Police have launched an investigation into an alleged plot to defraud top retail store Selfridges. As part of the inquiry one person has been arrested in the West Midlands and a property in Greater Manchester raided.

The Manchester Evening News understands the allegation is that the store was cheated of at least £150,000 worth of luxury goods. Sources say the company's remote payment system which allows personal shoppers to send clients a link to pay by card was misused.

It is alleged that payment links were created and then manually random reference codes made that deceived the till system into registering the items as “paid.” The scheme lasted several months allegedly, during which it is claimed goods from luxury brands, including Louis Vuitton, Celine, Dior, Prada, Cartier, and Hermes were acquired.

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A source said the deception was finally uncovered in November 2023, when a system upgrade at Selfridges flagged irregularities, prompting an internal investigation that exposed the missing payments and false reference numbers.

In response to the findings, it is claimed Selfridges has banned one individual and their associates from all stores on the grounds of fraudulent activity, and is working with police to ensure accountability. A source said "The incident has cast a spotlight on security protocols within the personal shopping industry, prompting Selfridges to review its systems for enhanced fraud prevention."

Police searched a property in Salford last month as part of the inquiry. In a statement West Midlands Police said: "We are investigating following the report on Tuesday, 30 May, of a fraud at a store in Birmingham city centre. A woman, aged 30, was arrested in Birmingham, on 15 August, on suspicion of fraud and released on bail as enquiries continue. Our enquiries also led us to an address in Manchester and the investigation is on-going."

A Selfridges spokesperson said: "As this is an ongoing criminal investigation, we will not be commenting. We are continuing to work closely with West Midlands Police."