Toronto Fraud Case Linked To Spa On Danforth

A recently opened Danforth spa was forced to close after a massive police raid connected it to allegations that the spa’s furnishings were paid for with fraudulent credit cards.

Located at 257 Danforth Ave., the Jung Spa opened on Feb. 8 and was raided by police on Feb. 19. Four people face more than 100 charges due to allegations that interior renovations were financed through cloned credit cards. Photo by Omar Mosleh.

Located at 257 Danforth Ave., the Jung Spa opened on Feb. 8 and was raided by police on Feb. 19. Four people face more than 100 charges due to allegations that interior renovations were financed through cloned credit cards. Photo by Omar Mosleh.

The Jung Spa, located at 257 Danforth Ave., opened on Feb. 8 and was raided by over 48 officers on Feb. 19. Four people now face a total of more than a hundred charges in connection with the raid.

Const. Todd Hall, of 11 Division’s major crime unit, is one of the leading detectives investigating the case — one of the largest he says he’s ever worked on.

The charges’ specifics relate to much of the spa’s interior, Hall said, including renovations, but also the furnishings.

“We think they pretty much funded everything through the cloned credit cards,” Hall said. “We’re talking massage tables, T.V’s, down to the sheets, robes, towels, and stool chairs.”

The total dollar amount charged to the cloned credit cards is about $500,000, he said.
An investigation into a credit card cloning ring began last June, and involved another spa in Yorkville, search warrants, and tips from banks about suspicious credit card activity.

Referring to the Danforth shopping district, Hall said: “A lot of the activity using the cloned credit cards occurred in that area…. They were actively using cloned credit cards in the Danforth area, whether it be at a Home Depot, Shopper’s Drug Mart, or a local coffee shop.”

Some neighbours of the Jung Spa expressed surprise at the raid and charges.
Brien Smith is a partner in Martaugh Smith Financial, an insurance broker located directly behind the spa. He said he was in the process of providing the spa owners with insurance for their business.

“They were very knowledgeable about their business, professional, and courteous,” Smith said. “They were business-like, considerate.”

But others, like graduate student Cindy Lessard, thought something might be amiss.
Lessard is a book and magazine publishing student at Centennial College’s East York campus, on Carlaw Avenue. The students produce profiles of business owners for their magazine “On The Danforth.” Lessard interviewed Julia Sung, one of the accused, and said her behavior was odd.

“She was very self assured and very calm, she knew exactly what to say,” Lessard said. “It was almost like she rehearsed her answers, everything was perfect the way it flowed…I’ve never talked to anybody who was so good at answering before.”

Lessard also said that Sung was very careful about sharing personal information, which to her seemed suspicious.

“She was very evasive,” Lessard said. “She wouldn’t tell me her age, she wouldn’t tell me where she went to university.” Lessard added that she was even wary of having her photo taken.

But when Lessard attended the spa’s opening night, “Everyone seemed genuinely happy for her. I overheard conversations about people saying, ‘Oh you worked so hard for this, it’s been so many years.’”

Filip Djukic, 39, Julia Sung, 25, Goran Sadic, 44, and Milena Sadic, 41, all of Toronto, face approximately 114 charges, including fraud, theft, and participating in a criminal organization.

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