Wuhan Authorities Bust $140M Crypto Money Laundering Ring

A law enforcement agency in Wuhan, China, apprehended 27 individuals suspected of participating in a sophisticated crypto money laundering and criminal enterprise worth 1 billion yuan (approximately $140 million).

Local media agencies reported that the arrests occurred in provinces and cities, including Changchun in Jilin, Dongguan in Guangdong, and Deyang in Sichuan.

The successful dismantling of the money laundering syndicate resulted from an exhaustive three-month investigation on August 6, when the police were notified of an RMB 350,000 fraud against a company.

The center immediately initiated a special investigation team and arranged an emergency halt payment for the fraudulent funds in response to the situation.

A crucial suspect, Li, was identified through the investigation; his bank card was utilized to transmit the fraudulent funds.

The police could trace and apprehend Li through the collaboration of various law enforcement agencies; this action exposed his participation in a more extensive online money laundering network.

Authorities in China detained twenty-one individuals earlier this year concerning a $54 million USDT money laundering operation.

Additional investigation revealed the complex operations of the money laundering syndicate, primarily coordinated by the principal offender, Xiang (pseudonym), and his core members, who were situated primarily in Sichuan Province.

The criminal organization functioned with well-defined structures and positions among its individuals, managing more than 300 cases and hundreds of bank cards.

The Wuchang police implemented an expeditious and persistent course of action this month by forming a special arrest squad and deploying seven teams to strategic Chinese regions affiliated with the gang, such as Deyang, Sichuan, Changchun, Jilin, Dongguan, and Guangdong.

The endeavor led to the capture of twenty-seven individuals associated with the network.

The inquiry unveiled that Xiang Mou, the primary suspect, had been employing the “Airplane” software since April of this year to communicate with his “upline” and orchestrate gang members’ use of stolen funds to buy cryptocurrencies online.

The virtual currency was transferred to the upline account, earning commissions and facilitating money laundering for electronic fraud organizations.