Waterloo Regional Police Service’s Commercial Fraud Unit has completed a complex, multi-year investigation into a large-scale financial fraud involving a local firearms and ammunition distribution business and a commercial financing company.

Between 2016 and 2020, the distribution business secured tens of millions of dollars in financing through forged business documents. The fraud was uncovered in 2020 during financial audits which revealed serious financial irregularities and resulted in bankruptcy proceedings. 

Investigators found that many of the transactions the business reported had never actually occurred. They also uncovered fabricated communications and deliberate misrepresentations designed to make the operation appear legitimate in order to obtain funding.

Nearly 20,000 fraudulent invoices were submitted in total, leading to an estimated $48 million in losses.

As a result of the investigation by WRPS’ Commercial Fraud Unit, a 52-year-old male and a 48-year-old female from London, a 56-year-old male from South Frontenac, and a 64-year-old male from Guelph have been arrested and jointly charged with:

• Fraud Over $5,000
• Forgery
• Uttering Forged Documents
• Falsification of Business Documents

Additional charges include Possession of Property Obtained by Crime, Laundering Proceeds of Crime, and Identity Fraud.

The accused parties are scheduled to appear in court at a later date.