, from the suspect's luggage in a train in China.){kind=link}
Two passengers on a train suspected fraudulent activity from their fellow traveller due to unusual behaviour. They promptly reported their concerns to the train police.
Subsequently, the Changtie police searched and seized a substantial amount of cash, approximately 560,000 yuan (approximately $76.8K), from the suspect’s luggage.
What Happened?
The Xiaoxiang Morning News reported on January 22nd that this case involved a sophisticated fraud scheme. Criminals transported cash using ride-sharing services and laundered the proceeds through virtual currencies.
The case has been transferred to the Gansu Provincial Police for further investigation. Notably, the victim, Mr. Gao, has already recovered over 100,000 Yuan of the stolen funds.
On October 16, 2024, the G813 train was travelling from Zhengzhou to Wuhan. Two people on the train noticed something strange about the man sitting next to them. This man was using a special app to talk about buying and selling things called “virtual money.” The two people thought this might be illegal, so they told the police at the Changsha Railway Police Station.
Seize $76.8K Linked to Virtual Asset Fraud in China
The train police came quickly to talk to the man. After asking him questions, they learned his name was Zeng, he was 33 years old, and he lived in Ganzhou, Jiangxi Province. He got on the train in Lanzhou and was going to Wuhan.
Zeng said he didn’t do anything wrong and didn’t have any bags with him, but the police talked to the other passengers and checked all their bags. They found a black bag that belonged to Zeng. Inside the bag, they found a lot of money—more than 560,000 Yuan.
When the police asked Zeng where he got the money and why he had it, he couldn’t give a good answer. This shows how important it is to be observant and report anything suspicious.
Also Read: US OFAC Cracks Down on Tether-Fueled Russian Money Laundering Scheme
Money Laundering Related to Virtual Money
The police took Zeng to the police station. They checked his phone and found he was using an app to buy and sell something called “virtual money.” They also found a receipt for a package sent from Tianshui, Gansu.
The police in Tianshui, Gansu, told them about a case where someone was tricked into sending over 100,000 Yuan to a hotel in Lanzhou. This money was supposed to make them more money, but it was a scam. The police found that the money seized from Zeng matched the money that was stolen in the scam.
Zeng finally admitted that he received a lot of money – over 560,000 Yuan – five times from different places. He was told to take this money and use it to buy “virtual money” for someone else. He knew this might be money from a scam, but he still did it to make money.
The police officer said that scammers are getting smarter. They trick people into sending money in different ways, like using ride-sharing apps or delivery services. They don’t even meet the person they are giving the money to.
This case highlights the growing concern of cryptocurrency being exploited for money laundering. As the use of cryptocurrencies increases, so do the opportunities for criminals to conceal and move illicit funds.
Authorities worldwide are working to combat this trend by strengthening regulations and enhancing investigative techniques to track and disrupt these criminal activities.
Also Read: Indian National Sentenced to 10 Years in Prison for Money Laundering Scheme Worth $20M