Chen Zhi: Cambodian Businessman Arrested for Cryptocurrency Scam and Forced Labor
A Chinese businessman named Chen Zhi, accused of operating fraudulent internet centers using trafficked workers in Cambodia, has been arrested in Cambodia and extradited to China. The Cambodian authorities apprehended three Chinese nationals, including Chen Zhi, Xu Ji Liang, and Shao Ji Hui, and sent them back to China in response to a request from Chinese authorities. The operation was conducted as part of a joint effort to combat transnational crime.
Chen Zhi, the founder of Prince Holding Group, a major conglomerate in Cambodia, was charged by the US government with orchestrating a large-scale cryptocurrency scam involving forced labor camps. He was accused of wire fraud conspiracy and money laundering, allegedly using forced labor to deceive potential investors and using the profits to acquire luxury items. The FBI seized over US$14 billion in bitcoin in what was described as one of the most significant financial fraud crackdowns in history.
Chen Zhi's businesses faced sanctions from US and UK authorities as part of a coordinated action against a transnational criminal organization. The 37-year-old entrepreneur is the founding chairman of Prince Holding Group, with interests in real estate, financial services, and consumer businesses. The group's key entities include Prince Real Estate Group, Prince Huan Yu Real Estate Group, and Prince Bank, with projects worth over US$2 billion in Cambodia, including the prominent Prince Plaza shopping mall in Phnom Penh.
Reports indicate that Chen Zhi was born in China and holds citizenship in both Cambodia and the UK. Described as a respected entrepreneur and philanthropist in the Cambodian business community, he is involved in charitable activities through the Prince Foundation, the group's charitable arm. Chen has been an adviser to Prime Minister Hun Manet and former leader Hun Sen, holding the honorary title of "Neak Oknha," which means "prominent tycoon" bestowed by the government.
In conclusion, Chen Zhi, a prominent figure in the Cambodian business landscape, has been implicated in a high-profile cryptocurrency scam involving forced labor, leading to his arrest and extradition to China. The case highlights the international cooperation in combating financial fraud and transnational crime.