College Student Leading Crypto Laundering Operation Arrested in Hong Kong
Hong Kong police arrest six people for laundering $12.7 million through cryptocurrency.
The Hong Kong Police Force has arrested six people for money laundering through cryptocurrencies. One of those arrested is a college student, believed to be a main player in this operation.
The South China Morning Post reports that the group laundered an enormous HK$100 million (USD 12.7 million) in just three months. They hid the source and flow of this illegal money by trading cryptocurrencies with e-wallet accounts. They handled over HK$1 million every day.
Senior Inspector Chu Ming-man said, "This group was well-organized and used complicated methods to make it harder for police to investigate." The police started their investigation in April after getting tips about the group's illegal activities.
The investigation found that the group had bank accounts in mainland China to collect money from various scams. They then used debit cards to buy expensive items like watches and gold jewelry in Hong Kong. The money from reselling these items was used to buy cryptocurrencies.
During the arrests, the police took more than HK$1 million in cash and expensive items, as well as debit cards linked to the operation. The group members were arrested for suspicion of money laundering and fraud. The police say there might be more arrests based on their ongoing investigation.
