Police break up alleged milk tea franchise scam

 Police break up alleged milk tea franchise scam

Ti Gong

Some of the suspects apprehended in other provinces are brought back to Shanghai for investigation.

More than 90 suspects have been apprehended for allegedly running a milk tea franchise scam, Shanghai police said today.

The suspects profited over 700 million yuan (US$108 million) from the alleged scam.

Shanghai police started their investigation last December after finding that a number of milk tea franchises in Songjiang under the same brand name were closed shortly after opening.

One of the shop owners was a man surnamed Wang who closed his “Chazhilan” milk tea shop after only three months.

In May of 2020, Wang saw an online advertisement about franchising a famous milk tea chain, and contacted the agency that advertised the service.

Wang was told the advertised franchise program had no more slots for newcomers, and was introduced to the…

Read full article…