- Hong Kong authorities detained 25 women and men.
- The group is answerable for 39 circumstances of crypto fraud.
- 23 males and 16 girls between the ages of 19 and 72 misplaced almost $1 million to those scammers.
Hong Kong police have arrested 25 women and men concerned in a cryptocurrency rip-off and cash laundering. Authorities report that digital asset fraud accounts for 7% of all fraud circumstances within the Particular Administrative Area (SAR) of China.
In accordance with the report, the Wong Tai Sin District Crime Division carried out an enforcement operation underneath the code title “Lian Dou” from September 19 to 26. This operation led to the arrest of 25 people allegedly concerned in cryptographic fraud and cash laundering, who dedicated 39 frauds and scams. victims of greater than 7 million yuan (almost 1 million {dollars}).
The 39 circumstances concerned 23 males and 16 girls aged between 19 and 72, together with civil servants, college students and housewives who have been defrauded of their financial savings.
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Chief Inspector Mak Ning-fung led the investigation and revealed that the group consisted of 18 males and seven girls aged between 19 and 65, largely unemployed, waiters or development staff. Amongst these arrested have been the group's mastermind, three essential members and 21 puppet account holders, suspected of “buying property by fraud” and “cash laundering”.
Authorities seized digital units and chilly wallets
Hong Kong authorities seized greater than 20 digital units from the group's mastermind's residence, together with two cryptocurrency wallets probably linked to the case. The group allegedly started operations in Might 2023 and used puppet accounts to open financial institution and cryptocurrency accounts concurrently.
The core members of the group had a transparent division of labor. After defrauding victims utilizing varied schemes and depositing cash into designated puppet financial institution accounts, some core members instantly used the related alternate accounts to conduct P2P transactions, buy cryptocurrencies and switch them to their very own wallets.
Pretend crypto exchanges goal unsuspecting traders
Coin Version beforehand reported that many fraudsters in Hong Kong have arrange faux cryptocurrency exchanges the place traders go to alternate their cash for crypto, solely to have the funds stolen. In a single such case, the sufferer misplaced $125,000.
In accordance with Hong Kong authorities, these outlets promote unbelievable alternate charges and affords, luring traders who’re then robbed and the criminals disappear.
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