One more arrested in crackdown on illegal ride-hailing scheme

Hong Kong police have arrested an additional suspect in connection with a criminal syndicate exploiting Alibaba's ride-hailing platform, AutoNavi Taxi (Gaode Taxi), to operate illegal passenger services using unlicensed mainland drivers, bringing the total number of arrests to eight.

The 47-year-old local man, surnamed Law, was detained on suspicion of conspiracy to defraud. The raid on Sunday also saw police seized nine private cars in the New Territories believed to be linked to the crime syndicate.

The investigation began after residents reported that drivers booked through the platform appeared unfamiliar with local routes and spoke Cantonese with heavy accents.

Following these reports, police arrested two mainland male drivers, aged 41 to 50, on suspicion of illegal carriage of passengers for hire, driving without proper insurance, and breaching stay conditions. The drivers have been charged with judicial proceedings ongoing.

Police said in a press conference earlier that the syndicate registered 18 hybrid private sedans of the same make and model under a single address while creating platform accounts using fabricated identities.

Since mid-year, the group had recruited mainland drivers to enter Hong Kong as tourists, obtain driving permits, and use ride-hailing accounts to provide illegal services. Earnings were split with drivers in cash after each ride.

The operation has so far led to multiple arrests, including two local men and one local woman suspected of conspiracy to defraud, money laundering, aiding breaches of stay conditions, and illegal use of vehicles for hire.

A 46-year-old local woman and a 36-year-old mainland woman were also arrested last Saturday on charges of conspiracy to defraud and aiding breaches of stay conditions. All five have been released on bail pending further investigation.