In a recent development, Hong Kong police have taken into custody three individuals working at a currency exchange store on suspicion of engaging in fraudulent activities. The arrests were made following a report from a customer who encountered stacks of "hell money" before completing a cryptocurrency transfer valued at approximately HK$1 million.

The suspects, aged between 31 and 34, were apprehended by Hong Kong's technology crime division during an operation in Tsim Sha Tsui. Authorities seized 3,000 hell banknotes, a safe, and a note-counting machine from the store. Hell banknotes, traditionally used in Chinese rituals as offerings, were among the items confiscated during the investigation.

The case unfolded after a 35-year-old individual reported on April 12 that he had exchanged Tether (USDT) for nearly HK$1 million at a shop in Tsim Sha Tsui but did not receive the agreed-upon cash. Subsequent investigations revealed that the suspects had displayed stacks of hell banknotes, each with a face value of HK$500, and persuaded the victim to transfer the USDT to a cryptocurrency wallet they provided.

Upon receiving the virtual currency, the suspects failed to honor their part of the transaction, offering various excuses before departing the scene, leaving the victim empty-handed and defrauded of his funds. In Hong Kong, fraud carries a severe penalty of up to 14 years of imprisonment, while individuals charged with obtaining property through deception could face a maximum sentence of 10 years.

In response to this incident, authorities have issued a warning to residents to exercise caution when engaging in transactions, advising them to select reputable cryptocurrency exchange stores and carefully scrutinize banknotes for security features to avoid falling prey to fraudulent schemes.

This case is part of a series of cryptocurrency fraud and scam incidents in Hong Kong, including the recent arrest of three teenagers and the rescue of a 19-year-old who was coerced into a crypto trading scheme and unlawfully detained. Additionally, a 46-year-old housewife suffered a loss of HK$7.1 million ($908,000) after being contacted through Instagram and persuaded to invest in a fraudulent platform masquerading as a legitimate trading entity.