Police bust high-tech phone scam syndicate using industrial unit as automated call relay station - The Standard (HK)
West Kowloon regional crime officers have smashed an organized telephone fraud syndicate that used an automated relay center inside an industrial building to facilitate cross-border scam calls, arresting 8 suspects during operations on November 11 and 12.
The syndicate allegedly defrauded 33 victims of HK$4 million by posing as digital payment customer service agents demanding cancellation deposits, with the largest individual loss exceeding HK$300,000.
Officers raided the operational unit, dismantling a Voice-over IP system that enabled offshore fraudsters to remotely dial local numbers and mask their overseas origins.
Impersonating payment platform representatives, callers claimed victims had enrolled in monthly subscription plans, directing them to transfer cash deposits to puppet bank accounts to cancel the charges before severing contact.
The police spokesman said authorities launched an investigation following a sharp increase in bogus customer service fraud.
Officers arrested 4 men and 4 women aged between 20 and 55 for conspiracy to defraud, noting that several had triad backgrounds.
Police also seized computers, telephones, automated telephone switches, and remote-access hardware. Several suspects have already been charged.
Shell companies secured direct inward dialing lines
The police spokesman said the syndicate maintained a clear division of labor, assigning members to rent premises, register lines, build technical infrastructure, and handle daily errands.
Using third-party identities, the network established shell companies and submitted fraudulent business registration certificates to acquire corporate telecommunications packages, including Direct Inward Dialing services providing over 100 numbers per block.
Technicians connected landlines to network telephone switches and optical fiber systems, enabling overseas fraudsters to remotely operate the equipment and place calls displaying local commercial numbers.
During the raid, officers found active transmission gear and at least 4 direct-inward-dial number blocks, each with 100 identical-prefix extensions.
Frequent relocations and public warnings
Investigators noted that the ring evaded detection by relocating its operations every 2 to 3 months, switching premises at least 3 times over the past year and registering new shell entities and phone batches each time.
A 46-year-old man providing core technical support has been charged, while the remaining 7 suspects handled leasing, line acquisition, and logistics.
Police urged residents to remain alert against unsolicited customer service calls, stressing that legitimate companies never demand bank details or fund transfers for cancellations.
Suspicious calls should be terminated and reported to the 18222 anti-scam helpline. Authorities also warned against lending personal identities or selling bank accounts to third parties for corporate registrations or leases.
Related
