Police on Sunday arrested a 22-year-old Palestinian hacker suspected of defrauding Bank Leumi clients using an online phishing scam.

The suspect allegedly created fake websites for Bank Leumi and the Bank of Israel, which he used to hack into customers' accounts and siphon funds out of them.

Police launched an investigation after Bank Leumi's security chief filed a complaint about phishing scams that were used to infiltrate its website and gather customers' personal information, including credit card details.

The hacker allegedly built a fake website identical to that of Bank Leumi's and sent customers e-mails asking them to re-enter personal information for security purposes.

Police suspect that he gathered dozens of customers' information, hacked into their accounts and used their credit and debit cards to make purchases.

Police are questioning the suspect, who was expected to appear Sunday in a Tel Aviv court for a remand hearing.