The number of suspicious financial transactions reported to law enforcers surged 29 per cent in the first half of the year, following the enactment of an anti-money-laundering law in April.
Police said there had been an upward trend of proceeds of overseas fraud or deception being remitted into bank accounts in Hong Kong and eventually transferred to third parties or cashed out.
“Stooge and non-resident bank accounts are usually involved,” a spokesman said.
A lawmaker warned that enforcers risked being overwhelmed by the number of cases coming to light.
The Police and Customs’ Joint Financial Intelligence Unit received 11,860 reports from banks and other financial institutions from January to June, up 29 per cent from 9,224 for the same period last year and more than half of the total 20,287 reports received in all of 2011.
Police said that the surge resulted from greater awareness since the Anti-Money Laundering and Counter-Terrorist Financing Ordinance was enacted on April 1, making the reporting of such transactions a legal obligation.
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