Investigations surge 41pc as police target financial operations of syndicates
The number of investigations into money laundering and other illegal transactions increased 41 per cent in Hong Kong last year, as enforcement agencies intensified efforts to seize the proceeds of criminal syndicates.
According to the Security Bureau, 972 suspicious transaction cases were investigated last year, compared with 687 in 2002. Officials have continued the heightened effort this year, investigating 272 cases in the first quarter.
A government source said the increase did not reflect a rise in money laundering but had resulted from police launching financial investigations into the proceeds of syndicates believed to be dealing in drugs, vice, bookmaking and other criminal activities.
'It is hoped that financial investigations can be conducted alongside investigations into the criminal activities of syndicates, to allow the police to seize the illegal proceeds,' said a government source.
'Instead of just arresting the gang members, the proactive approach will leave syndicates with slimmer chances of reviving [operations after police intervention].'
Assets worth $382 million have been confiscated since money-laundering laws were enacted in 1989. Courts have ordered a further $101 million to be confiscated, and $1.3 billion in assets frozen.