Xiao Rui Sentenced to 6 Years 9 Months for Laundering HKD 64 Million via Underground Banks

According to Caixin, Xiao Rui, 37, son of a former Wuhan Commission for Discipline Inspection official, was sentenced on July 23 by Hong Kong District Court to 6 years 9 months imprisonment for four counts of money laundering and one count of using forged documents. He laundered more than HKD 64 million through underground banks while obtaining fake Hong Kong residency under the now-discontinued Capital Investment Entrant Scheme.

During trial, Xiao claimed the funds came from his mother's legitimate business and bitcoin sales. The court rejected both defenses, noting his mother worked as a nurse and clerical staff at a hospital, and no bitcoin transaction records were presented to support his claims.