Asian Tech Press -- Hong Kong customs detected a money laundering case, involving about HK$1.2 billion (US$155 million), of which there are HK$880 million Tether.

The Hong Kong Customs and Excise Department has shut down a suspected money laundering syndicate involving HK$1.2 billion on the 8th of this month, and four people were arrested, the Hong Kong government said in a press release on its official website on Thursday.

This is the first time that Hong Kong customs has detected such a case using cryptocurrency to process illegal funds.

According to the bulletin, the Customs targeted a suspected money laundering syndicate earlier this year. After an in-depth investigation, more than 30 police officers were deployed on July 8 to arrest four men, aged between 24 and 33, suspected of being involved in the case.

The Hong Kong government said in a communiqué that the case is still under investigation and that all those arrested are now released pending further investigation, and more arrests cannot be ruled out.

According to the Customs, the three shell companies handled a large number of unusual and large transactions between February and May last year through cryptocurrency trading accounts and bank accounts, totaling more than HK$1.2 billion, including HK$880 million in cryptocurrency and HK$350 million in cash. And the cryptocurrency involved was Tether (USDT).

Public information shows that Tether is a token based on the stable value of the U.S. dollar. 1 USDT can be exchanged for 1 U.S. dollar, and users can exchange USDT for U.S. dollars at any time on a 1:1 ratio.