Latest News: GCG Asia’s trail of larceny and theft
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Senior officers of Malaysian owned GCG Asia were arrested on Friday for falsely claiming that Prime Minister Hun Sen backed the company’s cryptocurrency business, according to the National Police.
GCG Asia’s office in Phnom Penh was shut down following the arrest.
The detentions came hours after Mr Hun Sen announced that, according to the Indonesian Embassy, the company was blacklisted in Indonesia for illegally trading cryptocurrencies.
The arrested are Malaysians. One of them, a man, has been identified as Darrem Yaw. The other, a woman, is reported to be his wife. The duo was taken into custody at the company’s office in Daun Penh district.
Deputy National Police Commissioner Chhay Sinarith said the arrest was made after the police met with representatives of the National Bank of Cambodia at around 9am on Friday.
“Now we are checking relevant documents because the business did not have the approval of the National Bank of Cambodia. We are also seeking cooperation with other countries where the business has operations to collect more evidence and will try to file a complaint in court,” he said.
Late Thursday, Prime Minister Hun Sen warned the public to be aware of GCG Asia, saying that the company had falsely claimed to have his support and that of the Cambodian government for its cryptocurrency business.
“Recently, GCG Asia Co., Ltd has posted pictures of me on the website gcgasiacoin.com and claimed that I am a supporter and will be partaking in their ribbon cutting ceremony in Cambodia on May 20,” wrote the premier on his official Facebook page.
According to the Prime Minister, GCG Asia also named the Central Bank and the Bank of China in Cambodia as backers and partners.
According to the Indonesian Embassy in Cambodia, GCG Asia operates in the grey market and has been blacklisted in the island nation.
“As the Prime Minister of the Kingdom of Cambodia, I deny the information posted on the company’s website. I request all relevant authorities to monitor and investigate the offender and punish them in accordance with the law,” he said.
“To citizens and businesspeople, inside and outside Cambodia, I ask to be very careful about purchasing unauthorised digital coins that claim to have the backing of the Cambodian government.”
The National Bank of Cambodia yesterday morning also distanced itself from the Malaysian firm.
In a statement, NBC said GCG Asia is using the name and logo of the Central Bank on their website and on social media without permission for illegal purposes.
“The National Bank of Cambodia hereby states that NBC has never recognised or even associated with GCG Asia. We are taking legal actions against this fake news of GCG Asia and condemn this illegal act.”
Bank of China (Hong Kong) Phnom Penh Branch also denied any association with GCG Asia and said it has never signed an agreement on cryptocurrencies with any company.
According to the statement, the bank has initiated legal action and will sue the company for financial damages and damages to its reputation.
“We thank our customers for their trust in Bank of China, and would like to remind them not to take such marketing materials from unofficial channels at face value in order to avoid financial losses,” the statement reads.
According to Bank of China, the Malaysian company claimed in promotional leaflets that it had reached an agreement with Bank of China’s Phnom Penh Branch to jointly issue a credit guarantee bill that ensures the financial security of all its members. A forged sample of Bank of China’s bank acceptance bill was shown on promotional leaflets, according to the bank.