- Cape Town seized luxury cars with fake registrations during a crackdown on suspected crypto-related fraud.
- Officials said some self-described crypto and forex traders use luxury cars to promote alleged investment scams.
- The mayor is pushing for a new detective unit as financial crimes involving digital assets become more sophisticated.
Cape Town authorities have stepped up a crackdown on suspected crypto fraud, impounding luxury vehicles with fake or missing registrations.
Cape Town Mayor Geordin Hill-Lewis said city officials and the Metropolitan Police seized several luxury vehicles during a nighttime operation in the Parklands area. He claimed many people presenting themselves as “crypto” and “forex” traders were driving cars with fraudulent registrations.
Luxury Cars Seized During Night Operation
According to Hill-Lewis, one of the most notable cases involved a brand-new silver Mercedes-AMG GLE that was allegedly registered as a white BMW. Authorities impounded the vehicle for further criminal investigation.
“Tonight we impounded cars in Parklands without valid registrations,” Hill-Lewis wrote on X. “In one case, a brand new silver Merc GLE was registered as a white BMW.”
Authorities also arrested the driver of an unregistered BMW 3 Series during the operation. In a video shared online, Hill-Lewis questioned one suspect about his business. The mayor suggested the individual was trading something other than cryptocurrency. The suspect replied that he traded crypto “as well.”
Officials Tie Luxury Lifestyle to Investment Scams
City officials said luxury vehicles are increasingly being used by alleged financial influencers to project wealth and credibility. They use that image to promote crypto and forex investment schemes.
Authorities warned that luxury cars with fake or missing registration plates may be linked to wider criminal activities, including fraud and money laundering.
Related: INTERPOL-Led Global Fraud Crackdown Nets 5,800 Arrests
Earlier reports have identified South Africa as an emerging hub for organized crypto scam networks. Investigators allege groups in Cape Town and Johannesburg use fake investment platforms, cloned apps, deepfakes, and cryptocurrencies to target victims worldwide.
Authorities say the proceeds are often laundered through crypto wallets, intermediaries, fintech services, and high-value physical assets.
Mayor Calls for Greater Police Powers
The operation comes as Hill-Lewis continues to push for greater policing powers for the City of Cape Town.
The mayor said South Africa needs stronger law enforcement. He also said the city plans to create a dedicated Cape Town Metro Police Detectives Unit to conduct its own criminal investigations. The move would reduce the city’s reliance on the national police service.
The proposed detective unit is part of a broader effort to strengthen local investigative capacity as financial crimes involving digital assets become more sophisticated.
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