Police arrest 12 in HK$118m cross-border money laundering bust

Hong Kong police have dismantled a cross-border money laundering syndicate operating in the city and mainland China, arresting 12 people—nine men and three women aged between 20 and 41.

The suspects include two core members of the syndicate and 10 mainland Chinese nationals who acted as "stooge account" holders. They have been charged with conspiracy to launder money.

The syndicate allegedly rented a unit in Mong Kok as its base and, since July last year, recruited mainlanders to travel to Hong Kong to help set up shell bank accounts and withdraw cash, which was then converted into cryptocurrency.

Police said the group used more than 550 local bank accounts and conducted virtual asset transactions to launder nearly HK$118 million in illicit funds. Of this amount, HK$10 million has been linked to 58 reported fraud cases.

Officers arrested two suspects on Thursday as they withdrew cash from a stooge account. Further raids on the syndicate’s base and other locations led to the arrest of the remaining members.