The alleged kingpin of an El Salvadoran bank fraud ring which allegedly preyed on banks in Jefferson, Denver and Arapahoe counties in early 2009 has been arrested in Houston.
The suspect was identified today as Francisco Alfonso Chavez Diaz, 43, by the Jefferson County District Attorney’s office.
According to the district attorney’s office, the ring opened at least 26 accounts in nine banks in February and March in the three Colorado counties. The banks lost more than $27,000.
Court records indicate that members of the ring would go into a bank and open an account using an El Salvador passport. Frequently more than one man would go into the targeted bank and one would translate for the other.
The men would often use the same names and addresses when they opened up the accounts at the banks.
According to the DA’s office, the accounts were opened with a small deposit and left to sit for 30-to-60 days. After that, deposits were made into the accounts, allegedly using forged, stolen or otherwise fraudulent checks to inflate the balance.
Diaz would allegedly then withdraw all the funds using debit cards or taking funds from an ATM.
Diaz has been charged with felony theft in connection with the incidents, according to the Jefferson County district attorney.
Diaz is also wanted by the U.S. Postal Inspector for suspected mail theft.
Howard Pankratz: 303-954-1939 or hpankratz@denverpost.com.
