Alberta RCMP say they have dismantled a major vehicle theft and fraud network they allege was responsible for a significant portion of the province’s stolen vehicle market.
The multi-year investigation began in June 2024 and uncovered an alleged criminal operation involving vehicle theft, fraudulent vehicle identification numbers, insurance fraud and the resale and export of stolen vehicles.
Police say the group also obtained hundreds of decommissioned government vehicles that were supposed to be destroyed.
GC Surplus awarded contracts to Edmonton-based Penny Metal Recycling beginning in the spring of 2025 to dispose of 950 decommissioned RCMP vehicles. Investigators say they later discovered that hundreds of those vehicles had allegedly been obtained under false pretences and were instead resold in Canada or exported overseas.
Between December 2025 and March 2026, police executed several search warrants, recovering stolen vehicles and gathering evidence of fraud and vehicle theft.
Excluding the government vehicles, RCMP linked more than 80 stolen, fraudulently obtained or illegally exported vehicles to the operation. Their estimated value is about $6 million.
In addition to the vehicles, investigators also seized more than four million illegal cigarettes, with an estimated value of $3.7 million.
Five people from Edmonton and St. Albert, ranging in age from 34 to 47, have been arrested and charged with offences including possession of stolen property, trafficking in property obtained by crime, fraud, theft, smuggling and possession of unstamped tobacco.
The investigation also identified an individual police believe played a significant role in Alberta’s auto theft market. That person died before charges could be laid. Police say they had gathered evidence supporting multiple proposed charges, including fraud, smuggling and money laundering.
Staff Sgt. Luke Halvorson of the Alberta RCMP said the operation had a significant impact on communities and insurance rates across the province.
“This group was responsible for driving a significant portion of the market for stolen vehicles in Alberta over the past several years, impacting insurance rates across the province and causing significant harm to our communities,” Halvorson said.
The investigation involved several police and law enforcement partners, including the Edmonton Police Service, Canada Border Services Agency and the B.C. Integrated Municipal Provincial Auto Crime Team.
