[2016-05-07] Bitcoin money laundering ring busted, say detectives

[BTCBinary]

Bitcoin money laundering ring busted, say detectives

Police authorities in Taiwan have cracked down on a money-laundering ring that used bitcoin currency in its activities, the Criminal Investigation Bureau (CIB, 刑事局) announced. In a released statement, the CIB said police authorities arrested eight suspects of the ring at a house in northern Taoyuan City on April 28. CIB said the house was where the ring set up its money laundering center. The case is now being probed by the New Taipei District Prosecutors Office with four of the eight suspects currently under detention, it noted. According to the CIB, the ring allegedly helped telecommunication fraud rings by laundering their money. Using a complex process and by taking advantage of an...

http://www.chinapost.com.tw/taiwan/national/national-news/2016/05/08/465515/Bitcoin-money.htm

[aso118]

Bitcoin money laundering ring busted, say detectives

Police authorities in Taiwan have cracked down on a money-laundering ring that used bitcoin currency in its activities, the Criminal Investigation Bureau (CIB, 刑事局) announced. In a released statement, the CIB said police authorities arrested eight suspects of the ring at a house in northern Taoyuan City on April 28. CIB said the house was where the ring set up its money laundering center. The case is now being probed by the New Taipei District Prosecutors Office with four of the eight suspects currently under detention, it noted. According to the CIB, the ring allegedly helped telecommunication fraud rings by laundering their money. Using a complex process and by taking advantage of an...

http://www.chinapost.com.tw/taiwan/national/national-news/2016/05/08/465515/Bitcoin-money.htm

I would have suspected that Bitcoin would be used to launder money and send it outside China, bypassing the capital controls in place.
In this case, it seems to be that laundering is done within China.

[TraderTimm]

To be honest, every time I see a spike in LTC I think its primarily due to laundering activity, since its cost basis is so low compared to BTC.

Wouldn't surprise me in the least if it was used in conjunction with BTC for laundering in China, seeing how most of their exchanges spoof volume anyway - its just a bunch of people gaming each other, non-stop.

[aigeezer]

Hey everyone, let's all meet inconspicuously at the ring house so we can, you know, "launder some money" using decentralized crypto technology. Once we're all in one place in order to, um, something or other, then somebody can invite the police to drop by.

Somehow this story doesn't pass the smell test, but then journalism can be like that.