Ten arrested in Chinese app-based Rs 900 crore fraud, Hyderabad cops suspect thousands of crores sent abroad

A Chinese man and a Taiwanese national were among 10 people arrested over the past few days for funnelling money abroad through a fraudulent app-based Chinese investment scheme that promised high returns, Hyderabad police said Wednesday. Police claimed to have found a Rs 903-crore hawala-cum-money laundering fraud, but they suspect thousands of crores may have been wired abroad. Investigators discovered the racket digging deep after a city resident complained a few months ago that he was robbed by online fraudsters. He had invested Rs 1.6 lakh through the LOXAM app. He realised he was duped when the app became inaccessible. Briefing the media, Hyderabad police commissioner CV Anand disclosed the arrests, including those of Lec alias Li Zhongjun of China and Chu Chun-Yu of Taiwan. Lec was at a detention centre in Delhi. He was questioned and, based on his disclosure, Chu was caught when he landed in Mumbai from Cambodia on Tuesday night.