Man arrested in fraud investigation may be part of bigger ring

KEARNS — A man who police believe may be "part of a larger organized fraud ring" was arrested Thursday after trying to obtain a bank loan for a vehicle that was already totaled.

Edgar J. Diaz Rincon, 46, was booked into the Salt Lake County Jail for investigation of commutations fraud and theft.

On Thursday, Unified police were called to a bank in Kearns where a suspected fraud was in progress, according to a police booking affidavit.

"It was found the suspect was attempting to obtain a loan on a vehicle for over $30,000," the affidavit states.

However, the Vehicle Identification Number provided by Rincon to the bank was discovered to be for a 2026 Mustang "which was totaled and sold at auction approximately a month earlier for $7,600 in Texas," according to the affidavit. "The dealership who provided the 'motor vehicle contract of sale' is found to be real; however, the contract is found to be fraudulent due to the totaled vehicle being listed for several times the price it was auctioned at."

A bank fraud investigator told police that this was the fifth time someone had attempted to get a loan using the same scheme.

"Four of the five attempts were declined. However, the first was approved, and the bank lost approximately $25,000," the affidavit states.

Investigators say at least two other nearby police agencies have recently investigated similar cases in which a suspect uses paperwork from the same dealership that is nearly identical to what Rincon allegedly used, according to the affidavit.

Police say Rincon "is in Utah on a work authorization from Venezuela. The criminal act is believed to be part of a larger organized fraud ring conducted in the same manner."

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