Taiwanese Citizens Indicted in US$5.32 Million International Romance Scam

Taichung Prosecutors Charge Two in Sophisticated Cross-Border Fraud Scheme Targeting US Citizens

Taichung, Taiwan – A significant cross-border "romance scam" orchestrated by two Taiwanese citizens has led to their indictment, with the Taichung District Prosecutors Office announcing the charges. The fraud, which targeted three U.S. citizens, resulted in losses exceeding US$5.32 million.

According to the prosecutors, a woman identified as Liao (廖), age 36, is alleged to have masterminded the fraud ring. She recruited Huang (黃), age 39, to manage the collection of the illicit gains in 2023.

The scheme involved Liao (廖) using passports belonging to unsuspecting individuals to open business accounts at U.S. banks. These accounts were subsequently utilized to receive funds from victims who were lured into fraudulent investments.

The victims were initially manipulated into investing small amounts before being persuaded to transfer larger sums via bank remittances or handovers to U.S.-based accomplices, Hsiao (肖) and Sun (孫), both U.S. citizens. Their cases are being handled by U.S. authorities.

The fraudulent funds were then allegedly laundered through various methods, including deposits into accounts held by Liao's (廖) unsuspecting mother, and the purchase of luxury items. These included a Swiss watch, an 8-carat diamond ring, Bitcoin and Tether cryptocurrencies, and a Lexus car.

The total losses from the scam amounted to US$5.32 million, equivalent to approximately NT$170 million based on the exchange rate at the time, prosecutors stated.

Liao (廖) was apprehended at Taoyuan International Airport on January 24 upon her return to Taiwan, based on evidence provided by the U.S. Homeland Security Investigations (HSI), which collaborated with the International Criminal Affairs Division (ICAD) of Taiwan's Criminal Investigation Bureau.

In March, an HSI team visited the Taichung District Prosecutors Office, demonstrating the collaborative efforts under the Taiwan-U.S. agreement on mutual legal assistance in criminal matters.

Further collaboration led prosecutors from Taichung and officials from ICAD to travel to Los Angeles and Nashville in April, where other members of the fraud ring were arrested and indicted. This effort was supported by the Taiwan High Prosecutors Office.

Notably, Chang Fu-chun (張富鈞) of the Taichung District Prosecutors Office questioned Sun (孫) in Nashville. This marks the first instance since the legal assistance treaty was signed in March 2002, that a Taiwanese prosecutor traveled to the United States to question a witness directly under the framework.

Liao (廖) and Huang (黃) have been indicted on several charges, including aggravated fraud and money laundering, under Taiwan's Organized Crime Prevention Act, Money Laundering Control Act, Passport Act, and Criminal Code.

Prosecutors are seeking a 10-year sentence for Liao (廖) and five years for Huang (黃).

Assets seized in connection with the case were scheduled for auction by the Taichung Branch of the Ministry of Justice's Administrative Enforcement Agency, with proceeds destined for return to U.S. authorities under Taiwanese law.