Hong Kong police smash HK$150m money laundering gang, arrest 22
Hong Kong police have arrested 22 people suspected of laundering about HK$150 million from more than 200 fraud cases between August and October. The gang allegedly recruited mainland Chinese to open bank accounts in Hong Kong, then used them to receive and withdraw fraud proceeds, converting cash th
Hong Kong police have smashed a cross-border money laundering syndicate, arresting 22 people suspected of laundering about HK$150 million from more than 200 fraud cases between August and October this year.
The 22 arrested include two local men, 19 mainland Chinese men and one mainland Chinese woman. They face allegations of money laundering and conspiracy to money launder. Police searched a guesthouse, a subdivided flat and a shop that was used as a front for a virtual currency over-the-counter exchange.
Police investigations showed that the criminal syndicate allegedly recruited mainland Chinese people to come to Hong Kong, where they were given mobile phones to open online bank accounts — so-called 'shell accounts' — to receive fraud proceeds. The recruits were then instructed to withdraw cash from different banks' automated teller machines. The cash was taken to the shop, which was disguised as a virtual currency exchange, and further handled through methods including buying and selling virtual currency.
Police stressed that money laundering is a serious crime and reminded the public not to open bank accounts for others to use or lend their bank accounts for illegal purposes.
