Hong Kong police have arrested eight suspects accused of using deepfake technology to bypass bank verification systems and open accounts using altered identity cards—a tactic that forms part of a broader cybercrime wave targeting the city, according to a report by the South China Morning Post.
The arrests are part of a citywide anti-fraud operation conducted between April 7 and 17, during which police apprehended 503 individuals aged 18 to 80 in connection with a wide array of crimes, including employment scams, online shopping fraud, investment swindles, and money laundering. The total losses across these cases have exceeded HK$1.5 billion (US$193.2 million).
Senior Superintendent Philip Lui Che-ho, from the force’s financial intelligence and investigation bureau, said the operation was a coordinated effort to combat increasingly sophisticated fraud networks operating within and beyond Hong Kong’s borders.
Among the most alarming cases was the dismantling of a scam syndicate that used 21 identity cards reported as lost between 2023 and 2024. According to Chief Inspector Sun Yi-ki of the cybersecurity and technology crime bureau, the gang altered the identity cards by using artificial intelligence to merge fraudsters’ facial features with the original ID photos. They then uploaded selfies to impersonate the rightful cardholders and bypass online identity verification systems used by banks.
Of the 44 bank applications submitted, 30 were successful, enabling the scammers to apply for loans, credit cards, and launder over HK$1.2 million. Some images were AI-generated composites, while others involved simply replacing the ID photo with the scammer’s own.
The eight suspects—six men and two women aged between 24 and 41—are believed to be affiliated with local triad gangs, and are being investigated for conspiracy to defraud and money laundering. Police also confiscated electronic devices, phones, and external storage units as part of the operation.
Lui warned the public against renting, lending, or selling bank accounts, stressing that account holders could face prosecution even if they were unaware their accounts were being misused.
The crackdown also uncovered two cross-border money laundering syndicates, in cooperation with mainland Chinese police. One of the syndicates recruited stooges from across mainland provinces, brought them to Hong Kong via land borders, and used them to buy gold jewellery as a method to launder criminal proceeds. The group was linked to 240 fraud cases in mainland China, with losses totaling 18.5 million yuan (US$2.5 million).
Three men in Hong Kong were caught in the act, purchasing 34 gold items worth HK$836,000, while 17 suspects were arrested on the mainland.
The second syndicate focused on forging documentation—including fake bank, employment, and utility bills—to help mainlanders open accounts in Hong Kong. This group was connected to 61 scam cases between December 2023 and April 2025, with reported losses of HK$26.7 million. Joint operations with mainland police led to 16 arrests.
In a separate raid on a scam centre inside an industrial unit in Tsuen Wan, police arrested 11 suspects, some also suspected triad members. According to Superintendent Charles Fung Pui-kei of the commercial crime bureau, the syndicate targeted users on dating apps, luring victims into fake investment schemes by suggesting they set up online shops on fraudulent platforms.
“Based on evidence from the site, the syndicate contacted up to 100 potential victims a day,” Fung said, estimating that weekly losses could reach HK$1 million, with each victim losing HK$50,000 to HK$100,000.
Under Hong Kong law, conspiracy to defraud carries a maximum penalty of 14 years’ imprisonment, while money laundering convictions can result in both a HK$5 million fine and up to 14 years in prison.
The latest arrests highlight a worrying trend of technology-enabled fraud in Hong Kong, as AI tools like deepfakes increasingly become part of criminal operations. Authorities say the South China Morning Post’s coverage of these incidents underscores both the evolving tactics of cybercriminals and the urgent need for vigilance among the public.
