected of shifting hundreds of thousands of dollars from his businesses to personal bank accounts
Forum Finance boss Bill Papas is suspected of transferring hundreds of thousands of dollars from his businesses to personal bank accounts in the weeks before Westpac accused him of fraud.
Most of the transfers were allegedly made in June – the same month that Papas was a no-show at a meeting to answer questions about the alleged fraud, The Australian reported. After skipping out on the meeting, Papas fled to Greece, where he still remains.
Papas, his business partner Vincenzo Tesoriero, and Forum have been accused of defrauding Westpac to the tune of about $300 million. The bank said Forum used phony signatures and forged invoices to obtain fraudulent loans. Japan’s Sumitomo Mitsui Banking Corporation and French bank Société Generale have also accused Forum of scamming them, bringing the total amount of the alleged fraud to around $400 million.
The latest reports of Papas’ transfers of cash to his personal accounts mean he allegedly had access to large sums of money prior to Westpac being granted asset and account freezing orders in early July, The Australian reported.
Read more: Papas, Forum committed more than 100 separate frauds, Westpac says
Liquidators of several Forum entities have already begun the process of selling some assets linked to the company’s directors. Last week, orders were made for the sale of a yacht owned by Tesoriero and 12 properties linked to four of his companies, The Australian reported.
The latest allegations come as the Australian Prudential Regulation Authority investigates the alleged fraud, which some analysts estimate wiped out 3% of Westpac’s full-year profit.
