Foreign Investors Loses Over HK$70M in Cryptocurrency Scam in Hong Kong

On March 20, Hong Kong police revealed that a foreign investor lost over HK$70 million to cryptocurrency scam.

In a press briefing, the police said they cracked 45 cases related to online investment scams, job scams and shopping scams, involving HK$194 million in victim funds.

The victim in the biggest case was a foreign investor who lost HK$72 million after being tricked into investing in cryptocurrencies, said Kwan Chi-chung, a Senior inspector Kwan Chi-chung from the Yau Tsim district technology and financial crime squad

In the action, Hong Kong police arrested 58 suspects aging from 19 to 66, most of whom acted as “money mules” in the scams, providing their personal information and bank accounts to the fraudsters for facilitating fraudulent activities. In addition, the criminals were successfully prevented from transferring HK$9.4 million in illicit funds.

The Hong Kong Police Force is committed to pursuing the remaining illegal funds.

The Inspector Kwan said, “In an effort to strengthen the crackdown on money laundering, police will consult with the Justice Department and seek a harsher penalty against the stooge account holder.”

In an money-laundering case, the court increased a 24-year-old man’s sentence by 25% to two and a half years.

It was reported that the man sold his accounts to criminals to help them deal with the funds of unknown origin totaling HK$5.5 million, which included money from three victims of investment scams.