US and UK Sanction Cambodia-Based Prince Group Over $16B Scam

Contents

01

Largest Sanctions Move Targets Prince Group Scam Network

02

Massive Laundering Cuts Access to U.S. Financial System

03

Prince Groups Criminal Reach and Brutal Operations

04

Coordinated U.S.–U.K. Legal Actions and Asset Freezes

05

Expansion Into Palau and International Facilitation

06

Sanctions to Protect Public and Financial Integrity

Largest Sanctions Move Targets Prince Group Scam Network

The U.S. Treasury‘s Office of Foreign Assets Control (OFAC) and the Financial Crimes Enforcement Network (FinCEN), together with the United Kingdom’s Foreign, Commonwealth, and Development Office (FCDO), announced unprecedented sanctions against the Prince Group Transnational Criminal Organization (Prince Group TCO), based in Cambodia. This crackdown targets 146 individuals and entities tied to a sprawling criminal empire engaged in online investment scams targeting Americans and others globally, with losses exceeding $16.6 billion.

Massive Laundering Cuts Access to U.S. Financial System

Simultaneously, FinCEN finalized a landmark rule under the USA PATRIOT Act's section 311 to sever the Huione Group, a Cambodia-based financial conglomerate, from the U.S. financial system. The Huione Group laundered at least $4 billion in illicit funds derived from DPRK cyber heists and Southeast Asian scam operations, disrupting a critical laundering hub supporting sophisticated cryptocurrency fraud networks.

Prince Groups Criminal Reach and Brutal Operations

Led by Chen Zhi, a Chinese émigré turned Cambodian national, the Prince Group operates under the guise of a legitimate conglomerate investing in real estate, finance, and entertainment. The criminal network manages forced-labor scam compounds across Cambodia, where trafficked workers are held captive and coerced into running “pig butchering” scams—fraudulent crypto investment schemes that trick victims worldwide into investing and losing life savings.

These compounds are notorious for severe human rights abuses, including physical torture, sextortion, extortion, and forced labor. Workers often face brutal punishments if they fail to meet scam quotas. The group launders profits via a complex web of shell companies across Southeast Asia, Singapore, Hong Kong, the British Virgin Islands, Palau, and even the United States.

Coordinated U.S.–U.K. Legal Actions and Asset Freezes

The joint action also includes U.K. sanctions on Chen Zhi, Prince Group companies, and related entities, immobilizing assets such as luxury London real estate worth over £100 million. Concurrently, the U.S. Justice Department unsealed an indictment charging Chen Zhi with wire fraud conspiracy and money laundering, one of the largest criminal cases against a Southeast Asian scam network.

In a historic forfeiture, the U.S. government seized bitcoin valued at over $14 billion linked to Prince Group operations, marking the largest forfeiture action in U.S. history.

Expansion Into Palau and International Facilitation

The Prince Group has also sought to expand its operations internationally, collaborating with organized crime facilitators in Palau to develop luxury resorts under false investment pretenses. These efforts form part of a broader strategy to embed illicit capital in international real estate markets and evade law enforcement.

Sanctions to Protect Public and Financial Integrity

OFACs designations block all U.S. property and transactions involving designated individuals and entities, aiming to choke off financial flows and prevent access to the U.S. financial system. These measures also serve as a warning to non-U.S. persons about the risks of engaging with the Prince Group network, reinforcing global efforts against cyber-enabled financial crime and human trafficking.