Crypto scam: 99 arrested in Philippine raid on Chinese-run center

As a seasoned crypto investor with a decade of experience under my belt, I must say that news like this one from Manila sends a mixed bag of emotions. On one hand, it’s heartening to see law enforcement taking action against such blatant scams that have been plaguing our community for far too long. The arrest of nearly 100 individuals involved in these crypto and romance scams is undoubtedly a step in the right direction towards maintaining investor confidence and ensuring a secure trading environment.


Philippine law enforcement executed an early morning operation at a fraudulent operation run by Chinese operators in Manila on August 22, apprehending approximately 100 people who were part of cryptocurrency and romance scam activities.

On August 22, a Chinese-operated fraudulent investment scheme was targeted by Philippine authorities during a raid in Manila. Several Filipino and international staff members were apprehended as they had been deceiving individuals into making false investments, as reported by Barrons.

1) The establishment was running crypto and romance scams. This involved scammers posing as wealthy models to deceive victims into investing on a trading platform. Hiding behind the facade of a legitimate online gaming firm, this operation was under scrutiny once intelligence indicated fraudulent dealings were taking place within it.

The operation was carried out at Centrium Tower 1 in Parañaque City, during which 64 foreign nationals, primarily Chinese citizens (56 of them), were captured. Among those detained were the center’s manager, owner, and supervisor – all of whom hail from China. Moreover, 32 Filipinos were taken into custody, some alleging they were forced to work as scammers. At the time of writing, a total of 99 individuals have been arrested in this incident.

Back in the start of this year, it was disclosed by the Philippine Securities and Exchange Commission that they intend to implement cryptocurrency regulations towards the end of 2024. The objective is to boost investor protection and manage trading platforms effectively. This action comes after a series of enforcement actions against unauthorized crypto service providers, including the prohibition of Binance and attempts to eliminate its app from prominent app markets.

Crypto illicit activities

During the search operation, authorities revealed that the center’s staff members pretended to be affluent models to lure victims into using a deceitful investment platform for trading. Additionally, areas set up for inappropriate performances were uncovered, underscoring the depth of illegal activities taking place.

As a researcher delving into this topic, I’ve noticed that the recent clampdown on online gaming operators is a direct response to President Ferdinand Marcos Jr.’s prohibition. This ban was enacted due to the connections these operators had with fraudulent activities such as scams, human trafficking, and other illegal acts. It appears that both unlicensed gambling establishments and some licensed ones might be involved in similar deceitful practices.

The authorities are drafting charges based on the Cybercrime Prevention Act of 2012 and the Securities Regulations Code for those who have been apprehended.

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2024-08-22 19:24