Zhao’s digital wallet was Hong Kong police apprehended a scammer who defrauded $1.4 million in cryptocurrency.
Zhao’s digital wallet was Hong Kong police
On Sunday, Chief Inspector Lo Yuen-shan announced that four people, including a 14-year-old, had been arrested on suspicion of conspiracy to defraud, as well as possessing and using 5,000 counterfeit bank notes. The suspects were apprehended Friday at a self-storage facility in Mong Kok, where they kept the counterfeit cash.
Ambitious Cryptofraudsters
According to a South China Morning Post investigation on July 28, the crypto fraud organisation had a clear division of labour, with two masterminds sourcing counterfeit banknotes and establishing a bogus online cryptocurrency market to dupe unsuspecting victims.
The other two suspects were in charge of gathering the cash from the storage facility and transporting them to the masterminds, who had staged a nearby store to disguise the operation as a legitimate business.
The suspects would entice consumers by impersonating well-known cryptocurrency investors and offering to buy digital assets at prices higher than market values. This was followed by an invitation to the store, where victims were shown the “cash” and instructed to finish the sale online.
“The suspects did not allow victims to untie the stack of HK$1,000 banknotes because only the top and the bottom ones were authentic,” Lo told the newspaper.
After the transaction was completed, the suspects promptly They transferred cryptocurrency assets to a new account and refused to pay their victims, leaving them stranded. The syndicate allegedly utilised this approach to steal digital assets worth HK$11 million (about $1.4 million).
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Source : dailycoin.com