Hong Kong police arrest 3, seize bundles of fake banknotes after HK$3.1 million crypto scam
- Three arrested for allegedly swindling businessman out of HK$3.11 million in Tether coins using fake bank notes as bait
Hong Kong police have arrested three people on suspicion of swindling a businessman out of HK$3.11 million (US$399,000) in cryptocurrency in exchange for three bundles of bogus HK$1,000 banknotes.
The force said on Monday that officers seized 10,978 forged HK$1,000 banknotes in a raid on the Mong Kok office, where the bogus transaction was made, last week.
A source said three bundles of what was said to be HK$1,000 banknotes were shown to the 44-year-old businessman in the Nathan Road premises before he was instructed to transfer HK$3.11 million in Tether coins to a designated e-wallet.
“Except for two genuine banknotes placed on the top and bottom of each bundle, the others were bogus bills, known as training notes,” the insider said.
Training notes look genuine, except for three Chinese characters which mean “practice coupon” printed on them.
They also lack security features such as watermarks and are said to be used by mainland Chinese bank staff for training and counting practice.