What Is Chen Zhi and the Prince Group, Targeted by the United States and United Kingdom of Massive Scam Operations?
The UK and US have imposed sanctions on a global syndicate operating from Southeast Asia, allegedly running large-scale online scam operations that are suspected of exploiting victims of human trafficking to swindle individuals around the world.
This industry has expanded in the past few years, particularly in parts of Cambodia and Myanmar where hundreds of thousands have been deceived by false job adverts and then coerced to carry out online fraud, such as romance scams, often under the menace of physical harm.
The United States Treasury stated it had implemented what it described as the most significant measure to date in south-east Asia, targeting 146 people associated with the Prince Group, which the UK also sanctioned.
Those sanctioned include the leader of the Prince group, the accused figure, as well as numerous individuals linked with his commercial activities across south-east Asia and the Pacific.
What is the Prince Group and Who is Chen Zhi?
According to authoritative sources, Chen Zhi, 38, also known as “Vincent”, is the leader and establisher of the so-called conglomerate (Prince Group), a multinational business conglomerate 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 is still evading capture, had been charged with conspiracy to commit fraud and money laundering conspiracy for overseeing the group's activities of fraud centers using coerced labor throughout the country.
Chen’s rapid ascent to wealth has gained him significant political influence, comprising alleged consulting positions to Cambodia’s prime minister. Chen, born in China in 1987, is thought to have acquired nationality in Cyprus and Vanuatu, and is also a citizen of Cambodia.
Reasons Behind the Group Been Penalized?
The Department of Justice alleged people had been forcibly detained in the scam compounds linked with the syndicate and forced to engage in a variety of deceptive practices that stole massive sums from targets in the United States and globally.
As part of the investigation into Chen, the United States and UK have confiscated $15 billion (£11.3bn) in cryptocurrency and blocked properties in London.
The frozen properties are believed to comprise a £12m mansion on Avenue Road, one of London’s most expensive addresses, a £95m office block on a key financial avenue in the heart of the City of London’s financial district, and multiple apartments in central London.
“Today the FBI and allies executed one of the biggest crackdowns on fraud in recorded time,” said the bureau's head Kash Patel in a announcement about the measures.
Who else Are Implicated?
According to the US assistant attorney general, Chen was the alleged “mastermind behind a vast digital scam network functioning under the group's banner”. He was added to a American blacklist this October together with over a dozen other individuals believed to be involved in his commercial network.
More than 100 business entities – registered in multiple Asian jurisdictions among others – were also added to a sanctions list because of alleged links to the leader.
Impact of the Sanctions Do?
A representative from Cambodia's government told media outlets that the authorities would cooperate with foreign nations in the legal proceeding against Chen.
“We are not protecting individuals that break regulations,” the official said. “However, this does not imply that we are accusing the group or its leader of engaging in illegal acts similar to the claims made by the United States or UK.”
Despite the unprecedented tranche of sanctions, analysts say the fraud sector is still enormous, with the United Nations calculating in recent years that about a hundred thousand individuals were being forced to execute online scams in the nation, as well as at least one hundred twenty thousand in the neighboring country and many thousands in other Southeast Asian states.
Given the prevalence of the enterprise in multiple south-east Asian countries, some fear any arrests will create a gap for other transnational groups to swoop in.
