China has been accused of harboring a wide range of computer hackers that target overseas companies and governments, but now it appears one Chinese hacking group even based itself overseas to infiltrate another nation’s banking system.

Seventy-seven Chinese people were rounded up in Kenya under suspicion of operating an organized computer crime network to be used for undetermined purposes as a “command center”. Police suspects the group was ”preparing to raid the country’s communication systems”, specifically its financial infrastructure.

Police raided the group’s “military-style dorms” and found equipment that could infiltrate bank accounts, Kenya’s M-Pesa mobile banking system and ATMs. Preliminary investigations also revealed the group was making counterfeit microchips for ATM cards. 

The suspects have been charged with “being in the country illegally and operating radio equipment” without the necessary permits.

Kenya’s foreign ministry summoned China’s top diplomat in Nairobi to determine if the ring had any official ties to the Chinese government. Kenyan communications minister Fred Matiang’i said China promised to fully cooperate in the investigation.

China is a key investor in Kenya’s infrastructure and communication systems. Earlier this year, Kenyan President Uhuru Kenyatta called China “an honorable partner”.

Photo: ABC.net