Local News in Brief : Man Held in Credit Scam
Federal authorities have arrested the alleged ringleader of a San Fernando Valley scheme that bilked up to $500,000 from companies such as Atari and Kodak by ordering merchandise on phony credit.
Haim Pinhas, 44, of North Hollywood was arrested by postal inspectors on a federal grand jury indictment that was secretly returned April 8.
The 18-count indictment, unsealed Wednesday, alleges that Pinhas masterminded the scheme from his Van Nuys firm, General Merchandise Club, between November, 1986, and May, 1987.
Pinhas and three other men allegedly used bogus credit to order between $200,000 and $500,000 worth of goods ranging from telephone systems and video games to watches, bicycles and vacuum cleaners. Pinhas and the others then sold the goods cheaply and closed up shop before the merchants could collect for the items, according to the indictment.
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