Cambodian authorities have extradited billionaire Chen Zhi to China, where he is set to confront serious allegations related to a large-scale cryptocurrency scam. This significant legal action follows his arrest on January 6, alongside two of his business associates. As the leader of the Prince Group, the 37-year-old Zhi is accused of orchestrating an international fraud scheme that reportedly involved forced labor to extract billions from unsuspecting victims worldwide.
The implications of Chen Zhi”s operations have reverberated across multiple continents, with US prosecutors describing the case as one of the most extensive financial crimes ever recorded. Investigations have revealed that Zhi operated a clandestine network of “scam factories” in Cambodia, where trafficked individuals were compelled to execute fraudulent activities under duress. Reports indicate that these workers faced threats of violence and were forced to labor for as long as 18 hours a day.
Within these compounds, workers utilized social media and dating applications to establish rapport with potential victims. Once trust was built, they lured individuals into investing in fictitious platforms. The funds amassed through these scams were subsequently laundered through the Prince Group”s extensive business operations.
In a related effort, the US Department of Justice took unprecedented action in October to seize approximately $15 billion in Bitcoin, marking the largest forfeiture in the department”s history. The FBI has also targeted luxury assets and real estate linked to Chen Zhi, while governments in the UK and South Korea have joined forces to impose sanctions on the Prince Group and its executives, aiming to prevent the continued flow of wealth accrued through human exploitation.
Chen Zhi”s criminal enterprise allegedly utilized at least ten major facilities across Cambodia, characterized by high walls and barbed wire designed to confine workers. Prosecutors claim that many migrants were enticed to these locations with promises of lucrative job offers, only to find themselves trapped in violent forced labor scenarios. Evidence suggests that Zhi meticulously documented the operations, maintaining detailed ledgers that recorded profits and the specific activities occurring in various rooms of the scam facilities. Disturbingly, he also possessed photographic evidence of the brutal methods employed to maintain control over his workers.
For years, Chen Zhi enjoyed dual nationality and significant protection from the Cambodian elite. He renounced his Chinese citizenship in 2014 to solidify his Cambodian status, which allowed him to expand Prince Group”s diverse business interests in sectors such as real estate and banking. However, a royal decree issued late last year revoked his citizenship, paving the way for his arrest and subsequent extradition to China.
