Beautiful Virgin Islands

Wednesday, Aug 27, 2025

Hong Kong Customs Authorities Track Syndicate Using Cryptocurrency to Launder Money Overseas

Hong Kong Customs Authorities Track Syndicate Using Cryptocurrency to Launder Money Overseas

There was a syndicate using cryptocurrency to launder money. They moved almost $154M. Hong Kong customs has made some arrests.

A syndicate in Hong Kong, with links to cryptocurrency and money laundering, moved nearly $154 million in illegal funds before customs authorities shut it down in July.

The now-arrested ringleader and three others, using three shell companies, operated electronic accounts that traded in Tether digital tokens — early last year to May this year — before customs authorities got wind of what was happening.

The syndicate laundered $113 million using cryptocurrency. An additional $40 million was laundered through eight bank accounts using more conventional methods.

Suspicious transaction as the first clue


Grace Tang, superintendent, and head of customs’ financial investigation group said they flagged one of the shell companies for suspicious bank transactions, providing the first clue to the syndicate’s existence.

For three months, the customs team buried their heads into the dealings of the shell company, deeply examining numerous transaction records both in banks and cryptocurrency trading. In the process, they unearthed two more shell companies.

Tang’s team took hours to sift through acres of transactions related to money laundering before uncovering roughly 500 crypto transactions and nearly 1,800 suspicious bank transactions between the three shell companies.

The team waited for three months before pouncing on their targets.

Rise of money laundering activities worldwide


In recent years, law enforcement officials across the world have experienced an uptick in money-laundering activities using digital currencies.

The nature of cryptocurrencies and the pervasive anonymity of the parties involved make crypto an ideal ground for money laundering activities through banking systems and across borders.

Tang adds that virtual currencies are ideal for concealing the identities of the crypto buyers and sellers dealing directly with criminals. Compelling criminals to “hide the origin, flow, and final destination of illegal proceeds”, she said.

Trading in digital assets needs people to set up digital wallets to store cryptocurrencies. The wallet owners are then given public and private keys to control their digital wallets and initiate transactions when necessary.

Tang declares the anonymous and private nature of crypto wallet addresses makes it ideal for criminals to hide their illegal loot into legitimate financial markets. Then clean the dirty money via crypto trading — evading law enforcement in the process.

So, cryptocurrencies are a fertile ground for syndicates to thrive in. Because they can easily recruit third parties to launder dirty money on their behalf. Or worse, carry out peer-to-peer transactions.

Tang also said the global Covid-19 pandemic creates a decent ecosystem for money laundering activities to flourish. Thanks to travel restrictions barring syndicates from physically moving illegal money across borders.

Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
Spotify’s Strange Move: The Feature Nobody Asked For – Returns
Manhunt in Australia: Armed Anti-Government Suspect Kills Police Officers Sent to Arrest Him
China Launches World’s Most Powerful Neutrino Detector
How Beijing-Linked Networks Shape Elections in New York City
Ukrainian Refugee Iryna Zarutska Fled War To US, Stabbed To Death
Elon Musk Sues Apple and OpenAI Over Alleged App Store Monopoly
2 Australian Police Shot Dead In Encounter In Rural Victoria State
Vietnam Evacuates Hundreds of Thousands as Typhoon Kajiki Strikes; China’s Sanya Shuts Down
UK Government Delays Decision on China’s Proposed London Embassy Amid Concerns Over Redacted Plans
A 150-Year Tradition to Be Abolished? Uproar Over the Popular Central Park Attraction
A new faith called Robotheism claims artificial intelligence isn’t just smart but actually God itself
Deputy Prime Minister Angela Rayner Purchases Third Property Amid Housing Tax Reforms Debate
HSBC Switzerland Ends Relationships with Over 1,000 Clients from Saudi Arabia, Lebanon, Qatar, and Egypt
Sharia Law Made Legally Binding in Austria Despite Warnings Over 'Incompatible' Values
Italian Facebook Group Sharing Intimate Images Without Consent Shut Down Amid Police Investigation
Dutch Foreign Minister Resigns Amid Deadlock Over Israel Sanctions
Trump and Allies Send Messages of Support to Ukraine on Independence Day Amid Ongoing Conflict
China Reels as Telegram Chat Group Shares Hidden-Camera Footage of Women and Children
Sam Nicoresti becomes first transgender comedian to win Edinburgh Comedy Award
Builders uncover historic human remains in Lancashire house renovation
Australia Wants to Tax Your Empty Bedrooms
MotoGP Cameraman Narrowly Avoids Pedro Acosta Crash at Hungarian Grand Prix
FBI Investigates John Bolton Over Classified Documents in High-Profile Raids
Report reveals OpenAI pitched national ChatGPT Plus subscription to UK ministers
Labour set to freeze income tax thresholds in long-term 'stealth' tax raid
Coca‑Cola explores sale of Costa coffee chain
Trial hears dog walker was chased and fatally stabbed by trio
Restaurateur resigns from government hospitality council over tax criticism
Spanish City funfair shut after serious ride injury
Suspected arson at Ilford restaurant leaves three in critical condition
Tottenham beat Manchester City to go top of Premier League
Bank holiday heatwave to hit 30°C before remnants of Hurricane Erin arrive
UK to deploy immigration advisers to West Africa to block fake visas
Nurse who raped woman continued working for a year despite police alert
Drought forces closures of England’s canal routes, canceling boat holidays
Sweet tooth scents: food-inspired perfumes surge as weight-loss drugs suppress appetites
Experts warn Britain dangerously reliant on imported food
Family of Notting Hill Carnival murder victim call event unmanageable
Bunkers, Billions and Apocalypse: The Secret Compounds of Zuckerberg and the Tech Giants
Ukraine Declares De Facto War on Hungary and Slovakia with Terror Drone Strikes on Their Gas Lifeline
Animated K-pop Musical ‘KPop Demon Hunters’ Becomes Netflix’s Most-Watched Original Animated Film
New York Appeals Court Voids Nearly $500 Million Civil Fraud Penalty Against Trump While Upholding Fraud Liability
Elon Musk tweeted, “Europe is dying”
Far-Right Activist Convicted of Incitement Changes Gender and Demands: "Send Me to a Women’s Prison" | The Storm in Germany
Hungary Criticizes Ukraine: "Violating Our Sovereignty"
Will this be the first country to return to negative interest rates?
Child-free hotels spark controversy
North Korea is where this 95-year-old wants to die. South Korea won’t let him go. Is this our ally or a human rights enemy?
Hong Kong Launches Regulatory Regime and Trials for HKD-Backed Stablecoins
China rehearses September 3 Victory Day parade as imagery points to ‘loyal wingman’ FH-97 family presence
×