Panamanian authorities arrested eight individuals this week for allegedly running a sophisticated car theft and digital fraud operation. The National Police of Panama, working with prosecutors, executed the raids across four districts of Panama City as part of “Operation Fraudcar.”
Investigators say the criminal groups targeted rental car companies. They would rent vehicles using legitimate contracts, then forge ownership documents to sell the cars to unsuspecting buyers on popular online marketplaces. The scheme inflicted an estimated $100,000 in losses on both businesses and private citizens.
Coordinated Raids Across the Capital
Police units carried out simultaneous search warrants in the districts of Pedregal, Tocumen, Juan Díaz, and Pueblo Nuevo. The operation aimed to dismantle two separate but similarly operating networks. Three additional suspects, including two alleged ringleaders, were detained during the investigative phase leading up to the raids.
In a social media post, the National Police confirmed the operation’s scope and the number of arrests. “We developed Operation Fraudcar in the districts of Tocumen, Pedregal, Pueblo Nuevo, and Juan Díaz, in order to dismantle two groups dedicated to car theft and sales fraud,” the post stated. [Translated from Spanish]
We have eight individuals apprehended. This action is part of our ongoing ‘Plan Firmeza’ to combat organized crime and protect citizens from financial fraud.
The Public Ministry (Panama) is now handling the legal case. Officials indicated the investigation remains open, suggesting more arrests could follow.
A Warning to Used Car Buyers
Following the arrests, the National Police issued a public advisory. They urged extreme caution when purchasing vehicles through digital platforms. The advisory specifically recommended that buyers thoroughly verify all documentation before transferring any money.
This type of vehicle title forgery poses a significant risk. Victims often lose their entire payment and receive no legal ownership of the car, leaving them with no recourse. The sophisticated use of fake titles and digital sales tactics made this particular ring effective.
Police did not release the names of the rental companies affected. They also did not specify which online platforms the criminals used to advertise the stolen vehicles.
This operation highlights a growing trend in property crime across the region. Criminal organizations are increasingly leveraging online anonymity and digital tools to perpetrate fraud. The Panama national fraud groups involved in such schemes with some regularity, but the scale of this rental car fraud operation is notable.
Authorities consider the dismantling of these networks a major success. It disrupts a profitable criminal enterprise and serves as a direct warning to similar groups. For now, the eight suspects await formal charges as prosecutors review the evidence collected during the raids.