Who Is the Alleged Leader and the Prince Group, Accused by the US and UK of Large-Scale Scam Operations?
The UK and United States have enforced measures on a multinational network based in south-east Asia, allegedly orchestrating large-scale online scam operations that are believed to exploiting victims of human trafficking to swindle people globally.
This industry has expanded in recent years, particularly in parts of Myanmar and Cambodia where countless individuals have been deceived by fraudulent employment offers and then coerced to carry out internet scams, such as romance scams, sometimes under the threat of torture.
The US treasury department stated it had implemented what it described as the most significant measure to date in Southeast Asia, targeting over a hundred individuals associated with the so-called organization, which the United Kingdom also penalized.
Those sanctioned include the leader of the Prince group, Chen Zhi, as well as more than a dozen persons linked with his business operations across Southeast Asia and Pacific regions.
Understanding the Prince Group and Who is Chen Zhi?
According to official statements, Chen Zhi, thirty-eight, also known as “the alias”, is the founder and chairman of Prince Holding Group (Prince Group), a global corporate entity headquartered in Cambodia which, as per its online presence, is centered around “property investment, banking operations and retail offerings”.
On October 14, American officials stated that the accused, who is still evading capture, had been charged with wire fraud conspiracy and conspiracy to launder money for directing the group's activities of fraud centers using coerced labor throughout Cambodia.
Chen’s rapid ascent to wealth has gained him significant political influence, comprising alleged consulting positions to Cambodia’s prime minister. Chen, a native of China from 1987, is thought to have bought citizenship in Cyprus and Vanuatu, and is also a Cambodian national.
Reasons Behind the Group Been Penalized?
The US justice department alleged people had been held against their will in the fraudulent operation centers linked with the group and made to participate in a range of fraudulent schemes that defrauded massive sums from targets in the US and globally.
As part of the probe into Chen, the US and UK have confiscated $15 billion (£11.3bn) in bitcoin and blocked properties in London.
The frozen properties are thought to include a £12m residence on a prestigious street, one of London’s most expensive addresses, a £95 million commercial building on a key financial avenue in the center of the City of London’s financial district, and multiple apartments in downtown London.
“Now the Federal Bureau of Investigation and allies carried out one of the largest financial fraud takedowns in recorded time,” said the bureau's head the official in a announcement about the actions.
Who else Are Implicated?
Based on the US assistant attorney general, Chen was the alleged “mastermind behind a sprawling cyber-fraud empire operating under the group's banner”. He was placed on a American blacklist this October together with more than a dozen additional persons believed to be involved in his business empire.
Over a hundred corporate bodies – based in multiple Asian jurisdictions among others – were also placed on a blacklist because of alleged links to the leader.
Impact of the Measures Do?
A representative from Cambodia's government told media outlets that the authorities would cooperate with other countries in the legal proceeding against Chen.
“We do not protecting individuals that violate the law,” he said. “But it does not mean that we are accusing the group or its leader of committing crimes similar to the allegations made by the United States or UK.”
In spite of the unprecedented tranche of sanctions, analysts say the scam industry is still massive, with the United Nations estimating in 2023 that about 100,000 people were being compelled to carry out internet fraud 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 industry in several south-east Asian countries, some worry any apprehensions will leave a vacuum for other transnational groups to take over.
