Mainland China and Macau have ramped up their efforts to dismantle illegal foreign exchange syndicates operating within the region, with authorities breaking up 263 criminal organisations and shutting down approximately 100 underground banks.
According to local reports, these operations have uncovered illicit capital flows exceeding RMB800 billion (€104 billion). The reports said China’s Ministry of Public Security (MPS) revealed 846 individuals have been arrested in connection with these syndicates, many of which exploited Macau’s casino industry for unlawful currency trading and other associated crimes.
Macau’s recent enactment of its Law to Combat Crimes of Illegal Gambling, effective 29 October, has bolstered the crackdown on money exchange gangs. The law penalises individuals engaging in unauthorised money exchanges within casinos, as well as in non-gaming areas like hotels and entertainment complexes, with sentences of up to five years in prison. Since the law’s implementation, 84 individuals, primarily mainland Chinese nationals, have been arrested for unlicensed currency exchange operations linked to gambling. Authorities confiscated HKD9.6 million (€1.17 million) in cash and casino chips during these arrests.
The reports said the syndicates often operate covertly in hotel rooms, where leaders delegate tasks to associates, complicating enforcement efforts. However, Macau’s Deputy Director of the Judiciary Police, Sou Sio Keong, has affirmed that the new legislation provides a clear legal framework for addressing these crimes, enabling more robust action against offenders.
Cross-border cooperation between mainland China and Macau has proven instrumental in combating these illicit operations. According to the reports, authorities have deported 581 mainland Chinese nationals involved in such activities from Macau back to Zhuhai for further investigation. The MPS has also deployed elite police teams from six provinces to oversee the crackdown, coordinating multiple arrest operations.
Since the establishment of a specialised task force in May 2024, authorities have launched five major arrest campaigns, targeting 16 cases under the MPS’s direct supervision. These efforts have not only dismantled syndicates but also curbed derivative crimes such as fraud, scams, and money laundering that are linked to the illegal money exchange networks.
Authorities have pledged ongoing efforts to dismantle the remaining networks, strengthen cross-border cooperation, and mitigate the broader criminal ecosystem fostered by these syndicates. With both regions committed to this mission, further crackdowns are expected in the coming months, aiming to secure long-term stability and eliminate illegal currency trading in the region.
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