The Jerusalem police arrested a Palestinian resident of the Shua'fat refugee camp on suspicion of defrauding

Bank Tefahot (TASE:

TFHT

) and winding up with hundreds of thousands of shekels.

He is suspected of massively defrauding the Gival Shmuel branch of the bank in Jerusalem by presenting fake rental contracts.

The police claim he signed other Shua'fat residents, and residents of east Jerusalem, on fictitious rental contracts, through which the residents could seek housing aid from the state. The residents then received support to which they were not entitled through Tefahot.

The police also suspect that three of the bank's workers expedited the paperwork in exchange for small gifts.

No less than NIS 200,000 was found in a raid on the suspect's home, police told the court today, as well as fictitious contracts and other related documents signed by renters and landlords.

The Magistrates Court has extended the suspect's remand.