Seven bank employees collected money to help transnational criminal groups open corporate accounts, involving 6.3 billion yuan in money laundering

Burst

Written by: Deng Bailiang and Huang Weimin

2021-01-20 10:37

Last update date: 2021-01-20 13:32

A transnational criminal group arranged for 16 puppets to come to Hong Kong. With the help of a local mastermind, they used forged identity documents, false company information, turnover and sales contracts and other documents to open 14 corporate bank accounts in Hong Kong banks, which reported that It is engaged in trading and clothing industry.

In the past few years, criminal syndicates have used 6.3 billion yuan in money laundering.

The Commercial Crime Investigation Division of the Police also found seven bank employees involved in the case. They were suspected of instructing and modifying the account opening documents of criminal gangs, assisting in opening company accounts, and receiving remuneration of several thousand Hong Kong dollars for each account.

The police finally took action yesterday (12th) and arrested 5 men and 2 women on suspicion of "conspiracy to launder money."

This operation is also the first time that the police arrested a local banker who was involved in money laundering.

During the operation, the police seized a large number of documents, bank records, electronic equipment and cash.

(Photo by Huang Weimin)

The Superintendent of the Commercial Crime Investigation Bureau, Ye Yonglin, explained the facts of the case. According to the analysis and investigation, the Commercial Crime Bureau took "Operation Lingxiao" early in the morning yesterday (19th), raided a number of residential buildings, secretarial companies and bank offices in Hong Kong, and accused them of "collusion". "Conspiracy to launder money", arrested 5 men and 2 women. The arrested persons were between 30 and 37 years old. They were all current or former bank employees. Some of them were bank account managers. They did not have a criminal background.

The police believe that the operation has successfully dismantled a transnational economic criminal group, and the amount of money laundering involved in the case was as high as 6.3 billion yuan.

Ye Yonglin pointed out that this is the largest money laundering case uncovered by the police in recent years, and the police also arrested local bankers who were involved in money laundering for the first time.

During the operation, the police seized a large number of company documents, electronic equipment, and found 7.8 million yuan in cash in the public housing unit of one of the arrested persons.

The operation continued, and the police did not rule out another arrest.

The police explained the whole criminal technique.

(Photo by Huang Weimin)

Chief Inspector Lu Zhenzhong of the Commercial Crime Bureau explained that the case originated from an email scam that occurred in the UK in 2017.

At that time, the police discovered that the US$2 million lost by a Swiss company had been deposited into a number of corporate accounts in Hong Kong via a British bank.

The police subsequently arrested one of the bank account holders, who was also sentenced to 30 months in prison in the District Court in 2018 for conspiracy to commit money laundering.

However, the Commercial Crime Division did not stop the investigation. Instead, it continued to track down the behind-the-scenes and the whereabouts of the proceeds of the crime. Eventually, it was discovered that the account holder was originally employed by a transnational economic crime group and had repeatedly received remuneration to open a bank account in Hong Kong. Illegal use.

Senior Inspector Zhu Jianhua pointed out that the criminal syndicate will arrange a one-stop money laundering program and arrange 16 puppets from Belgium and the mainland to come to Hong Kong.

After the 16 puppets arrive in Hong Kong, they will first contact the local mastermind, and then use the forged identity documents, false company information, turnover and sales contracts and other documents of the local mastermind to open company accounts in Hong Kong banks.

The local mastermind also colluded with 7 bank employees, who used their internal knowledge of the bank to guide and modify account opening documents.

With the assistance of bank staff, 16 puppets opened 14 company accounts in Hong Kong banks from 2017 to 2018.

And the seven bank employees charge thousands of Hong Kong dollars for each bank account.

Chief Inspector of Commercial Crime Investigation Division Lu Zhenzhong (left), Superintendent Ye Yonglin (middle), Senior Inspector Zhu Jianhua (right) (Photo by Huang Weimin)

The police investigation found that 14 company accounts handled a total of 6.3 billion suspected criminal proceeds from 2017 to 2020. One of the accounts handled approximately 3.3 billion suspected criminal proceeds from 2018 to 2019. The relevant funds came from Italy, Vietnam, and Vietnam. Germany and other places.

Since seven bank employees conspired to apply for a bank account with the local masterminds, they may have committed money laundering crimes.

After the investigation was mature, the Commercial Crime Division arrested 7 bank employees at their residences or in the bank. They mostly held positions such as bank account managers, and they mainly helped customers open bank accounts on weekdays.

Among the 14 company accounts reported, there were 5 duplicate secretarial companies, and the police went to the secretarial companies to search for a large number of documents.

Chief Inspector Lu Zhenzhong pointed out that the police will continue to follow the direction of wealth investigations and maintain intelligence exchanges with local and overseas law enforcement agencies.

The police have notified the Monetary Authority of this case. Superintendent Ye Yonglin pointed out that Hong Kong is a highly outward-looking financial center and it is inevitable that criminals will use money laundering. However, the police will continue to cooperate with the international community to combat money laundering crimes. As a member of the Action Special Organization, the police will follow international standards to combat money laundering crimes, and will regularly review the system with the industry to maintain Hong Kong's status as an international financial center.

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