Indian police recently destroyed a transnational money laundering network serving a Chinese scam group in Lucknow, arresting 8 local residents and revealing how the scam syndicate used the Telegram platform and cryptocurrency channels to launder large amounts of illegal funds, attracting widespread attention.
According to the Lucknow cyber police report, the police found 175,000 rupees in cash, 12 mobile phones, 13 bank cards, 2 bank passbooks, and 3 checkbooks at several suspects' residences. Investigations showed that these suspects had long served as "money laundering agents" for the Chinese scam group, quickly converting the proceeds of the scams into the cryptocurrency USDT (Tether), and then transferring it to wallet addresses controlled by the Chinese side.
Law enforcement officer Kamlesh Dixit revealed that the suspects were controlled by multiple specific command groups on Telegram, such as "32-105/1", "32-105/3", "32-105/5 PAYGir G0!" etc. The scam group often posed as "cryptocurrency investment platforms", "order brushing groups", or "remote work projects" to lure Indian citizens to remit money. Once successful, the funds were immediately transferred abroad, making them difficult to trace.
To evade regulation, the suspects also recruited impoverished individuals to open bank accounts under the guise of "card issuance rebates", then handed over the account and online banking information to the masterminds behind the scenes. Once the scam was successful, the operators immediately ordered withdrawals or transfers, bypassing risk control scrutiny.
The police have filed cases under the New Penal Code (BNS) sections 317(2), 318(4), 61(2)(B), and the Information Technology Act section 66C, and are currently expanding their investigation to trace the flow of USDT and its encrypted path between the Chinese wallet addresses.
The law enforcement authorities emphasized that cryptocurrency has become an important tool for telecom fraud and money laundering, and will promote stricter regulatory measures and seek cooperation with international police organizations to combat the underlying cross-border black industry network.
