FRAUDSTERS have stolen thousands of pounds from innocent shoppers in a highly- sophisticated bank card machine scam in York.

Police said at least twenty people were caught out when a clever cloning device was inserted into the ATM machine outside a branch of the Royal Bank of Scotland in Nessgate last weekend.

Close examination of the victims' accounts showed this particular machine to be the only common link.

This has led police to believe a criminal gang inserted the gadget into the ATM on December 9, removing it a few days later. They think those responsible placed a false cover on the machine with a device to read cards, and a hidden camera to film PIN numbers.

Cash was then withdrawn in London.

The card-cloners were described as "more sophisticated" than a similar gang who targeted the ATM machine at Tesco at Askham Bar only days before, stealing hundreds from unsuspecting shoppers.

Far more people were affected by the latest scam, with fraudsters stealing on average between £300 and £500 from each victim.

A York police spokesman said: "We've had at least 20 reports of cloning of cards.

"This one seems to have been a bit more sophisticated. All the transactions have been taken out of various banks in the London area. Each individual (transaction) was for £300 to £500 on average.

"People should be aware and be careful with their PIN numbers and try and cover the key pad when they're entering their code."

One victim, who asked not to be named, said £600 had disappeared from his Halifax account after he used the machine last Friday.

The money was removed in three separate transactions, the first one for £300 last Tuesday, followed by two separate withdrawals, for £250 and £50, the next day.

He said: "I want to warn everyone else. I don't want anyone else to be stung like I have, especially coming up to Christmas. I did notice it (the ATM) looked a bit funny. The slot didn't look like it normally looks."

Halifax confirmed the money would be paid back into the victim's account.

York Police have now contacted the London Met in an attempt to catch those responsible, but no one has yet been caught.

Now they are once again warning York shoppers to be doubly on their guard when withdrawing cash, taking care to cover their hand while punching in pin numbers to avoid being filmed by any secret cameras.

Statistics from APACS, the UK payments association, reveal that ATM fraud is rising steeply. But a spokesman for Halifax said the new chip and pin system to come into force next year should clamp down on this type of crime. He said the new system meant cards would be read by their chip rather than the magnetic stripe - the part of the card read by fraudulent ATM devices.

A spokeswoman for the Royal Bank of Scotland said the Nessgate cash machine was currently out of service because of vandalism.

"We apologise for any convenience caused and are doing everything we can to have it back in service as soon as possible".

She said the bank worked closely with APACS and the police to combat fraud and protect customers.

:: How to avoid becoming a victim of the scamsters

Signs to look out for

People acting suspiciously near ATMs or a blacked-out van close by

Signs of tampering. For example, is the card slot protruding?

Slot movement when card is inserted. If it wobbles or the card sticks, it could be a false front

"Out of order" signs placed on to the ATM. Be suspicious if it directs you to another machine which may have been tampered with.

How to protect your card

When keying in your pin number, cover your hand

Use ATMs inside buildings where possible

Try to reduce the number of visits you make to an ATM

Immediately inform your bank/ building society if your card has been cloned, lost, or stolen.

Updated: 16:24 Monday, December 19, 2005