Grandfather accused of exploiting the tragic death of his three-year-old nephew to con family and friends out of an eye-watering $1.3million

A Sydney man has allegedly used his three-year-old grandsons accidental death at a shopping centre to scam his friends and family out of $1.3million.

The 68-year-olds grandson died in 2003 after falling from an escalator at Westfield Burwood shopping centre in the citys western suburbs. 

The man allegedly borrowed money from friends and family to pay for a lawsuit against the shopping centre and was granted a $400,000 payout in 2007. 

In 2016, he allegedly asked for more money as though the lawsuit were ongoing.

Police have alleged the Good Samaritans who helped him were never paid back. 

Detective Chief Superintendent Christine McDonald said in a press conference on Thursday the money had been acquired under false pretences. 

Instead of refunding the victims, he kept the money and didnt give them anything back, instead, he asked for more, the superintendent said.  

This is such an act of betrayal - these victims believe they were helping a grieving father, someone they knew, someone they trusted. He broke that trust.

The man (pictured) was arrested on Thursday at a unit in Five Dock in Sydneys inner-west

The 68-year-old was charged with three counts of dishonestly obtaining a financial advantage by deception (he is pictured being led to a police vehicle on Thursday)

His grandson died in 2003 after falling from an escalator at Burwood Westfield (pictured)

Ms McDonald alleged the man had amassed about $1.3million over eight years and claimed he had since gambled a lot of the money. 

The man was arrested at a unit in Five Dock in Sydneys inner-west on Thursday. 

He was charged with three counts of dishonestly obtaining a financial advantage by deception.

He faced Burwood Local Court later that day and was refused bail.