GEORGE TOWN: A total of 79 people from China were caught red-handed operating a share market investment scam in two posh bungalows.
Police stormed into the bungalows in Logan Road and found them all hard at work on their desktops and notebooks in the living rooms.
George Town OCPD Asst Comm Che Zaimani Che Awang said the 79 Chinese nationals and seven Malaysians were suspected of running a scam targeted at victims in China.
“There were 71 men and eight women from China, and six Malaysian men and one woman. They are aged between 20 and 42.”
ACP Che Zaimani said in a statement that police seized 460 mobile phones, 55 laptops, 25 computers and 29 broadband Internet devices.
They also took 24 books full of Chinese notes.
“None of the Chinese nationals have any valid travel documents.
“During our interrogation, some of them said they were carrying out a stock investment scam targeting victims in China by using computers and mobile phones as a communication mode with the centre of operations being in Malaysia, ” he said.
ACP Che Zaimani said the head of the syndicate went by the name of Mr Wong and was believed to be in China.
“He is in charge of sending Chinese nationals to Malaysia.
“A local man who goes by the name Jackey from Kuala Lumpur is believed to be the manager of the scam in Malaysia.
“The Chinese nationals were paid 4,000 yuan (RM2,350) a month, not including their commission.
“The pay offered to locals is RM1,600 per month with commission reaching over RM10,000 a month, ” he added.
ACP Che Zaimani said the Chinese nationals had been remanded for 14 days while the Malaysians had been remanded for two days to assist in investigations.
Last year, 99 people, including a Datuk Seri in his 40s and a 14-year-old boy, were caught in a raid at a luxury office near KL Sentral for allegedly running the same investment scam targeting victims in China.
In the biggest bust of its kind in Malaysia, the suspects – 93 Chinese nationals and six Malaysians – offered “shares” from public-listed companies in China to lure victims into investing with the promise of handsome returns.
79 Chinese nationals nabbed over investment scam
Police detained 79 Chinese nationals and seven locals believed to be working for a fake investment syndicate in China at two bungalows along Jalan Logan in George Town, Penang, on Tuesday.
Northeast District police chief ACP Che Zaimani Che Awang said the houses were raided around 7pm, based on surveillance and intelligence.
“During the raids, there were 77 men and nine women at the three-storey bungalows situated side by side, and they were all on their computers in the living room of the buildings,” Che Zaimani said yesterday.
According to him, the Chinese nationals did not have any valid travel document and were paid RMB4,000 (about RM2,355) a month, excluding commission, while the locals were paid RM1,600 with a commission that could reach RM10,000 a month.
Following the raid, Che Zaimani said police seized various paraphernalia used by the syndicate, including 460 mobile phones, 55 laptops, 25 computers, 29 broadband units and 24 record books.
He said the suspects, aged between 20 and 42, have been remanded for investigation under Section 420 of the Penal Code.