Last updated on August 31st, 2025 at 01:17 pm
Local authorities in Hong Kong have arrested three individuals suspected of defrauding a businessman of HK$3.11 million (approximately US$399,000) worth of cryptocurrencies.
According to local reports, the scammers lured the victim by promising to exchange his cryptocurrency holdings for cash at an appealing rate. However, after transferring his HK$3.11 million in USDT to a wallet controlled by the fraudsters, the victim received counterfeit HK$1,000 banknotes. These fake banknotes were “training notes” — which are typically used for training bank staff. Although these mock banknotes look genuine, they lack critical security features such as watermarks.
The scammers cleverly presented two authentic HK$1,000 notes atop bundles of these fake bills, creating an illusion of legitimacy. When the victim requested to inspect the banknotes further, the scammers allegedly refused, claiming they lacked authorization from the store manager.
The scam operation was reportedly conducted in Hong Kong’s Mong Kok area, known for its bustling marketplace. During a raid on the scammers’ office, authorities seized 10,978 counterfeit banknotes.
The arrested individuals face charges of obtaining property by deception and possession of counterfeit banknotes. If convicted, they could face penalties of up to 10 years in prison for deception and up to 14 years for producing or circulating counterfeit currency.
This incident is not isolated, as Hong Kong has witnessed a troubling surge in similar crimes. Between January and April 2024, local authorities reportedly confiscated 3,396 fake notes with a face value of HK$2.55 million (US$326,130). In a separate but related operation, police seized 3,000 “hell banknotes” – replica currency used in traditional Chinese rituals – along with a safe, and a note-counting machine from a cryptocurrency exchange shop in the Tsim Sha Tsui region.
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