Chinese police bust a $124M scam in Zunyi city

The case is from Chinas Guizhou provinces city Zunyi and the authorities were working on it for about two months.
The case is from Chinas Guizhou provinces city Zunyi and the authorities were working on it for about two months.

China’s southward region police bust a gang of people laundering the stolen money using cryptocurrencies. As per the media reports, the theft involves 800 million Yuan (around $124 million). The case is from China’s Guizhou province’s city, Zunyi, and the authorities were working on it for about two months.

According to a local media channel, authorities of the Zunyi were following the orders from State Council and China’s cabinet minister.

The reports also reveal that the Chinese police have arrested 100 suspects involved in 332 telecom fraud cases around the country.

Notably, the Chinese government had announced a complete crypto crackdown in the country on September 24, declaring any crypto-related activity as illegal, be it mining or trading. The legislature of the country has also announced bringing new laws to punish any crypto mindset by classifying them under criminal offense.

The money-laundering case has brought sensations among citizens, and the government believes that there are many more such money laundering groups working in the country.

Gang in Zunyi city used 500 bank cards to conceal

This gang was able to hide from the police in Zunyi by smartly using around 500 bank cards and transacting the funds in small amounts.

The accused opened trading accounts on different crypto exchanges, including Binance and Huobi, using the collected information and increased the amount by buying low and selling high. They have laundered stolen funds through telecom fraud and, when caught, pretended to be some company’s recruiters.

Today, WeChat, the viral messaging app of the country, has blocked searches for “Binance” and “Huobi.” It has earlier blocked the searches for “Baidu” and “Weibo” under the crackdown drive of the country.

Zunyi is a tourist-attracting city with around 6 million population. The city is known for its crucial role in the Communist Party as it is the city where Mao Zedong started the foundation of the party during a meeting.