Hong Kong police smash cross-border syndicate that laundered HK$118 million
Twelve arrested in operation as authorities seek tougher action on fraud-related cases involving renting or selling personal bank accounts
Hong Kong police have dismantled a cross-border syndicate that allegedly laundered HK$118 million (US$15 million) through stooge bank accounts, arresting 12 people as officials seek tougher sentencing for those renting or selling their personal details.
The force said on Saturday that it had arrested nine men and three women aged between 20 and 40 across multiple districts in an operation conducted by the commercial crime bureau on Thursday. Officers seized HK$1.05 million in cash and more than 560 ATM cards, as well as numerous mobile phones and bank documents.
The suspects have been charged with conspiracy to commit money laundering.
Fraud-related cases have been on the rise in Hong Kong. Last year alone, nearly 95,000 criminal cases were recorded, with fraud accounting for almost half.
Nearly 10,000 people were arrested in connection with fraud last year, with 73 per cent identified as holders of “shell accounts” used to facilitate illegal activities.
Superintendent Shirley Kwok Ching-yee said investigations revealed that the local money-laundering syndicate had been actively recruiting mainland Chinese individuals since July last year to open shell accounts in both traditional and digital banks in Hong Kong.
“These accounts were allegedly used to receive illicit proceeds from various fraud schemes,” she said.