An Eastern Suburbs man posing as a financial advisor has been charged with fraud offences potentially valued at $1.6 million, NSW Police say.
Detectives from Kings Cross Local Area Command established Strike Force Penwell late last year to investigate the activities of a Woollahra-based finance and investment company which had been de-registered.
It followed reports three people, all aged over 70, lost large amounts of money which had been provided to the company for investment purposes, this being their invested life savings.
Police will allege the funds had been used for gambling.
Kings Cross detectives have been assisted by Canobolas Local Area Command during the investigation.
Earlier today, police executed a search warrant at a home on Old South Head Road, Vaucluse, seizing numerous documents and arresting a 34-year-old man.
The man, who was the sole director of the investment company, was taken to Kings Cross Police Station where he was charged with three counts of dishonestly obtain financial advantage by deception.
He was refused bail to appear at Central Local Court tomorrow.
Meanwhile, investigations by Strike Force Penwell are ongoing and detectives are asking anyone with information to assist them to come forward.
Police are urging anyone with information to call Crime Stoppers.