West Midlands Police chiefs praise vehicle salvage auctioneers for banning cash payments

SYNETIQ's decision to only accept bank transfers from March 1 has attracted praise from the force and Police and Crime Commissioner David Jamieson, who believes the move will help to curb the rise in vehicle crime.

Car crime has more than doubled across the West Midlands in recent years, with detectives believing criminal gangs are snapping up damaged cars rated insurance write-offs from salvage auctions − and then stealing cars to order for the parts they need to fix them and sell for a hefty profit.

Around five times more vehicles − mainly luxury marques like Audi, BMW and Range Rover or other high-spec cars − are sold at auction as repairable write-offs compared to write-offs to be scrapped for spare parts.

West Midlands Police suspect the imbalance is leading crooks to steal cars − some during violent car-jackings − for matching spares rather than buy expensive factory-made parts from manufacturers.

Chief Superintendent Chris Todd said: "There’s a correlation between the types of cars being stolen and those available as repairable write-offs; it is our firm belief, supported by police intelligence, that this increase is being driven by the criminal demand for car parts.

"SYNETIQ are setting a great example: they are listening to police concerns over the rise in stolen cars and are taking steps to make it more difficult for crime gangs to exploit the salvage vehicle industry.

"It’s widely accepted cash payments are fuelling car crime and acting as a money laundering loophole. By making purchasers buy salvage vehicles through bank transactions then we have a footprint of the sale which would clearly help any subsequent investigations.

"We want all salvage businesses to remove cash payment options, tidy up their processes and close potential loopholes that could be exploited by criminals. We also want salvage auctions to introduce a ‘know your customer’ framework and have clear structures in place to report suspicious buyer activity.

"I will continue raising our concerns with government, the Association of British Insurers and online auction and sales sites."

David Jamieson added: "I’m delighted SYNETIQ has listened to the police and acted quickly to ensure its process doesn’t allow criminals to exploit loopholes in the system.

"I would urge other firms in the sector to follow SYNETIQ’s lead. There’s much more work to do within the salvage industry, but this is a good start.

"I will continue to fight for more to be done by government, motor manufactures and the insurance industry to clamp down on car thefts."

Richard Martin, the managing director of SYNETIQ, said: "I am delighted SYNETIQ is leading the industry with regard to compliance and transparency. We have worked closely with our clients and the authorities and will continue to drive up standards and trust, in both our business and the industry."