Illegal Group Defrauds Millions Through Fake E-commerce Investment Scams, Taoyuan Prosecutors Indict 3 Suspects

(Central News Agency Reporter Ye Zhen, Taoyuan, July 7) Taoyuan District Prosecutors Office investigated a "fake e-commerce investment" fraud group. The group falsely claimed that opening shops and trading goods on fake e-commerce platforms could yield profits. A total of 36 people were deceived, with illicit gains of approximately over NT$20 million in Tether (USDT). The Taoyuan District Prosecutors Office concluded its investigation today and indicted 3 individuals.

The Taoyuan District Prosecutors Office investigation revealed that a fraud group, composed of 26-year-old Chen, 26-year-old Huang, and 37-year-old Xu, organized a "fake e-commerce investment" scam. The group was led by an individual nicknamed "Brother P" from a scam operation center in Cambodia. Chen, a senior executive, was responsible for managing mid-level executives and "operators." Huang, a mid-level executive, managed "operators" and virtual currency wallets. Xu served as a computer engineer, assisting in the setup and maintenance of the fraudulent websites.

The Taoyuan District Prosecutors Office investigation found that the fraud group's "operators" in the Cambodian scam center first befriended victims through dating apps. After building trust, they falsely claimed that victims could open shops and trade goods on the provided fake e-commerce websites to earn high profits.

The Taoyuan District Prosecutors Office investigation indicated that Chen, Huang, and others manipulated fake product transactions and withdrawals on the backend of the fake e-commerce websites, creating a false impression of profitability. This led victims to believe they were operating on legitimate e-commerce websites for trading goods and to transfer Tether (USDT) to virtual currency wallets owned by the fraud group.

The Taoyuan District Prosecutors Office stated that there were a total of 36 victims in this case, with illicit profits totaling 682,138.7667 Tether (USDT) (approximately NT$21,487,371). Following searches and arrests, Chen and Huang were detained. Additionally, mobile phones used for criminal activities and 33,619.0557 Tether (USDT) (over NT$1 million) from virtual currency wallets belonging to the three individuals were seized.

The Taoyuan District Prosecutors Office concluded its investigation today, finding Chen, Huang, and Xu all involved in offenses including the Organized Crime Prevention Act, the Prevention and Control of Offenses Relating to Fraud, and money laundering. Indictments were filed. For the 36 counts of aggravated fraud committed by Chen and Huang, the prosecution is seeking a sentence of no less than 3 years and 6 months of fixed-term imprisonment for each offense. For the 36 counts of aggravated fraud committed by the computer engineer Xu, the prosecution is seeking a sentence of no less than 3 years of fixed-term imprisonment for each offense, to demonstrate severe punishment. (Editor: Li Shuhua) 1150707

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