The U.S. Department of Justice (DOJ) has confiscated a staggering $15 billion in Bitcoin from a notorious criminal enterprise known as the Prince Group. Led by its chairman, Chen Zhi, the organization perpetrated massive cryptocurrency investment scams, commonly referred to as “pig butchering.” These schemes involved criminals befriending victims online through social media and dating apps, building trust, and then manipulating them into depositing money into fake investment platforms. Instead of being invested, the funds were stolen and funneled into accounts controlled by the scammers. The DOJ’s action is part of a broader crackdown on these fraudulent activities, which have cost U.S. victims billions of dollars.
According to recently unsealed court documents, the Prince Group operated on a vast scale, utilizing over 100 shell and holding companies across more than 30 countries. The organization, which has been active since at least 2015, forced hundreds of individuals into violent labor camps in Cambodia, where they were made to work as accomplices. These compounds, surrounded by high walls and barbed wire, functioned as “forced labor camps” where workers operated automated call centers using millions of phone numbers to facilitate the scams. This system of human trafficking and forced labor was central to the group’s operations.
Chen Zhi, the group’s elusive chairman, masterminded the complex fraud scheme but remains at large. He was directly involved in bribing public officials to evade law enforcement and personally managed the scam compounds, often using violence against those within them. Zhi also directed his accomplices to employ sophisticated money laundering techniques like “spraying” and “funneling,” which involved distributing large amounts of cryptocurrency across numerous digital addresses to obscure the origin of the illicit funds. The cryptocurrency was then converted to traditional currency and deposited into bank accounts or sent to exchanges, making it extremely difficult to trace.
The proceeds from these criminal activities were used to fund a lavish lifestyle. The criminals splurged on luxury travel, extravagant purchases, and high-value items, including yachts, private jets, vacation homes, and even a Picasso painting purchased at an auction in New York City. The vast sums of stolen money illustrate the significant financial impact on victims. In a coordinated effort with the UK, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) also sanctioned Chen Zhi and 146 other individuals linked to the Prince Group, highlighting the international scope of the investigation.
The U.S. government estimates that Americans lost at least $10 billion to Southeast Asia-based scam operations in 2024 alone, a 66% increase from the previous year. The Prince Group’s activities were a major contributor to this staggering total. The successful seizure of assets and the coordinated sanctions serve as a critical step in combating these pervasive online investment scams and holding those responsible accountable. This case underscores the evolving nature of financial crime and the need for international cooperation to dismantle these sophisticated networks.
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