Thread: Alleged $229 Million Money Laundering Syndicate Disguised As Australian Currency Exch

Alleged $229 Million Money Laundering Syndicate Disguised As Australian Currency Exchange Dismantled

26-10-2023 (SYDNEY) Investigators have uncovered an alleged criminal syndicate that was operating a prominent money exchange chain in Australia as a front for a massive money laundering operation. The Australian Federal Police (AFP) dismantled the operation, known as the Changjiang Currency Exchange, which they claim was secretly run by the Long River money laundering syndicate. The syndicate is accused of laundering approximately $229 million in illicit funds over the past three years.


During nationwide raids, officers arrested several individuals connected to the syndicate, making it the most complex AFP-led money laundering investigation in Australian history. The accused, including Jing Zhu, Ye Qu, Ding Wang, Jin Wang, Jie Lu, Fei Duan, and Zuo Chen, appeared in the Melbourne Magistrates Court to face charges related to money laundering and conspiracy to conceal proceeds of crime.


Court documents allege that the co-accused conspired to conceal or disguise more than $10 million in money or property believed to be proceeds of crime between March 2021 and October 2023. The AFP asserts that all seven individuals conspired to deal with over $10 million in proceeds of crime during the period from March to October this year.


The Changjiang Currency Exchange, which operates 12 locations across mainland Australia, is now facing regulatory action by AUSTRAC, the Australian Transaction Reports and Analysis Centre. The AFP alleges that the currency exchange attempted to present itself as a legitimate money remittance company and even distributed anti-money laundering resources to customers. According to the AFP, they identified connections between known money laundering organizations and the Changjiang Currency Exchange, which raised suspicions when the company opened new shopfronts and updated existing ones in Sydney during COVID-19 lockdowns. Over the past three financial years, the Changjiang Currency Exchange has transferred more than $10 billion, with most transactions being lawful. However, the AFP alleges that the company facilitated the secret transfer of unlawfully obtained money by organized criminals in and out of Australia, totaling $228,883,561 between 2020 and 2023. The laundered funds are believed to have come from various criminal activities, including cyber scams, smuggling, and violent crimes.


The alleged syndicate’s modus operandi involved coaching criminal customers on creating fraudulent business documents, such as false invoices and bank statements, to disguise their illicit funds as legitimate. The Changjiang Currency Exchange would then transfer the unlawfully obtained funds domestically and internationally, claiming they were legitimate business profits and expenses.


The AFP claims that the syndicate’s operations involved not only money laundering but also tax evasion, with accomplices recruited within the financial sector. By working with both legal and illicit funds, the Changjiang Currency Exchange was able to process transfers of up to $100 million per day for customers in Australia and worldwide, effectively masking the laundering of tainted money.Assistant Commissioner Stephen Dametto of the AFP Eastern Command highlighted the uniqueness and complexity of the investigation. He stated that the alleged syndicate operated openly with multiple shopfronts across the country, unlike other money laundering organizations that tend to operate covertly. Dametto explained that during the COVID-19 pandemic, when most businesses were struggling, the investigators grew suspicious when they noticed the Changjiang Currency Exchange expanding its operations in Sydney.


The alleged syndicate members are accused of enjoying luxurious lifestyles funded by their money laundering activities. Dametto claimed that they dined at extravagant restaurants, consumed expensive wine and sake, traveled on private jets, drove high-end vehicles worth $400,000, and resided in lavish homes, including one valued at over $10 million.


The police have until January 17 of next year to prepare the evidence against the accused. The seven individuals are scheduled to return to court on March 13 for a committal mention. Although none of the defendants applied for bail, some barristers indicated the possibility of bail applications in the coming month.

Ah the global chinky crime syndicate at work again.