Photo by Alesia Kozik
The United States government has confiscated more than $14 billion (£10.5 billion) worth of Bitcoin and filed criminal charges against Chen Zhi, the UK and Cambodian national who founded the Prince Group, accusing him of masterminding a vast cryptocurrency fraud operation intertwined with human trafficking and forced labour in Cambodia.
Chen, who remains at large, was indicted on Tuesday in New York on charges of wire-fraud conspiracy and money laundering, according to the US Department of Justice (DOJ). Prosecutors described the case as one of the most significant financial takedowns in history and the largest-ever Bitcoin seizure, with approximately 127,271 Bitcoin now in the custody of the US government.
Sanctions and Asset Freezes Across Two Continents
The coordinated international operation has also resulted in sanctions from both the US and UK governments. Britain’s authorities confirmed that they have frozen Chen’s network of assets, which includes 19 properties in London, one of which is valued at nearly £100 million ($133 million).
The BBC has reached out to the Prince Group for comment, though the conglomerate has yet to issue a public statement.
A ‘Cyber-Fraud Empire’ Masquerading as a Business Conglomerate
The Prince Group, headquartered in Cambodia, presents itself as a multi-sector enterprise engaged in real estate, financial services, and consumer industries. However, according to US prosecutors, the company is, in fact, a front for one of Asia’s most expansive transnational criminal organisations.
The DOJ alleges that Chen oversaw an intricate web of fraudulent cryptocurrency operations, manipulating victims worldwide into transferring digital assets based on false investment promises. These unsuspecting investors were told their funds would generate substantial returns, but instead, their money was funnelled into an elaborate criminal network.
Scam Compounds and Online Fraud Networks
Court documents obtained by the BBC reveal that under Chen’s direction, the Prince Group constructed and operated at least ten scam compounds throughout Cambodia. These facilities were meticulously designed to maximize victim outreach and sustain long-term fraudulent activity.
Prosecutors said Chen’s associates acquired millions of mobile phone numbers and created extensive “phone farms” to run large-scale call centre scams. Two of these facilities alone reportedly housed 1,250 mobile phones, collectively managing around 76,000 fake social media accounts to lure unsuspecting victims.
Internal company materials discovered by investigators even included training guides instructing workers on how to build rapport with targets. Employees were warned not to use photos of women who appeared “too beautiful” in order to make scam profiles seem more credible.
Forced Labour and Human Suffering
Beyond financial fraud, prosecutors say the criminal enterprise relied heavily on human exploitation. Workers were allegedly trafficked into Cambodia and confined within “prison-like” compounds, where they were forced to participate in online scams targeting thousands of victims across the globe.
John A. Eisenberg, the US Assistant Attorney General for National Security, condemned the Prince Group as a “criminal enterprise built on human suffering,” highlighting the severe human rights violations embedded in its operations.
Lavish Spending and Luxury Purchases
Authorities allege that Chen and his network laundered the proceeds of their crimes through luxury spending and high-end acquisitions. The DOJ detailed extravagant expenditures including private jets, luxury watches, and rare artwork. Among these was a Picasso painting reportedly purchased from a New York City auction house using illicit funds.
In addition to lavish travel and entertainment, the group allegedly funneled millions through complex international transactions designed to disguise the source of the criminal profits.
Potential Sentencing and Ongoing Pursuit
If found guilty, Chen Zhi faces a maximum sentence of 40 years in prison. The DOJ has vowed to continue efforts to locate and apprehend him, describing the case as a landmark in global anti-fraud and anti-trafficking enforcement.
The Prince Group, once celebrated in Southeast Asia as a fast-growing conglomerate, now faces global scrutiny and collapse following the exposure of its alleged role in one of the largest crypto and human trafficking networks ever uncovered.
The UK government has frozen millions of pounds worth of assets linked to Cambodian businessman Chen Zhi, founder of the Prince Group, as part of a joint operation with the United States targeting what officials describe as a global criminal organisation involved in crypto fraud, money laundering, and forced labour.
According to the UK Foreign Office, Chen and his associates incorporated multiple businesses in the British Virgin Islands and used them to funnel illicit funds into high-value UK property investments. Among the assets now frozen are a £100 million office building in central London, a £12 million mansion in North London, and seventeen luxury flats across the city.
Chen Zhi and His Network Banned from UK Financial System
The British government announced on Tuesday that Chen Zhi and his network have been locked out of the UK’s financial system, a move that effectively bars them from conducting any form of financial or business transaction in the country.
Simultaneously, the US Department of Justice (DOJ) imposed parallel sanctions, formally designating the Prince Group as a criminal organisation. The group, which advertises itself as a leading Cambodian investment conglomerate, is accused of operating scam compounds and money-laundering networks across Asia.
“Ruining Lives and Buying Up London Homes”
UK Foreign Secretary Yvette Cooper condemned the network’s actions, accusing Chen and his associates of destroying lives through fraudulent activity while laundering their profits through London’s property market.
“They were ruining the lives of vulnerable people and buying up London homes to store their money,” Cooper said.
“Together with our US allies, we are taking decisive action to combat the growing transnational threat posed by this network — upholding human rights, protecting British nationals, and keeping dirty money off our streets.”
Casinos, Compounds, and Scam Centres
According to the Foreign Office, Chen and the Prince Group financed the construction of casinos and compounds in Cambodia that doubled as scam centres, where trafficked workers were forced to operate fraudulent schemes.
Four businesses linked to the alleged criminal operation have now been sanctioned in the UK:
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The Prince Group
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Jin Bei Group
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Golden Fortune Resorts World
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Byex Exchange
The Foreign Office added that the proceeds from these scams were laundered through property and offshore shell companies to conceal their origins and avoid scrutiny from international regulators.
Forced Labour and Human Trafficking Allegations
Two of the sanctioned entities, Jin Bei Group and Golden Fortune Resorts World, were previously identified in an Amnesty International report that documented the use of forced labour, torture, and abuse in Cambodian scam centres.
Investigators found that many of the workers were foreign nationals, lured into Cambodia by false job advertisements promising legitimate employment opportunities. Upon arrival, they were imprisoned in heavily guarded compounds and forced to conduct online scams under threat of violence.
The Foreign Office warned that these operations have expanded internationally, with scams now being conducted on an industrial scale, including in the United Kingdom. Tactics include romance frauds, where criminals build fake emotional relationships to deceive victims into transferring money.
“We Will Not Tolerate This” — UK Fraud Minister
Fraud Minister Lord Hanson condemned the Prince Group’s operations, describing the network’s scams as predatory and devastating for victims.
“Fraudsters prey on the most vulnerable by stealing life savings, ruining trust, and devastating lives,” Lord Hanson said.
“We will not tolerate this.”
Part of a Global Anti-Fraud Campaign
The joint UK-US sanctions mark the latest step in a coordinated global effort to dismantle transnational cyber-fraud networks operating out of Southeast Asia. Authorities in both countries have vowed to pursue further legal action and asset seizures against individuals and companies linked to Chen’s empire.
The Prince Group, once celebrated as a symbol of Cambodia’s economic growth, is now under international scrutiny amid mounting evidence of systemic exploitation, money laundering, and crypto crime.
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