Hualien City Council representative chairman, Li Zhenwei, was exposed to be involved in money laundering with cryptocurrency brokers, using deposit machines to evade bank monitoring. After intensive investigation, Li Zhenwei and several others were detained and released on bail.
(
Hualien’s well-known city council chairman caught up in virtual currency fraud storm, police and prosecutors launch comprehensive search
)
Table of Contents
Toggle
Money laundering technique exposed: Renting deposit machines to convert virtual currency
Involving an amount of up to 80 million NT dollars, multiple individuals are suspected of participating
Active crackdown by the Criminal Investigation Bureau and the prosecution
Remind the public to be vigilant
The Criminal Investigation Bureau found through its investigation that Li Zhenwei collaborated with a currency broker surnamed Zhang to convert a large amount of cash into virtual currency using rented deposit machines (ATMs with only deposit functions). These machines can deposit up to 8 million NT dollars at a time, and the money can then be transferred to specific company accounts, thereby evading the bank’s source of funds verification process.
Advertisement – Continue scrolling for more content
Deposit machine
Through the assistance of dummy company accounts and Zhang, Li Zhenwei is suspected of laundering an amount of up to 80 million NT dollars. Zhang not only provided money laundering tools but also charged a commission of 5% to 10% on the converted funds. In addition, several individuals were detained for purchasing virtual currency or acting as drivers.
Under the command of the Hualien District Prosecutor’s Office, the Criminal Investigation Bureau conducted a large-scale operation on March 19th of this year, including searches and seizures, and released Li Zhenwei, Zhang, and others on bail according to the law. This case also involves fraud and organized crime prevention, demonstrating the strict stance of the police and prosecutors against financial crimes.
The Criminal Investigation Bureau emphasized that with the ever-changing fraud methods, especially the rampant fraud under the disguise of investing in virtual currency, it urges the public to carefully consider and increase their vigilance when faced with various investment temptations to avoid economic losses.
Deposit machine
Money laundering
Hualien
Virtual currency
Further reading
The typical crime of “Telegram + virtual currency + foreign websites,” can Taiwan effectively combat it?
Taichung District Prosecutor’s Office prosecutes ACE Elite Exchange founder for alleged fraud, involving over 300 million NT dollars in virtual currency transactions.