The biggest crypto scandal in history: $14 billion worth of Bitcoin seized
The Chronify
A massive cryptocurrency scandal has shocked the world. The U.S. government has seized more than $14 billion worth of Bitcoin. At the same time, Cambodian businessman Chen Zhi has been accused of being the mastermind behind this fraudulent network.
Chen Zhi is the founder and chairman of Prince Group, a Cambodia-based multinational conglomerate. On Tuesday, U.S. prosecutors in New York charged him with conspiracy to commit wire fraud and money laundering. According to the U.S. Department of Justice, Chen Zhi built a vast cyber fraud empire through his company, deceiving people around the world online in the name of investment.
Court documents reveal that Prince Group operated at least 10 scam centers in Cambodia, where thousands of fake social media accounts were used to carry out fraudulent schemes. Officials also alleged that human trafficking and forced labor took place at these centers.
U.S. Assistant Attorney General John Eisenberg said, “Prince Group is a criminal network built on human suffering. They imprisoned people and forced them into fraud.”
According to the Department of Justice, Chen Zhi and his associates lived a lavish lifestyle with their illegal earnings purchasing luxury watches, private jets, artworks, and even a painting by Picasso. If convicted, Chen Zhi could face up to 40 years in prison.
The United Kingdom also participated in the operation, seizing 19 properties in London belonging to Chen Zhi and his associates one of which is valued at approximately $133 million. The U.K. has officially designated Prince Group as a criminal organization.
British Foreign Secretary Yvette Cooper said, “They destroyed the lives of vulnerable people and hid their money by buying houses in London. Together with the United States, we are taking strong action against this criminal network.”
According to the UK Foreign Office, Prince Group and its affiliated companies operated casinos and scam centers linked to money laundering activities. As a result, four companies Prince Group, Jin Bei Group, Golden Fortune Resorts, and Byex Exchange have been banned.
A report by Amnesty International stated that many foreign workers employed in these organizations were detained and forced to commit fraud.
U.S. officials have described this case as “the largest financial operation and the biggest Bitcoin seizure in history.”
