Who Are Chen Zhi and the So-Called Crime Network, Targeted by the US and UK of Massive Scam Operations?
The United Kingdom and US have enforced measures on a global syndicate based in Southeast Asia, accused of orchestrating extensive internet fraud schemes that are believed to using victims of human trafficking to defraud people around the world.
This criminal enterprise has expanded in the past few years, particularly in parts of Cambodia and Myanmar where countless individuals have been duped by fraudulent employment offers and then forced to carry out internet scams, including romance scams, often under the threat of torture.
The United States Treasury stated it had implemented what it called the most significant measure to date in south-east Asia, focusing on over a hundred individuals associated with the so-called organization, which the United Kingdom also penalized.
Those targeted comprise the head of the Prince group, the accused figure, as well as more than a dozen individuals linked with his commercial activities across south-east Asia and the Pacific.
What is the Alleged Syndicate and the Identity of Chen Zhi?
According to authoritative sources, Chen Zhi, thirty-eight, also known as “the alias”, is the leader and establisher of Prince Holding Group (the group), a global corporate entity headquartered in Cambodia which, according to its website, is focused on “real estate development, financial services and retail offerings”.
On 14 October, American officials stated that Chen, who remains at large, had been indicted for wire fraud conspiracy and money laundering conspiracy for overseeing the group's activities of fraud centers using coerced labor throughout the country.
His swift rise to riches has gained him substantial clout, comprising alleged consulting positions to Cambodia’s prime minister. Chen, born in China in 1987, is believed to have acquired nationality in Cyprus and Vanuatu, and is also a citizen of Cambodia.
Why have the Group Been Sanctioned?
The Department of Justice alleged people had been forcibly detained in the scam compounds linked with the group and made to engage in a range of fraudulent schemes that stole massive sums from targets in the US and worldwide.
As part of the probe into the leader, the United States and UK have seized $15 billion (ÂŁ11.3 billion) in cryptocurrency and blocked London assets.
The frozen properties are thought to include a £12m mansion on Avenue Road, one of the costliest locations in London, a £95m office block on Fenchurch Street in the heart of the City of London’s financial district, and multiple apartments in central London.
“Today the FBI and allies carried out one of the largest financial fraud takedowns in recorded time,” said FBI director the official in a statement about the actions.
Other Parties Is Involved?
Based on the senior justice official, Chen was the supposed “mastermind behind a sprawling cyber-fraud empire functioning under the Prince Group umbrella”. He was added to a US sanctions list this month alongside over a dozen other individuals suspected of being involved in his business empire.
More than 100 business entities – registered in Cambodia, Singapore, Hong Kong and Taiwan and more – were also placed on a blacklist because of suspected connections to Chen.
What will the Measures Achieve?
Cambodia’s interior ministry spokesperson told news agencies that the authorities would cooperate with foreign nations in the legal proceeding against Chen.
“We are not shielding individuals that violate the law,” the official said. “But it does not mean that we blame the group or its leader of committing crimes like the claims issued by the United States or UK.”
In spite of the historic set of penalties, experts say the fraud sector is still massive, with the United Nations estimating in recent years that about 100,000 people were being compelled to carry out online scams in Cambodia, as well as at least 120,000 in the neighboring country and many thousands in Thailand, Laos and the Philippines.
Given the prevalence of the enterprise in several south-east Asian countries, some worry any arrests will leave a vacuum for additional global syndicates to swoop in.
