The crowdfunding platform “Xinghuo Alliance” claiming to support the “anti-extradition” protesters is suspected of money laundering. The police investigation found that the donations from the platform did not match the claimed purpose, and were even used for insurance investment, repayment of private cards, etc. The court applied to freeze about HK$70 million in the account. Today (26th), a forfeiture order was successfully issued. The police respect and welcome the ruling.
Superintendent Zou Xiangyou of the Police Financial Intelligence and Investigation Division (Wealth Investigation Division) said that three men and one woman (aged 17 to 50) were arrested in the case, two of whom fled Hong Kong in 2020 and 2021 respectively.
Zou pointed out that the crowdfunding platform raised HK$80 million between June and November 2019, and the money was deposited into multiple accounts of private companies.
The police investigation found that the crowdfunding proceeds were contrary to the platform’s claimed purpose. The funds were used to buy private insurance and find cards. It was suspected that someone was using the platform to launder money. Prosecution of the proceeds of crime” (commonly known as money laundering) arrested four people.
Donations are used to buy private insurance and find cards
Police investigations show that the platform has received a total of more than 80 million yuan in donations.
Among them, $8.7 million was transferred to the private accounts of the four arrested persons, of which about $1 million was used to purchase private insurance and find private cards.
In addition, 3.4 million yuan of donations was withdrawn and transferred to unknown accounts for unknown purposes.
So now there are about 70 million yuan left in the frozen account.
The police remind the public that according to the laws of Hong Kong, anyone who knows or has reasonable grounds to believe that a property, in whole or in part, directly or indirectly, handles the property for the benefit of crime, is committing the crime of money laundering; Sentenced to a $5 million fine and 14 years in prison.
The police appeal to the public to pay attention to the background of the fundraiser or organization and the purpose of the donation when making donations through any channels, so as to avoid being used by criminals.
If in doubt, report it to the police.
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