Malaysian Police Bust Crypto Investment Fraud Call Center Targeting Japanese Citizens
21 individuals, aged between 22 and 37 were arrested.
The Royal Malaysian Police (PDRM) has dismantled a crypto investment fraud call center in Kuala Lumpur, which allegedly targeted Japanese citizens.
The bust occurred on August 19, following coordinated raids on two upscale residential properties in the capital, according to a report from The Edge Malaysia .
During the operation, 21 individuals, ranging in age from 22 to 37, were arrested.
The group consisted of a Malaysian man, 16 Chinese nationals, including one woman, a Laotian woman, and one man each from Hong Kong and Myanmar.
Crypto Fraud Call Center Operational for a Month
According to Datuk Seri Ramli Mohamed Yoosuf, Director of the Bukit Aman Commercial Crime Investigation Department (CCID), the foreign suspects were employed as customer service representatives.
On the other hand, the local man was identified as the caretaker of the call center.
“The call center had been operational for only a month. The syndicate operated out of luxury bungalows, surrounded by high-security fences and located far from main roads, to avoid detection,” Ramli revealed during a press conference at Menara KPJ.
The fraudulent scheme involved luring victims through social media platforms such as Tinder and Monsters.
Once contact was established, victims were persuaded to invest using the Bitbank and CoinCheck applications.
The investigation also uncovered that the syndicate members had entered Malaysia on social visit passes and were paid commissions equivalent to 20% of the defrauded sums.
In addition to the arrests, police confiscated 17 computer systems, 55 mobile phones, a router, a set of keys, and two alarm units.
The local suspect was released on police bail on August 25, while the remaining 20 individuals remain in remand under the Immigration Act 1959/63.
The case is being investigated under Section 420 of the Penal Code, which deals with cheating and dishonesty.
Six Malaysians Charged with Kidnapping, Demanding Ransom
In a separate incident, six Malaysian nationals, including a married couple, have been charged with kidnapping a Chinese citizen and demanding a ransom of 1 million USDT.
The suspects, aged between 25 and 29, allegedly abducted the victim on July 11 at an expressway exit linking Kuala Lumpur and Putrajaya.
Furthermore, Deputy Minister of Energy Transition and Water Transformation, Akmal Nasrullah Mohd Nasir, recently disclosed that illegal crypto-mining operations have led to significant electricity theft, costing the country an estimated $723 million between 2018 and 2023.
The Malaysian authorities have been cracking down on cryptocurrency miners since at least August 2019, with Nasir emphasizing that these procedures are carried out in accordance with the country’s criminal procedure laws.
Some seized machines have even been crushed by a steamroller as part of the disposal process.
In addition to addressing illegal mining operations, Malaysian authorities have taken action against unregistered cryptocurrency exchanges.
In May last year, the Securities Commission Malaysia ordered Huobi Global, a cryptocurrency exchange, to cease its operations as it had failed to register its trading services.
Currently, HATA Digital, Luno, SINEGY, MX Global, Tokenize Technology, and Torum International are the only registered cryptocurrency trading platforms in Malaysia.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
MARA's stock jumps after raising $1 billion via convertible notes to buy more bitcoin
MARA Holdings announced the successful closing of its $1 billion offering of 0% convertible senior notes due 2030.The bitcoin miner plans to allocate around $199 million of the proceeds to repurchase $212 million in principal of its existing convertible notes due 2026. The remaining funds will be used to acquire more bitcoin.
Gold loses luster as institutional demand fuels bitcoin price surge, analysts say
Bitcoin’s 46% surge over the past month, contrasted with gold’s 3% decline, highlights a shifting investor preference toward alternative store-of-value assets, analysts say.Derivatives traders are buying up bitcoin call options ahead of Trump’s inauguration, signaling strong bullish sentiment for the beginning of 2024.
SEC is 'engaging' Solana ETF applicants: report
SEC “engaging” on Solana ETF applications, sparking optimism for potential approval in 2025.VanEck, 21Shares, and Bitwise lead Solana ETF filings amid pro-crypto White House hopes.SOL token rises 4.6% to $247.91, bolstered by Solana’s strong DeFi ecosystem and demand.
Shiba Inu Developer Says SHIB Is No Longer a Memcoin