Dummy account holder gets enhanced four-year jail term over $11.6m money laundering

A 34-year-old man was sentenced to four years in prison on Thursday after pleading guilty to one count of money laundering, having used his dummy bank account to launder approximately HK$11.6 million in connection with an investment fraud case.

The case stems from an investment scam reported in July 2024, in which a victim was lured by fraudsters posing as investment experts into opening an account on a fake mobile application to invest in cryptocurrency.

Following the fraudsters' instructions, the victim transferred funds into multiple local bank accounts, losing a total of HK$29 million, which was funneled through 19 local bank mule accounts.

To deter the illicit use of dummy accounts, the prosecution applied for an enhanced sentence under Section 27 of the Organized and Serious Crimes Ordinance (OSCO).

The court approved the application, granting a 20 percent increase to the defendant's sentence. This addition extended his prison term by eight months, resulting in a final sentence of 48 months.

Police stated that a total of 516 individuals have received enhanced sentences, ranging from two months to 18 months, for renting, lending, or selling their bank accounts for money laundering since October 2023.

The authorities warned that the severe legal consequences of money laundering far outweigh any short-term financial gains offered by criminal syndicates, and reiterated that the police will continue to work alongside the Department of Justice to apply for enhanced sentences in appropriate cases.

𝗗𝗼𝘄𝗻𝗹𝗼𝗮𝗱 𝗧𝗵𝗲 𝗦𝘁𝗮𝗻𝗱𝗮𝗿𝗱 𝗔𝗽𝗽 ↓