Authorities in Hong Kong and Macau have recently announced arrests in connection with the alleged fraud involving JPEX, a crypto exchange. Additionally, they have stated that they are currently searching for other individuals who may be involved in the case.
On September 29th, Hong Kong’s Radio Television Hong Kong reported that they had arrested two men from Hong Kong who are alleged to be involved in the JPEX case. The report indicated that the two arrested men allegedly created accounts at casinos in Macau, which they allegedly used to launder funds obtained illegally.
After arresting the two suspects accused of laundering funds through Macau casinos, Hong Kong police reportedly seized over 14 million Hong Kong dollars ($1.7 million) in casino assets and cash.
In another report, the South China Morning Post revealed that they had arrested two more individuals in the case, and one of the suspects was allegedly found destroying potential evidence in an apartment, using paper shredders and bleach.
According to the South China Morning Post, the latest arrests bring the total number of detained suspects to 18, and the police seized an additional 8.7 million HKD ($1.1 million) worth of cash and gold in three separate apartments.
The JPEX scandal began when Hong Kong’s financial regulator issued a warning against the exchange, citing its lack of proper licenses to offer its services in Hong Kong. After the warning, the exchange increased its withdrawal fees to nearly $1,000, and its staff abandoned their booths at the Token 2049 event in Singapore.
However, since the start of the JPEX investigation, the authorities have arrested multiple individuals associated with the case, including crypto influencers and employees of the exchange. However, the authorities have yet to apprehend the alleged masterminds behind the JPEX fraud, and Interpol has been enlisted by the Hong Kong police to track down the suspects.
Meanwhile, the JPEX scandal has now become one of the largest fraud cases in Hong Kong’s history, with over 2,300 victims reporting losses totaling around $178 million.
Chris Tang Ping-keung, Hong Kong’s Secretary for Security, has vowed to seek justice for the victims and to continue the search for the individuals responsible for the JPEX fraud.