Prosecutors in Taiwan have indicted 35 individuals for their alleged roles in a large-scale illegal online gambling and money laundering operation that authorities say channelled more than NT$30.6 billion ($975 million) through custom-built payment platforms linked to unlicensed gambling sites across East Asia.
According to the Taipei District Prosecutors’ Office, as reported by Focus Gaming News, the alleged ringleader is a 41-year-old man surnamed Lo, who reportedly operated a Hong Kong-style diner in Taipei while overseeing the illicit operation. Prosecutors have charged Lo with money laundering, organised crime, and illegal online gambling, and are seeking a combined prison sentence of nine years and six months.
Scheme dates back 2020
Investigators allege that Lo began building the scheme in 2020 after acquiring the source code for a payment platform. This technology was later developed and marketed as HeroPay and MatchPay, two payment services that prosecutors say were designed specifically to obscure the flow of gambling funds.
Rather than allowing direct financial transactions between players and gambling operators, the platforms allegedly acted as intermediaries, routing deposits through layered payment channels. Authorities believe this structure was intended to conceal the origin and destination of funds and evade regulatory scrutiny.
The operation is said to have expanded significantly in mid-2022 with the launch of an online gambling website known as Rich 11. The platform offered a range of betting options, including baccarat, slot games and sports wagering, with HeroPay allegedly serving as its primary payment gateway.
Between July 2021 and September 2025, prosecutors estimate the group processed nearly NT$30.6 billion through its own gambling operations, as well as by providing payment services to other illegal online gambling platforms operating across the region. Investigators argue that this positioned the group as both an operator and a financial facilitator within the wider underground gambling ecosystem.
The case also implicates a woman surnamed Huang, who is accused of overseeing key financial and administrative functions. Prosecutors are seeking a prison sentence of more than six years for Huang and have requested the confiscation of all illicit proceeds generated by the network. Dozens of additional suspects have been charged under Taiwan’s Organised Crime Prevention Act and Money Laundering Control Act.
Growing scrutiny of illegal gambling in Taiwan
The indictments come amid heightened scrutiny of illegal gambling activities in Taiwan, particularly their links to organised crime and professional sports. In October last year, Taiwan’s Chinese Professional Baseball League (CPBL) suspended three players from the TSG Hawks after confirming their involvement in online gambling.
Pitchers Guo Yu-yan, Chen Guan-hao, and Wu Yu-cheng were found to have participated in online Texas hold ’em poker games between January and June 2025. Guo received a 10-game suspension and an NT$100,000 fine, while Chen and Wu were each handed five-game suspensions and fines of NT$50,000.
The CPBL described online gambling as a clear violation of professional conduct rules, stressing that players are strictly prohibited from engaging in any form of online betting. The league said the incident underscored the need for stronger internal oversight and education within clubs.
The investigation reportedly began after the league received a tip-off alleging that a sports agent had encouraged athletes to gamble. While the agent and their agency have denied any wrongdoing, the case has reinforced concerns about the influence of illegal gambling platforms on Taiwan’s sporting integrity.
Tougher laws and enforcement
Taiwan has also moved to strengthen its legal framework against illegal sports betting. In June 2025, the Legislative Yuan unanimously passed amendments imposing prison sentences ranging from seven years to life for individuals who manipulate sports betting outcomes resulting in death or serious injury.
The law also broadened the definition of illegal conduct to include inducement, alongside coercion and fraud. It followed growing concern over illegal sports betting in Taiwan. The legal market is limited to the state-run sports lottery, managed by China Trust Bank and Taiwan Sports Lottery Company Ltd.
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