US and UK Authorities Seize Billions from Online Fraud Network
US and UK authorities conducted a joint operation against Chen Zhi, the founder of the Cambodian conglomerate “Prince Group.”
Massive Cryptocurrency and Asset Seizure
The US Department of Justice confiscated 127,271 bitcoins valued at $14 billion, marking the largest cryptocurrency seizure in the country’s history. Chen Zhi is accused of running crypto fraud, laundering stolen funds through online casinos, and human trafficking. Victims were held in scam centers and forced to recruit new targets for fake romantic investment schemes involving cryptocurrency. The funds were laundered through online casinos disguised as legitimate operations.
UK authorities froze assets worth £100 million, including the crypto platform “Byex Exchange.” Chen Zhi faces up to 40 years in prison.
Sanctions and Asset Freezes in the UK
The network of scam centers operating in Southeast Asia has been subjected to sanctions by both the UK and the US. These centers lure people with fake job advertisements, detain them, and force them to commit online fraud under threat of violence.
Frozen assets include:
- A £12 million mansion in North London
- A £100 million office building on Fenchurch Street
- 17 apartments on New Oxford Street and in Nine Elms
Companies Involved in the Fraud
| Company | Description |
|---|---|
| Prince Group | Cambodian conglomerate owned by Chen Zhi, operating casinos and fraud centers involved in money laundering. |
| Jin Bei Group | Entertainment business linked to Prince Group, owning hotels, casinos in Sihanoukville, and several scam centers. |
| Golden Fortune Resorts World Ltd. | Company behind a major fraud complex near Phnom Penh, disguised as a “tech park.” |
| Byex Exchange | Cryptocurrency platform connected to Jin Bei and Prince Group. |
Fraud Mechanisms
The scam centers use fake online relationships and crypto investment schemes to defraud victims of large sums. The proceeds are laundered through front companies and online casinos. Foreign nationals involved in carrying out the fraud are held against their will and threatened with violence.
Authorities’ Actions
- Freezing of bank accounts and real estate
- Sanctions against network leaders and affiliated companies
- Joint US-UK actions for maximum impact
- Public awareness campaigns to protect citizens from fraud