Italian law enforcement authorities have apprehended 33 individuals in a recent operation targeting a Chinese money brokerage network accused of laundering more than 50 million euros ($52.5 million) derived from drug trafficking, with connections to the ‘Ndrangheta mafia.
According to Guardia di Finanza police colonel Francesco Ruis, who spearheaded the investigation in Rome, a significant aspect of the case was the establishment of ties between criminal organizations like the ‘Ndrangheta and Chinese financial service providers. Ruis emphasized that the tracked financial movements of over 50 million euros did not fully reveal the scale of the operation.
In an official statement, Guardia di Finanza police announced the arrest of 33 individuals, including seven Chinese nationals, in Rome and six other Italian towns. The charges include organized criminal conspiracy related to drug trafficking and money laundering. Additionally, law enforcement confiscated approximately 10 million euros in cash from individuals referred to as ‘money mules,’ responsible for transferring funds abroad.
Recent investigations have unveiled the growing trend of Italian drug cartels utilizing clandestine networks of unlicensed Chinese money brokers to obscure cross-border financial transactions. This method, often known as “fei qian” or “fei chien” in Chinese, translates to “flying money” and entails depositing funds with an Italian money broker, while another agent within the network, located elsewhere in the world, delivers an equivalent sum to the intended recipient.
The heart of the money laundering operation in this case revolved around Chinese import-export businesses dealing in clothing and fashion accessories in Rome’s Esquilino district. These establishments acted as collection points for illegally obtained funds, which were subsequently transferred anonymously and untraceably to China. While the “fei chien” method did not entail a physical transfer of money between the buyer of the drug shipment and the seller, China served as the ultimate destination for the cash, according to police.
Francesco Ruis explained, “The transactions between the two Chinese brokers occurred through triangulations and fictitious business dealings in China, while the cash was transported to China by plane using the so-called ‘money mules.'”
The investigation received assistance from accessing encrypted chats on a platform that had been dismantled in 2021 by a Europol Joint Investigation Team, as mentioned in the official statement.
