The Taiwanese Crime Investigation Bureau (CIB) in cooperation with the Chinese Online Information Security Bureau (OISB), recently announced their investigation against online gambling site Golden Cruise Casino, resulting in the arrest of 4 suspects.
The investigation began after the CIB flagged the operation for suspicion of illegal activity via legal loopholes. The legal loopholes consisted in using a virtual exchange place, allowing players to purchase credits from local convenience stores like 7-Eleven and OK Mart, and settle their winnings face-to-face in front of representatives from the website. The operation’s website, g-dc88.com, promoted partnerships with actual real-money gambling operators, Golden Club, Royal1688 Casino, Sun Game and PokerKing. The legal loophole was real, but the gaming site however, as the investigation revealed, was in reality, a front for a money laundering operation.
In an effort to conceal their tracks the criminals spread the operation globally, by having the website located in Taiwan, the mainframe in Canada, and a customer support center in Mainland China. The CIB found it difficult to charge the suspects as the operations where spread so far out, and due to the third party payment method being deemed legal in Taiwan and China. By cooperating with the OISB, and utilizing their cyber-crime prevention mechanisms, the CIB was able to pinpoint the suspects tracing their IP addresses.
Online gambling through the third party payment method of exchanging money for virtual credits is legal in China and has become the model of online gambling in Asia.
Liquidity Constraints in 2021 – What is the Best Path Forward?Go to article >>
Image courtesy of Wikipedia