Hong Kong court sentences a certain telecom fraud "intermediary" to 56 months in prison: police track cryptocurrency to identify ransom flow

According to Caixin, the Hong Kong Court of Appeal yesterday rejected the sentence reduction application of the mastermind behind the electric fraud and human trafficking, Ma Zhihao, and upheld the original sentence of 56 months in prison. During the investigation of the case, the Hong Kong police tracked the criminal funds through blockchain and cryptocurrency transaction records, identifying the key points where ransoms and criminal proceeds were received.

It is reported that a victim's family paid approximately 9,527 Tether (USDT) to a cryptocurrency wallet designated by the criminals. The blockchain tracking records conclusively prove that 8,127 USDT flowed into an exchange account registered under Ma Zhihao's real name and Hong Kong ID, which was then exchanged for about 63,000 Hong Kong dollars and transferred to his personal HSBC bank account, becoming important evidence of his involvement in the crime and obtaining profits. The Court of Appeal pointed out that if it were not for the 7-year sentencing cap imposed by the District Court, the punishment faced by the defendant would be much heavier than this.