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, allegedly running large-scale online scam operations that are suspected of exploiting trafficked workers to defraud people around the world.
This criminal enterprise has flourished in recent years, particularly in certain areas in Cambodia and Myanmar where hundreds of thousands have been deceived by fraudulent employment offers and then forced to commit online fraud, such as romance scams, often under the menace of torture.
The US treasury department stated it had implemented what it called the most significant measure to date in Southeast Asia, focusing on 146 people associated with the so-called organization, which the United Kingdom also penalized.
Those targeted comprise the leader of the Prince group, the accused figure, as well as numerous persons connected to his commercial activities throughout south-east Asia and the Pacific.
What is the Alleged Syndicate and the Identity of Chen Zhi?
Based on authoritative sources, Chen Zhi, 38, also referred to as “Vincent”, is the founder and chairman of the so-called conglomerate (the group), a global corporate entity headquartered in the Southeast Asian nation which, as per its online presence, is focused on “real estate development, banking operations and consumer services”.
On October 14, US authorities stated that Chen, who remains at large, had been charged with conspiracy to commit fraud and money laundering conspiracy for overseeing Prince Group’s operation of fraud centers using coerced labor throughout Cambodia.
His swift rise to riches has gained him significant political influence, comprising alleged consulting positions to the nation's leader. Chen, born in China in 1987, is thought to have bought citizenship in Cyprus and Vanuatu, and is also a Cambodian national.
Reasons Behind They Been Sanctioned?
The US justice department claimed individuals had been forcibly detained in the scam compounds connected to the syndicate and made to participate in a variety of fraudulent schemes that stole massive sums from victims in the United States and globally.
As part of the probe into Chen, the US and UK have seized $15 billion (£11.3bn) in bitcoin and frozen London assets.
The frozen properties are thought to include a £12 million residence on Avenue Road, one of London’s most expensive addresses, a £95m office block on a key financial avenue in the center of the London's banking area, and multiple apartments in downtown London.
“Today the Federal Bureau of Investigation and allies executed one of the biggest crackdowns on fraud in recorded time,” said FBI director Kash Patel in a statement about the actions.
Who else Are Implicated?
According to the US assistant attorney general, Chen was the supposed “mastermind behind a sprawling digital scam network operating under the Prince Group umbrella”. He was added to a American blacklist this October alongside over a dozen additional persons suspected of being involved in his commercial network.
More than 100 business entities – registered in multiple Asian jurisdictions among others – were also placed on a sanctions list because of alleged links to the leader.
What will the Measures Achieve?
A representative from Cambodia's government told media outlets that the authorities would cooperate with other countries in the case against Chen.
“We do not shielding persons that break regulations,” he said. “But it does not mean that we are accusing the group or its leader of engaging in illegal acts like the allegations issued by the US or the UK.”
Despite the historic set of penalties, experts say the fraud sector is still massive, with the United Nations calculating in 2023 that about 100,000 people were being compelled to execute internet fraud in the nation, as well as at least one hundred twenty thousand in Myanmar and tens of thousands in other Southeast Asian states.
Considering the prevalence of the industry in several south-east Asian countries, certain fear any apprehensions will create a gap for other transnational groups to take over.
