Three arrested in Hong Kong over laundering of HK$54 million scammed from 15 people
- A 76-year-old woman cheated out of HK$25 million was among the victims of a scam lasting four months
- Hong Kong money-laundering syndicate recruited people to open bank accounts before the ill-gotten cash was funnelled out the city
Three men were arrested on Thursday over the laundering of HK$54 million (US$7 million) that police said was conned out of 15 Hongkongers, including a 76-year-old woman who lost HK$25 million.
The alleged members of a money-laundering syndicate in Hong Kong held bank accounts that were used since December to collect the cash and conceal its origins, according to the force.
Officers from the Anti-Deception Coordination Centre froze HK$4.8 million (US$619,000) of the total sum in those accounts, but swindlers pocketed the remaining HK$49.2 million, according to a police source.
He said the gang launched its illegal operation in the fourth quarter of 2019, recruiting people to open bank accounts in Hong Kong to hold the cash that had been swindled through telephone deceptions and online romance scams.
“Investigation showed the racket had recruited tens of people to open two to six bank accounts each,” the source said. “We believed the syndicate controlled tens of bank accounts to launder the scammed money.”
He said the illegal money was usually laundered within hours through at least three “layers” of bank accounts in Hong Kong before being funnelled out of the city.