Financial Fraud

Chen Zhi, born in 1987, is a Chinese-born businessman who rose to prominence as the chairman of Prince Holding Group, a large Cambodian conglomerate with interests spanning real estate, financial services, aviation, and consumer businesses. For several years, he was publicly portrayed as a successful entrepreneur operating across Southeast Asia. However, from 2025 onward, authorities in the United States and the United Kingdom identified Chen Zhi as the alleged central figure behind one of Asia’s largest transnational cyberfraud and money-laundering networks. These findings triggered international sanctions, large-scale asset freezes, and eventually his arrest and extradition to China.According to indictments and official filings by the U.S. Department of Justice, the alleged fraud was built around scam centers operating in Cambodia. These facilities functioned like call centers and dormitories, where workers—some reportedly trafficked and coerced—were forced to carry out online investment scams and cryptocurrency fraud. Using fake identities on social media and messaging platforms, operators targeted victims worldwide, promising high returns through fabricated crypto trading platforms or online investment opportunities.A core tactic used in these schemes was known as “pig butchering,” a method in which scammers spend weeks or months building trust through personal conversations before persuading victims to transfer funds. Once the money was sent, communication stopped and the funds were moved beyond recovery. Authorities allege that the network generated billions of dollars in illicit proceeds through these methods.Investigators further allege that the stolen funds were laundered through layers of transactions involving Prince Group’s legitimate-appearing businesses, including real estate projects, banking operations, online gambling ventures, and cryptocurrency mining activities. U.S. authorities pursued civil forfeiture actions involving more than 127,000 bitcoins, one of the largest crypto-related seizures ever reported.Prosecutors also alleged that political influence and bribery were used to shield the operation from scrutiny, allowing the network to function for years. The scale of the enterprise was reinforced by a complex corporate structure spanning multiple jurisdictions, the use of several passports and residency programs, and the blending of illicit funds into lawful economic sectors.In October 2025, U.S. authorities imposed sweeping sanctions on Chen Zhi and Prince Group, designating them as part of a transnational criminal organization linked to cyberfraud, money laundering, forced labor, and human trafficking. In January 2026, Cambodian authorities arrested Chen, revoked his citizenship, and extradited him to China. The case highlights the growing importance of international cooperation, regulatory coordination, and geopolitical considerations in combating global financial fraud.