China grappling with HFT activities run by foreign firms in its capital markets

China’s influential newspaper Caixin, recently investigated the renewed use of high-frequency trading (HFT) in China’s futures market, operated by foreign companies that, it reports, are incorporated under fictitious corporate purposes. According to Caixin, some HFT firms are ostensibly registered to engage in the trading of physical goods in China, when in reality they are engaged […]

China says 64% of its cybercrime cases involve financial fraud

China is reporting that in 2020, 64% of cybercrime involved financial fraud, including online illegal gambling, online illegal loans and illegal securities sold online on various platforms, such as WeChat and QQ. Many of the fraud cases involved Bitcoin and other digital currencies. In December 2020, the public security agency of China intercepted a transnational […]

Laundering fish – new report points to China and US$23 billion IUU proceeds of crime problem

China overfishing in distant waters A new report from Future Directions International (the “Report“), based in Australia, is highlighting concerns about illicit proceeds and the fishing industry, particularly with China. The Report, available here, says that China has the largest distant water fishing fleet in the world, estimated to be over 3,000 vessels, accounting for […]

York Regional Police bust alleged illegal casino in Ontario operating from luxury mansion by Chinese PEPs and seize $11 million in assets and cash, illegal guns and arrest 29

Project Endgame York Regional Police in Ontario announced the arrest of 29 people following the raid of an alleged illegal underground casino at a 20,000 square-foot mansion in Markham, Ontario, during the summer. The operation dubbed “Project Endgame”, resulted in several raids of alleged illegal underground casinos operating in York region. The first bust was […]

Over $3.2 billion missing in digital currency fraud in China; several Bitcoin exchanges shut down and many CEOs disappear with funds

A few weeks ago in China, several digital currency exchanges announced that they were suspending trading or shutting down operations altogether, leaving the recovery of potentially hundreds of millions of dollars of funds with those exchanges up in the air, and this after approximately US$3 billion went missing from two initial coin offerings (“ICOs“) in […]

Study in China identifies areas in China where most money launderers originate and finds that the number of suspicious activity reports filed does not improve effectiveness

According to money laundering law empirical research from China, a person from Fujian (the well-known Triad land) is most likely to be a money launderer, and the study also found that the filing of voluminous numbers of suspicious activity reports (SAR), does not lead to improved anti-money laundering results across any sector or in the […]

Q & A on White House sanctions over technology from foreign adversaries

Last Wednesday, the White House issued an executive order (the “Order“) under the International Emergency Economic Powers Act, 50 U.S.C. 1701, the National Emergencies Act, 50 U.S.C. 1601, and §301 of Title 3 of the United States Code, prohibiting transactions of hardware, software or other products or services that enable information processing, data processing, data storage, data retrieval or electronic communications […]