Police have arrested a fraudulent group of no less than 15 members on charges of cryptocurrency scam in Taiwan.
Cryptocurrency Scam not Abating in Asia
The rate of cryptocurrencies scam which seemed to heighten especially in Asian countries towards the end of last year has shown no signs of stopping or even lessening soon. While earlier reports have been putting the spotlight on the fraudulent investment schemes that are becoming popular in India, Taiwan has now recorded its second crypto fraud case in 2019 alone.
The news which was reported by a local news outlet, Focus Taiwan on Saturday, informed that fifteen suspects in New Taipei, Taiwan were recently arrested on two separate occasions. The first raid was successfully carried out earlier in the year on the 9th, and it was only a week later that the second raid arrested all fifteen suspects in the fraud ring.
According to the Criminal Investigation Bureau (CIB), the group which was led by a man named Lin, managed to defraud more than thirty people of NT$ 250 million (USD 8.13 million). The fraudulent heist was carried out using the already existing IB coin. IB coin, hardly listed in any exchange was created mainly to target the adult entertainment industry, according to its management.
Lin would use his connections and influence with IB coin to purchase the token at NT$ 1.5 per coin, and employ others in the ring to help sell off the token at no less than NT$ 50 per token, while promising high returns. The fraudulent crypto investment scheme was even carried out on Facebook, and Lin’s hired hands helped sell the lie by flaunting off their fake earnings on social media, showing off expensive cars and luxury vacations or purchases. The raids carried out recovered NT$ 2.02 million on site, along with some vehicles and a hardcopy guide detailing fraudulent procedures.
The case was first brought to the Police’s attention late last year in September, and many victims have since reported no returns whatsoever on their investment, with a victim being duped of more than NT$ 10 million alone.
Taiwan is not the only Asian country to have been caught in the webs of cryptocurrency scam in 2019, as reports of a similar fraud were also recently discovered in India, after unfortunate victims were scammed of a more than 5 billion rupees ($7 million).