Hong Kong steps up awareness of money laundering, scam risks for migrant workers

Hong Kong police and various consulates in the city have stepped up efforts to educate migrant workers about money laundering and scam risks, following an uptick in cases among certain ethnic minority groups.

Chief Inspector Kamy Lee Ka-wai of the force’s financial intelligence and investigation bureau said police had ramped up collaboration with consulates and religious organisations to engage with ethnic minority residents and workers since last year.

She said the main reason members of ethnic minorities fell victim to money laundering or scam traps was a lack of understanding of Hong Kong laws, rather than language barriers.

“Some of them will say that they didn’t know that one cannot rent, sell or lend their bank accounts to others in Hong Kong,” Lee added, referring to the tactic used by syndicates to launder money through stooge accounts.

The chief inspector said many stooge account holders often mistakenly assumed they were exempt from wrongdoing because they were not directly involved in using their accounts for criminal activity or receiving suspicious funds.

Under Hong Kong law, lending, selling or renting one’s bank account for criminal use is illegal. Such account holders are liable for a maximum penalty of 14 years and a fine of HK$5 million (US$643,560) under a money laundering offence.