Alleged Scam Kingpin Chen Zhi Extradited to China After Cambodia Arrest

Source: CoinEdition Original Title: Alleged Scam Kingpin Chen Zhi Sent to China After Cambodia Arrest Original Link: Chen Zhi, accused of running one of the world’s biggest online scam networks, was arrested in Cambodia and extradited to China after months of international investigations into a vast criminal enterprise linked to fraud and crypto crime.

Following a request from Chinese police, Cambodian officials canceled Chen’s citizenship and transferred him to China’s Ministry of Public Security, with the Ministry calling the handover a significant victory against global criminal networks.

US prosecutors had indicted Chen Zhi for operating a massive online fraud operation. The scheme reportedly stole billions of dollars, largely through “pig butchering” crypto scams where scammers befriend victims online and then trick them into sending money to fake investment websites.

The US Department of Justice, the Treasury Department, and the UK Foreign Office have sanctioned Chen and his associates, accusing them of wire fraud, money laundering conspiracies, and using legitimate business fronts to mask criminal operations.

Authorities seized over $14 billion in cryptocurrency assets connected to Chen’s network, making it the largest crypto seizure ever tied to a single fraud case.

Facade and Fraud

Chen Zhi created Prince Holding Group, a large company with businesses in real estate, banking, finance, and entertainment. While it appeared to be a legitimate enterprise, US and UK officials claimed it was actually a cover for criminal activity, using fake companies and business branches to move illegal money across over 30 countries.

Investigators have also tied his network’s scam operations to forced labor and human trafficking. Reports allege that workers were kept in locked compounds in Cambodia and neighboring countries, forced to run online scams. Human rights organizations have described the conditions at these locations as severe and abusive.

Chen’s extradition revealed a complex legal and political situation. Although US authorities had charged and sanctioned Chen, Cambodian officials transferred him to China following a request from Chinese law enforcement.