If one falls prey to a carbon credit scam, they’re most likely not able to recoup their investment. So it’s crucial to know what to look for when buying carbon credits and avoid the scammers.
Carbon credits are an innovative and effective tool to help abate climate change but scammers abuse them, leaving an impression that they’re not trustworthy.
Scammers often use uncertainties in carbon markets to deceive investors into handing over their money.
In Taiwan, a couple were convicted and sentenced to prison terms for a carbon credit trading scam. They earned over NT$100 million (US$3.31 million) in profits over 2 years.
According to the filings of prosecutors who investigated the case,
“Although Hsu and Yang knew their company was not dealing in ‘carbon credit trading,’ they set up a trading platform to lure investors by promoting the company as engaging in legitimate international schemes for carbon neutralization and the sale of carbon credits… taking advantage of the worldwide trend for renewable energy sources and reducing greenhouse gas emissions.”
Convicted for Carbon Credit Scam
The Hsinchu District Court ruled that Hsu Chu-tsai (67 yrs. old) and his wife, Yang Liang-liang (60) were guilty of financial fraud in violation of the Banking Act.
The couple were the owners of an investment business called Rich Alliance Good Health Co.
The judges sentenced Hsu to 8 years and Yang to 4 years in prison. The court also confiscated their ~NT$100 million of…
