Fraud syndicate used cryptocurrency app in Forest City to cheat Vietnamese investors
Seven Chinese nationals have been fined in Johor for operating a fraudulent cryptocurrency investment scheme that specifically targeted Vietnamese victims. The case highlights ongoing concerns over cross-border cybercrime in Southeast Asia.
Seven Guilty in Johor Court
On September 5, the Magistrate’s Court in Johor sentenced seven Chinese nationals to a fine of RM5,000 each after they pleaded guilty to fraud charges. Magistrate Atifah Hazimah Wahab delivered the ruling when the charges were read in Mandarin.
Fraudulent Crypto App Targeting Vietnamese
According to the charge sheet, the accused developed and operated a cryptocurrency investment application intended to deceive Vietnamese nationals. The fraudulent scheme was uncovered during a raid at Jalan Forest City 5, Gelang Patah, Iskandar Puteri, on August 25 at 1.45pm.
Criminal Conspiracy Under Penal Code
The men were charged under Section 120B(2) of the Penal Code for criminal conspiracy to commit fraud. The law provides for up to six months’ imprisonment, a fine, or both. In this case, all seven — Tan Wei Wei, 35; Xu Laiwu, 37; Ren Zilong, 25; Li Jiang, 31; Huang Yaolin, 27; Li Libo, 25; and Chen Hui, 31 — received fines.
Prosecution vs Plea for Leniency
While the accused, unrepresented by lawyers, asked for lighter penalties, Deputy Public Prosecutor Nik Noratini Nik Azman urged the court to impose an appropriate sentence. She emphasized the need for deterrence, stressing that the group deliberately targeted Vietnamese citizens in a fraudulent online syndicate.
Police Seizures During Raid
Authorities revealed that the premises operated as a scam call centre. Police confiscated laptops, mobile phones, routers, and WiFi modems used to facilitate the fraud. Surveillance had been carried out before the raid, confirming the group’s illegal activities.
Regional Implications of Cybercrime
The case underscores the vulnerability of Southeast Asian communities to cross-border scams. For Indonesians and Singaporeans, Forest City’s proximity highlights how fraud syndicates exploit regional connectivity to conduct cybercrime operations that can easily spill across borders.
The Johor case illustrates how fraud syndicates exploit digital platforms to deceive unsuspecting investors. As Southeast Asia strengthens financial oversight, the verdict serves as a reminder that cybercrime remains a pressing regional challenge requiring cooperation among neighboring nations.
Sources: Malay Mail (2025) , New Straits Times (2025)
Keywords: Crypto Fraud, Johor Scam, Vietnamese Victims, Chinese Nationals, Forest City, Cybercrime
