Spain busts lucrative Chinese-Arab money laundering ring

By AFP
|
May 15, 2025
US dollar notes can be seen in this picture. — AFP/File

MADRID: Spanish police on Wednesday said they had broken up a Chinese-Arab ring that laundered $21 million of proceeds from people and drug trafficking through the informal “hawala” money transfer system.

Police said the investigation began after the dismantling of a migrant-trafficking gang transporting mostly Syrians between Algeria and Spain, which led to a probe into their finances.

An Arab branch of the network “took charge of the reception of money in any part of the world”, while a separate Chinese branch supplied the cash in Spain in exchange for cryptocurrencies.

Police arrested 17 mostly Chinese and Syrian suspects in January -- 15 in Spain, one in Austria and another in Belgium -- said EU law enforcement agency Europol which supported the operation.

The network´s Belgium-based leader had “Jordanian-Palestinian nationality” and facilitated contacts within Spain, police chief inspector Encarna Ortega told a press conference in Madrid.

He is suspected of coordinating a litany of operations, mainly laundering money from the proceeds of trafficking humans and drugs, she added.

In total, the suspects moved $21 million between June 2022 and September 2024, Spanish police said. Authorities seized from them 205,000 euros ($229,000) in cash, more than 183,000 euros in cryptocurrency, 18 vehicles, real estate property and illegal cigars worth more than 600,000 euros destined for sale in China.