一、

Investigating Departments:
Taiwan New Taipei District Prosecutors Office, International Criminal Affairs Division of Criminal Investigation Bureau, New Taipei City Police Department- Yonghe Precinct, Taipei City Police Department - Criminal Investigation Division, Taoyuan Police Department – Pingzhen Precinct, First Precinct of Chiayi City Police Bureau
 

二、
 

Time of Seizure: April 8, 2024, April 18, 2024, August 19, 2024
 

三、

Location of Seizure: New Taipei City, Chiayi City
 

四、

The apprehended suspects include:
Sun XX (suspected to be the key financial backer of the cryptocurrency exchange), Cheng XX (alleged operator of the exchange), Wang XX (employee of the exchange), Wang XX (alleged operator of the virtual currency money laundering operation), Lin XX (suspected money launderer dealing in cryptocurrency), Chiang XX (alleged financial backer of the scam call center), Lo XX (alleged scam call center operative), and 13 others.
 

五、

Spoils and evidence seized Evidence and Illicit Items Seized:
(一)Authorities searched and seized the following items: 9 desktop computers, 26 mobile phones, 2 laptops, 3 tablet, NT$ 1.16 million in cash (New Taiwan Dollars), 3 WIFI routers, and 3,465 USDT (Tether).
(二)Seizure Orders Approved:

1. Real Estate: NT$15 million property seized from Chiang XX, alleged financial backer of the scam call center.
2. Cryptocurrency: 634,450 USDT (Tether), valued at approximately NT$20.41 million, frozen in wallet of Sun XX, suspected key financial backer of the exchange.

六、

Case Summary:
(一)In December 2023, the Criminal Investigation Bureau, in collaboration with the US Homeland Security Investigations, successfully dismantled a fraud operation involving engineers, system vendors, and advertising companies. Through comprehensive financial and digital intelligence tracking, authorities further uncovered a cryptocurrency exchange and fraudulent call centers connected to the operation.The investigation resulted in the arrest of 13 suspects, with 7 individuals remanded in custody by court order. Law enforcement seized over NT$36 million (approximately US$1.15 million) in illegal proceeds, including real estate properties and cryptocurrency assets.This operation effectively severed the entire fraud group's industrial chain, demonstrating significant results in the ongoing fight against organized fraud schemes.
(二)Cracking Cryptocurrency Exchange:

1. Analysis of cryptocurrency transactions revealed the fraud group was collaborating with a cryptocurrency exchange for money laundering operations. Investigators discovered that while the exchange maintained physical premises, it operated without legally required licenses or permits.The exchange used motorcycle repair shops and temples as fronts for its actual operations—serving as money laundering and transaction points. The Criminal Investigation Bureau conducted two major enforcement operations in April and August 2024, confirming the cryptocurrency exchange's involvement in multiple fake investment fraud cases with total financial damages exceeding NT$40 million (approximately US$1.28 million).
2. Further investigation identified the exchange's owner, Mr. Sun (full name withheld), as having ties to organized crime. Sun operated a physical cryptocurrency shop in Zhonghe District, New Taipei City, which specifically collaborated with fraud groups.When fraud victims followed instructions from scammers to purchase cryptocurrency at Sun's establishment, Sun would direct his team members to use the fraudulently obtained funds to purchase cryptocurrency at low prices through legitimate channels. These funds would then be laundered through multiple cryptocurrency wallet layers before being sold to fraud victims at inflated prices, allowing the operation to profit significantly from the price differences in these cryptocurrency transactions.
3. The operation led to the arrest of nine individuals, including the cryptocurrency shop owner Mr. Sun and his associates Mr. Wang and Mr. Lin (full names withheld), who operated as cryptocurrency dealers under his direction. Of those arrested, five suspects were remanded in custody by court order.Authorities seized illegal proceeds including NT$1.16 million in cash and 3,465 USDT (Tether)(approximately NT$113,652 or US$3,644) during the operation.

(三)Cracking Fraud Call Centers:

1. In addition to intercepting the financial flows of the fraud operation, investigators traced fraudulent websites to a server room located in a community building in Tucheng District, New Taipei City. The server operation was run by Mr. Jiang (full name withheld), who also has connections to organized crime.Jiang recruited three associates, including Mr. Lo (full name withheld), who engaged potential victims through cold calls and Facebook community groups. The team would establish rapport with targets before strategically sending them links to fraudulent investment platforms such as "TIFFIN," "arbutuse.com," and "FORTRESS," encouraging individuals to invest their money on these fake platforms.
2. In April 2024, authorities executed a raid operation that uncovered the fraudulent call center's involvement in multiple fake investment fraud cases with total financial damages exceeding NT$3 million (approximately US$96,000). The operation led to the arrest of four individuals, including the call center owner Mr. Jiang and his subordinate operator Mr. Lo (full names withheld).Two of the suspects were remanded in custody by court order. Authorities seized one real estate property owned by Jiang, valued at approximately NT$15 million (approximately US$481,000).

七、

The Criminal Investigation Bureau continues to strengthen its technological investigation capabilities, utilizing digital forensics and cryptocurrency flow analysis techniques to combat fraud crimes, protect citizens' financial security, and eliminate illegal operations.Authorities caution that fraud groups commonly use fake investment schemes to deceive victims, directing them to seemingly legitimate exchanges for cryptocurrency purchases, which are then transferred to shell wallets controlled by the criminal groups to facilitate money laundering.Anyone with concerns is encouraged to verify legitimate registered businesses through the Financial Supervisory Commission's Securities and Futures Bureau official website (https://www.sfb.gov.tw/ch/home.jsp?id=1053&parentpath=0,8) or call the 165 Anti-Fraud Hotline for consultation.