Ex-TVB Actor Faces New Money Laundering Charges in JPEX Scandal
Former TVB actor Cheng Chun-hei, already embroiled in the high-profile JPEX cryptocurrency fraud case, appeared before the Eastern Magistrates’ Courts this week concerning separate yet related money laundering accusations valued at approximately HK$18 million. The appearance on Thursday marks an escalation in the legal troubles for the 31-year-old, as prosecutors pursue charges that will ultimately be heard in the High Court, indicating the serious nature of the alleged financial crimes connected to the notorious virtual asset trading platform.
The new allegations center on four counts of money laundering, with authorities claiming that the substantial funds were channeled through a quartet of bank accounts. While the defense motioned to preserve Cheng’s existing bail conditions concerning these specific laundering charges, the prosecution sought revocation. Magistrate Ko Wai-hung ultimately permitted Cheng to retain bail for the new laundering case under established conditions.
Aligning Legal Proceedings
Despite the allowance of bail on the fresh money laundering charges, Cheng remains in custody. His continued detention stems from the parallel criminal proceedings related to the initial JPEX fraud investigation, for which he is a key defendant.
The court synchronized the next mention date for the recently filed laundering case with the existing JPEX fraud proceedings. Both matters are now scheduled to return to the Eastern Magistrates’ Courts on December 15. That date also involves seven co-defendants—including prominent figure Joseph Lam—who collectively face 33 counts encompassing fraud and additional money laundering offenses tied to the alleged fraudulent activities of the JPEX platform.
A Complex Financial Investigation
The entire investigation highlights the increasing scrutiny Hong Kong authorities are placing on illicit financial activities within the rapidly evolving virtual asset sector. For Cheng, the legal battle now involves two distinct, though interconnected, sets of serious charges: the initial case detailing large-scale fraud within the JPEX ecosystem, and the subsequent, significant money laundering allegations concerning the alleged movement of HK$18 million in illegal proceeds.
The decision to elevate the HK$18 million laundering case to the High Court suggests that prosecutors view the evidence as substantial and complex. High Court trials typically handle the most serious and intricate criminal and civil cases in the jurisdiction.
Industry Implications
The ongoing JPEX scandal, involving a multitude of public figures and a massive volume of alleged investor losses, serves as a stark reminder of the regulatory risks associated with unregulated or under-regulated cryptocurrency platforms. The legal proceedings are closely watched by both the financial community and the public, as they set potential precedents for how Hong Kong handles sophisticated cross-border financial crimes involving digital assets.
As the case moves toward trial, the focus will remain on tracing the flow of funds and determining the extent of the defendants’ involvement in the alleged fraudulent operations and subsequent illicit financial transfers. The December mention date is expected to provide further clarity on the procedural timeline for both the fraud and the money laundering indictments.