CHIANG MAI — Thai police have arrested a 50-year-old Chinese national wanted in China for allegedly operating a fraudulent investment platform that authorities say functioned as a Ponzi scheme.
The suspect, identified only as Hou, was detained at a housing estate in Nong Pa Khrang subdistrict, Mueang district, Chiang Mai, on 17 June after Thai immigration authorities revoked his permission to stay in the kingdom.
According to the Crime Suppression Division, Hou is wanted by the Taihu County Public Security Bureau in Anhui Province, China. Investigators allege he and associates established a company that operated a fake online investment platform to defraud investors.
The scheme allegedly promised investment returns while encouraging members to recruit new participants and build downline networks in exchange for commissions, a structure resembling a Ponzi scheme.
Chinese authorities said the organization used a three-tier management structure to expand its network, resulting in substantial financial losses for numerous victims.
After Chinese authorities launched an investigation and issued an arrest warrant, Hou allegedly fled abroad and later entered Thailand. Thai and Chinese authorities coordinated efforts to track him down before his arrest in Chiang Mai.
He has been transferred to Chiang Mai Immigration for detention and legal proceedings pending deportation to China, where he will face prosecution.
