According to Odaily, the Lanzhou City Public Security Bureau recently conducted a cross-province operation to dismantle a criminal gang involved in money laundering and fraud using virtual currency. The operation led to the arrest of 15 suspects and the resolution of 15 cases.
In one of the cases, a victim, Ms. Liao, was deceived by an online acquaintance who claimed to be a military officer. The 'officer' persuaded her to open an investment account with the promise of high returns. Ms. Liao transferred 150,000 yuan as an 'account opening fee' to her friend's account. After seeing the 'officer's' friend manage the account and make a lot of money, Ms. Liao withdrew 1 million yuan on May 1st and converted it into U coins for investment. She added another 1 million yuan on May 3rd, only to find out later that she could not withdraw the funds.
Preliminary investigations revealed that this case was a new type of telecommunications network fraud. The fraud gang contacted potential victims through social platforms and dating websites, established trust, and then used emotional manipulation and investment temptation to induce victims to register on the designated virtual digital platform and use virtual currency for recharge.
The fraud gang laundered the received U coins through virtual currency platform transactions, converting them into other forms of funds or currencies. The process may involve multiple accounts and trading platforms to cover up the flow of funds and evade police tracking. The case is still under further investigation.
