Mega online Ponzi scam: Lookout circular against 3 more Chinese nationals

Bhubaneswar: The Bureau of Immigration (BOI) has issued a lookout circular (LOC) against three more Chinese citizens, all main accused and close associates of mastermind Guanhua Wang, in a mega online Ponzi scam involving Rs 100 crore.

The LOC was issued on the request of the Economic Offence Wing of Odisha Crime Branch against Liu Huan, Wenhui Zheng and Xu Xiaolu.

The EOW sources here on Monday said the case refers to a huge pan India online Ponzi scam involving fraud and siphoning of hundreds of crores of rupees out of India using a complex network of mule bank accounts, shell companies and crypto traders.Earlier, an LOC was issued against the mastermind of this scam Guanhua Wang of Hangzhou, China. He, along with these Chinese, came to India in 2019 and stayed in Bengaluru for a few months. The EOW sources said these Chinese nationals created at least 14 shell companies to run various cyber financial frauds.

Initially, their focus was on ‘killer loan apps’ scam. After the apps were banned, they switched over to other frauds like Earning Apps and Betting Apps. Almost all the shell companies are based in Bengaluru.

More than 85 bank accounts having transactions worth hundrers of crores of rupees have been noticed in these shell companies. They have hired numerous mule directors including some housewives. Many Indian mobile numbers are still used by Chinese perpetrators from China, the EOW sources said.Guanhua is wanted in the huge pan India online Ponzi scam. Originally from China's Hangzhou city, he formed a company called Bettec Technologies Private Limited in 2019 based in Dickenson Road, Bengaluru.