ChainCatcher, citing Yonhap News Agency, reported that the Seoul Metropolitan Police Agency’s wide-area crime investigation unit has dismantled two organizations accused of laundering money through virtual assets. The combined amount involved in the reported cases exceeded 14 billion won. The investigations covered the use of overseas exchanges, transfers between domestic and overseas trading platforms, and funds connected to fraud groups operating from Cambodia.
Group led by Chinese national allegedly laundered about 14 billion won
One of the organizations consisted of nine people, including a Chinese national identified as suspect A, aged 45. According to the report, the group acted under instructions from a Cambodian telecom fraud ring. From February 2024 to April 2025, the group allegedly purchased USDT through overseas exchanges and moved the virtual assets between exchanges inside and outside South Korea. The total amount allegedly laundered by this group was about 14 billion won.
The organization collected 650 million won in fees from the activity. The main suspects have been transferred to prosecutors, and two of them have been arrested. The alleged ringleader, identified as Y and aged 29, has been placed under a Red Notice by the International Criminal Police Organization.
Romance scam proceeds and unlicensed exchange services also investigated
A second organization, made up of 14 people, was accused of directly participating in the laundering of proceeds from a Cambodian romance scam. The amount involved in that case was about 2.8 billion won. The case was handled by the same wide-area crime investigation unit of the Seoul police and was also linked to funds derived from scam activity.
In addition to the two laundering groups, 33 other individuals were transferred to prosecutors on suspicion of providing unlicensed virtual currency exchange services to foreign tourists. The amount involved in those exchange-service cases was 6.3 billion won. The police action described in the report covered several categories of conduct, including virtual asset laundering, movement of fraud proceeds, and unlicensed cryptocurrency exchange services.