Rising Forex Scams and Money Laundering Risks in Hong Kong

Hong Kong Police Crack Down on HK$620 Million Scam

Just this week, Hong Kong police announced the arrest of over 680 suspects linked to a massive HK$620 million fraud and money-laundering network. The operations exposed fake forex trading apps and virtual asset investment scams that trapped hundreds of victims in the run-up to the Lunar New Year. Scammers created legitimate-looking mobile platforms, offering “guaranteed” forex profits — only for funds to vanish through mule accounts and cross-border laundering rings.

As an independent insurance broker, Navigator Insurance Brokers works with a panel of authorised insurers to help clients access tailored cyber fraud protection in Hong Kong — arranging policies that can help recover losses and protect against digital financial threats.

Hong Kong Forex Scams Surge During Lunar New Year

Law enforcement and financial regulators warn that cross-border syndicates are laundering billions through forex trading scams, targeting investors during the festive period when vigilance drops. Victims have reported heavy losses, often realizing too late that the platforms were fake. Even if a trader unknowingly handles “tainted” money, they can still face legal risk under Hong Kong’s Organized and Serious Crimes Ordinance (OSCO), which carries penalties of up to 14 years’ imprisonment.

Why This Festival Brings Higher Fraud Risk

The Lunar New Year amplifies financial activity — and with it, financial fraud.

• Increased money transfers through e-wallets and red packet apps.
• Families more open about investments and savings.
• Scammers exploiting urgency with “exclusive” forex or crypto tips.

The Hong Kong Monetary Authority (HKMA) has issued repeated warnings against “urgent transfer” messages and fake bank alerts used to launder stolen funds.

Protect Yourself with Cyber Fraud and Money Laundering Cover Arranged Through a Broker

Most traditional insurance policies exclude financial fraud, but specialised cyber fraud protection Hong Kong solutions can help fill the gap when properly arranged. Navigator does not underwrite insurance itself; instead, Navigator Insurance Brokers acts on your behalf to source and arrange suitable cyber fraud and money laundering insurance from authorised insurers in Hong Kong and overseas where appropriate.

Depending on the insurer and product selected, cover can include:

• Reimbursement for verified investment scam losses (subject to policy terms and conditions).
• Protection from account hacking and phishing attacks.
• Assistance for money laundering investigations and defence costs.

Every policy that Navigator helps arrange is designed to align with Hong Kong Insurance Authority (IA) requirements on anti-money laundering and client protection, so you benefit from compliant and robust financial protection. For complete peace of mind, you can also ask Navigator to review your existing motor and health insurance arrangements, ensuring your overall protection keeps pace with your lifestyle in the Year of the Horse.

Smart Borrowing Amid Festive Scams

Planning a home upgrade, EV purchase, or loan for New Year expenses? Be wary of fake lenders tied to forex or crypto trading schemes.

• Always verify lenders through HKMA or SFC official lists.
• Avoid emails or calls promising “guaranteed low-rate investment loans.”
• Never trust requests for quick forex transfers or crypto collateral.

Stay Vigilant and Protected This Lunar New Year

As Hong Kong celebrates the arrival of a new year, scammers are counting on distraction — but awareness is your best defense. Turn financial risks into resilience by working with a properly licensed insurance broker to arrange cyber fraud and money laundering insurance that fits your needs.

Contact Navigator Insurance Brokers today for a no-obligation quote and safeguard your family’s wealth as you welcome the Year of the Horse.