Hong Kong customs have dismantled a sophisticated money-laundering syndicate that processed over $190 million through crypto transactions and more than 200 bank accounts.

Money-Laundering Operation Uncovered

Authorities in Hong Kong have cracked down on a significant money-laundering operation that funneled HK$1.5 billion (approximately $192 million) in suspected criminal proceeds through cryptocurrencies and over 200 bank accounts. The operation led to the arrest of four suspects, including a man, his father, and a close female relative who served as the company secretary for three shell companies involved in the scheme.

Operation Details

The syndicate, allegedly run by the family, utilized nearly four dozen bank accounts linked to six shell companies to collect and launder suspicious funds originating from South Korea. Over a two-year period from August 2020 to August 2022, these accounts processed more than 2,000 transactions.

Inspector’s Report

Inspector Poon Yip-kan of the customs’ financial investigation bureau reported that the illicit funds were swiftly moved through the shell company accounts and dispersed into 180 third-party bank accounts to obscure their origin.

Among the accomplices was a taxi driver, who reportedly earned about $9,000 a month for laundering $38.4 million through crypto on overseas platforms. The specific platforms used were not disclosed.

Freezing of Funds

Authorities managed to freeze $280,000 in related accounts. The exact scale of the frozen funds remains unclear. The suspects have been released on bail pending further investigation, with authorities indicating that additional arrests may follow as they continue to trace the flow of illegal funds.

For more updates on cryptocurrency news and related financial investigations, explore Global Crypto News.

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