The “PlusToken Six” is the name given to the six Chinese nationals who were arrested in Vanuatu and It is claimed before their arrest, they disappeared with users’ funds approximately estimated at over $3 billion worth of crypto deposits.
The “PlusToken” team was formed by former employees of Samsung and Google. In April 2018, the test began to release Plus Token. In September 2018, the “Plus Token Global Launch Ceremony” was held at the Blue Ding Hotel in Jeju Island, Jeju Island, South Korea. As of March 15, 2019, the platform has more than 1 million members and the membership fee is more than 1.3 billion yuan.
It’s marketed predominantly in Asia and promises users monthly returns of 10-30% and a generous referral program. By May 2019, it had apparently gained three million users.
As per a few worried users, withdrawals on PlusToken started faltering since June 27, 2019, with alleged technical reasons used as a reason for their temporary dysfunctionality. In addition to the exit scam chaos, the lack of details or specifics regarding the HYIP crypto project has caused anger and irritation amongst the users.
The alleged Ponzi scheme doesn’t provide any concrete information or investment strategies but only promises investors with 6 to 18 percent monthly returns plus referral commission.
On June 27, 2019, the Plus Token wallet could not be withdrawn. On the same day, Vanuatu law enforcement agencies arrested a number of suspected criminal Chinese.
On July 6, 2019, the police in Vanuatu handed the suspect to the Yancheng police. However, according to the Odaily Planet Daily, the main person behind the Ponzi Scheme was not among “PlusToken Six” and Chinese Authorities have now initiated an all-out hunt to track him down.
The FXStreet website says there are little-to-no details about the people behind this alleged scam. The website mentions a “Mr. Leo” as the co-founder and displays a photo of him wearing a baseball cap and standing behind a podium.
The Yahoo Finance reports that on the same day the “PlusToken Six” were arrested, users reported that they were unable to access funds on the TokenPlus site.
Social media channels have been abuzz with conflicting reports on the project’s legitimacy, as TokenPlus social media channels have continued to claim that the reason users are unable to access funds is due to a system upgrade, soon to be resolved. A notice on the TokenPlus community website also denies that the six people arrested were behind the project.
Interestingly, according to posts on the Chinese social media platform Weibo, users continue to deposit funds.
However, in posts in groups on Telegram and Facebook, plenty of users have complained of individual losses of up to $5000 and enquiries are still ongoing, according to police reports, and officials in Hunan, Beijing, Jiangsu and other Chinese districts have now launched their own investigations into PlusToken.
“PlusToken Six” have also created another issue in Vanuatu to the manner fo their arrest and deportation as Vanuatu Media claims some of the “PlusToken Six” were Vanuatu Citizens and there are numerous claims that their deportation was in breach of Vanuatu Laws.
The Bitcoin86 website reports that the “PlusToken Six” were arrested by Yancheng police in Vanuatu as pyramid scheme criminal suspects.
Reports from the Yancheng Public Security Bureau on July 12 confirm that public security agencies in Hunan, Beijing, Jiangsu and other places have launched investigations into the Plus Token case.
The “PlusToken Six” filed applications to become Vanuatu citizens weeks before Chinese Authorities began their investigations into PLusToken. The applications for Vanuatu Citizenship by means of investment interest in the Development and Support Program through Horizon Consultant, a licensed agent. The applicants’ documentation reportedly underwent the customary due diligence procedure with the Vanuatu Financial Intelligence Unit (FIU).
Checks against the databases of Interpol and Chinese law enforcement, however, came up empty, showing no adverse results, because the Chinese investigation into the matter had either just recently been started or still remained secret.
Chinese authorities, furthermore, claimed the six had forged their Chinese police clearance documents. Upon learning of the purported document fraud, the Vanuatu Immigration Department ruled the four approved applications, as well as the two pending ones, to be invalid, and revoked their citizenships.
According to Yancheng police reports, the possible charges may vary from unauthorized illegal public financing, suspected of illegally selling tokens, illegally issuing securities, and illegal fund-raising activities such as illegal fund-raising, financial fraud, and pyramid schemes.
Details are emerging now that the “PlusToken Six” financing of issuing tokens in China is illegally raising funds and dwindling public funds.
There is confirmation from a Chinese Media outlet 36KR that the “internet scam” busted was PlusToken and it is the “PlusToken SIx” that were arrested in Vanuatu for scamming over $3 billion.