Chinese-born business tycoon Chen Zhi has been arrested in Cambodia and extradited to China following a U.S. indictment on fraud and money laundering charges. Authorities allege Chen led a multibillion-dollar online fraud network, including forced labor operations where trafficked workers were confined in harsh conditions. The U.S. Department of Justice claims that Chen’s company, Prince Holding Group, is a front for a major transnational criminal organization, with Chen potentially facing up to 40 years in prison for conspiracy to commit wire fraud and money laundering related to bitcoin scams.
Following a request from Chinese authorities and months of joint investigations, the Cambodian Ministry of Interior confirmed that Chen and two other Chinese nationals were arrested. Chen’s Cambodian citizenship was revoked in December, and his company has been under scrutiny by U.S., European, and Asian authorities, who imposed sanctions and sought asset forfeitures.
Allegations against Chen include running fraudulent schemes that have resulted in billions of dollars in losses, utilizing coerced labor to execute “pig butchering” scams targeting people worldwide. The operations have exploited individuals through fake job advertisements, leading to extensive criminal activities across multiple countries. Experts estimate that Cambodia hosts numerous fraud centers employing tens of thousands of workers, many of whom are trafficked.
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