Man laundered over S$857,000 in scam proceeds; his bank accounts were used to withdraw S$1.2 million
On the instructions of a man known only as Ah Feng, Zhuang Qianbao acquired bank accounts, bought SIM cards, recruited runners and looked for USDT sellers.
A customer withdraws Singapore dollar notes from an ATM. (File photo: AFP/Roslan Rahman)
This audio is generated by an AI tool.
SINGAPORE: An administrative assistant from China got roped into a criminal enterprise after meeting a man named Ah Feng at a gambling den in Geylang.
He helped Ah Feng launder more than S$857,000 (US$641,000), provided bank accounts for Ah Feng's use that were used to withdraw S$1.2 million, and looked for ATM cards by offering cash online.
The money being laundered included proceeds from victims who had fallen prey to job and investment scams.
Zhuang Qianbao, a 39-year-old Chinese national, was sentenced to four-and-a-half years' jail on Friday (Mar 15).
He pleaded guilty to two counts of abetting unauthorised computer access by providing banking information and one charge of converting criminal proceeds. Another nine charges were taken into consideration.
The court heard that Zhuang worked as an office administrative assistant in Singapore.
In 2019, he met Ah Feng at a gambling den in Geylang. Ah Feng asked Zhuang to help him trade United States Dollar Tether (USDT).
USDT is a type of cryptocurrency known as stablecoin that is designed to provide a stable price point.
Zhuang agreed and helped look for potential USDT sellers. He also bought ATM cards from other people to receive funds from Ah Feng to pay for the purchase of USDT.
Zhuang did not use his own bank account, as he had previously been issued a 24-month conditional warning by the police for an offence involving his bank account.
When Zhuang asked Ah Feng about the legitimacy of the funds, Ah Feng told him that they came from his bets on football and horse racing.
ZHUANG'S ENTERPRISE
Zhuang also looked for ATM cards by posting advertisements online, paying about S$800 to S$1,000 per bank account with ATM card.
He conversed with sellers via chat app WeChat and used the ATM cards to withdraw cash transferred from Ah Feng as payment for the USDT he purchased.
He would also buy USDT from interested sellers and sell the USDT to Ah Feng according to the latter's instructions.
Between December 2021 and September 2022, Zhuang received a total of S$857,150 from Ah Feng through over 50 bank accounts, in exchange for USDT he bought for Ah Feng.
Investigations later revealed that the sum came from victims of job scams, investment scams and scams involving the impersonation of Chinese officials.
On top of this, Zhuang had 114 ATM cards linked to 33 bank accounts that he used to receive money from Ah Feng. The amounts received in these accounts could not be determined.
In March 2022, Zhuang browsed online, looking for people who wanted part-time jobs. He then recruited them into helping him to withdraw money using ATM cards he gave to them, offering S$100 per job.
He recruited an unidentified number of people and watched from a distance as they withdrew money from the bank accounts.
A total of S$645,800 was withdrawn this way on Zhuang's instructions.
Zhuang also gave Ah Feng a bank account with Internet banking access on his instructions, which Ah Feng used to receive and dissipate another sum of almost S$573,000.
The two sums added up to a total of more than S$1.2 million, which the prosecution said was withdrawn from the bank accounts Zhuang provided.
The police investigated the monetary scams and traced them to Zhuang, as he held bank accounts that received the proceeds of scams.
Officers from the Commercial Affairs Department arrested Zhuang at his home on Sep 13, 2022, seizing 12 phones, 56 SIM cards and 113 ATM cards from him.
He was unable to give a satisfactory explanation on why he had so many cards.
Deputy Public Prosecutor Ng Jun Kai sought 60 to 72 months' jail for Zhuang.
For the charge of moneylaundering, he said a clear signal must be sent to those who wish to conduct moneylaundering activities here - that they will be firmly dealt with if apprehended.
"The role of Zhuang extended beyond being a mere money mule or a runner," said Mr Ng.
He said Zhuang acquired bank accounts, SIM cards, runners and looked for USDT sellers.
Zhuang was "crucial" in facilitating Ah Feng's retention and control of criminal proceeds and he was motivated by financial benefit, said Mr Ng.
