The U.S. government has executed one of the largest financial takedowns in history by seizing over $14 billion in bitcoin and charging a prominent business figure linked to a vast cryptocurrency scam. Chen Zhi, a UK and Cambodian national and founder of the Prince Group, was charged in New York for allegedly leading a wire-fraud conspiracy and orchestrating a money laundering operation.
As part of a collaborative effort, both the U.S. and UK governments have instituted sanctions against Chen’s enterprises, freezing assets including 19 properties in London, one of which is valued at nearly £100 million ($133 million). The Prince Group’s operations, which span multiple sectors such as property development and financial services, have come under scrutiny, as the U.S. Department of Justice (DOJ) describes the organization as one of the largest transnational criminal entities in Asia.
According to prosecutors, the criminal operation exploited unwitting individuals by luring them into investments with false promises of profit, resulting in significant financial loss. Victims were contacted through various online platforms and convinced to send their cryptocurrency to the scammers, who were operating from multiple locations in Cambodia. Records indicate that up to ten scam compounds were established under Chen’s management, specifically designed to maximize victim outreach.
Further allegations detail the use of sophisticated call center operations, referred to as “phone farms,” which involved the management of approximately 76,000 social media accounts to facilitate scams. Evidence reveals strategic guidelines were provided to employees on how to engage victims, including recommendations against using overly attractive profile pictures to maintain credibility.
Assistant Attorney General for National Security, John A. Eisenberg, characterized the Prince Group as a “criminal enterprise built on human suffering.” The charges against Chen also include the trafficking of workers who were reportedly confined to prison-like conditions and coerced into participating in the scams.
The DOJ asserts that the profits generated from these schemes were used for lavish expenditures, including luxury travel, high-end watches, private jets, and notable artworks, such as a Picasso. Facing serious charges, Chen could be sentenced to up to 40 years in prison if convicted.
In the UK, investigations revealed that Chen and his associates had established several businesses in the British Virgin Islands, funneling investments into prime London real estate. The UK’s foreign office detailed assets linked to Chen’s network which include a £100 million office building and additional residential properties in London.
With the recent sanctions, Chen has been effectively barred from accessing the UK financial system, which Foreign Secretary Yvette Cooper decried, stating that the Prince Group’s activities were ruining the lives of vulnerable individuals while simultaneously amassing wealth in the UK property market. The UK and U.S. are taking robust action to combat the transnational threat posed by this network, with aims to uphold human rights and keep illicit funds out of the legitimate economy.
The Prince Group, alongside its affiliates—including Jin Bei Group and Golden Fortune Resorts—has also been implicated in the severe exploitation of workers, as highlighted in reports addressing forced labor and torture in Cambodian scam operations. UK officials have condemned the industrial-scale fraud perpetrated by such scammers, who often target vulnerable populations, employing deceptive tactics like fake romantic relationships to ensnare victims. Fraud Minister Lord Hanson emphasized the government’s commitment to combating such dishonest practices detrimental to individuals and society.
