Macau’s Judiciary Police has dismantled two cross-border criminal syndicates involved in illegal money exchange operations linked to gambling. The syndicates operated through eight jewelry and pawn shops near Macau’s casinos.
The operation, carried out with mainland Chinese authorities, resulted in the arrest of 42 individuals, including key masterminds and syndicate members.
Investigations revealed that the groups used jewelry and pawn shops as fronts for illegal currency exchange services targeting gamblers through fraudulent transactions. The scheme involved nearly HK$800 million ($103 million), generating illicit profits exceeding HK$21 million ($2.7 million).
According to local media reports, one syndicate managed eight jewelry stores near casinos, fabricating transaction records through “immediate sale and return” schemes. This method enabled gamblers to convert funds into RMB or Hong Kong dollars and transfer them to mainland China. The group exchanged approximately HK$590 million ($75.9 million), earning illicit gains of over HK$20 million ($2.6 million).
Another syndicate used pawn shops and private vehicles for mobile currency exchange. They also falsely hired non-resident workers to facilitate fund transfers between Macau and mainland China. This group exchanged approximately HK$200 million ($25.7 million), earning illicit gains of at least HK$1 million ($128,600).
Both syndicates closely collaborated with underground banks, profiting from manipulated exchange rates and forming a complete illicit financial chain. During the operation, police seized over HK$18 million ($2.3 million) in cash, numerous fake transaction receipts, and electronic devices, indicating the syndicates’ long-term operations and sophisticated methods.
During a media briefing on Thursday, Sou Chi Keong, Deputy Director of the Judiciary Police, emphasized that authorities will continue to monitor money-changing activities and strengthen cooperation with mainland Chinese police to combat cross-border crimes at their source.
Macau’s new Law on Illegal Gambling Activities, which took effect on October 29th, 2024, imposes stricter measures on unauthorized gambling operations, particularly those involving illegal money exchange for gambling purposes. Offenders now face penalties of up to five years in prison.
