What Is the Alleged Leader and the Prince Group, Accused by the US and UK of Massive Fraudulent Schemes?
The UK and United States have imposed sanctions on a global syndicate based in south-east Asia, allegedly orchestrating large-scale internet fraud schemes that are suspected of exploiting victims of human trafficking to defraud people around the world.
This industry has flourished in recent years, particularly in certain areas in Cambodia and Myanmar where hundreds of thousands have been deceived by false job adverts and then coerced to commit internet scams, including romance scams, often under the menace of torture.
The United States Treasury stated it had taken what it described as the most significant measure to date in Southeast Asia, focusing on 146 people associated with the so-called organization, which the UK also penalized.
Those targeted comprise the head of the Prince group, the accused figure, as well as more than a dozen individuals connected to his commercial activities across south-east Asia and the Pacific.
Understanding the Prince Group and the Identity of Chen Zhi?
Based on authoritative sources, Chen Zhi, 38, also referred to as “Vincent”, is the founder and chairman of the so-called conglomerate (Prince Group), a multinational business conglomerate headquartered in Cambodia which, as per its online presence, is focused on “real estate development, banking operations and retail offerings”.
On October 14, American officials stated that Chen, who remains at large, had been indicted for conspiracy to commit fraud and conspiracy to launder money for directing the group's activities of fraud centers using coerced labor throughout Cambodia.
His swift rise to riches has won him significant political influence, including reported advisory roles to Cambodia’s prime minister. The individual, a native of China from 1987, is believed to have bought citizenship in Vanuatu and Cyprus, and is also a citizen of Cambodia.
Reasons Behind They Been Penalized?
The Department of Justice alleged individuals had been forcibly detained in the fraudulent operation centers connected to the syndicate and made to participate in a range of deceptive practices that stole billions of dollars from targets in the United States and worldwide.
As part of the probe into the leader, the United States and UK have confiscated $15 billion (£11.3bn) in bitcoin and blocked properties in London.
The frozen properties are believed to comprise a £12m residence on Avenue Road, one of the costliest locations in London, a £95m office block on a key financial avenue in the center of the London's banking area, and several flats in central London.
“Now the Federal Bureau of Investigation and partners carried out one of the biggest crackdowns on fraud in history,” said FBI director Kash Patel in a statement about the measures.
Who else Are Implicated?
According to the US assistant attorney general, Chen was the supposed “chief architect behind a sprawling digital scam network operating under the group's banner”. He was placed on a US sanctions list this October alongside over a dozen additional persons suspected of being involved in his commercial network.
Over a hundred corporate bodies – based in multiple Asian jurisdictions among others – were also placed on a sanctions list because of suspected connections to the leader.
Impact of the Measures Do?
A representative from Cambodia's government told news agencies that the authorities would cooperate with foreign nations in the case against the individual.
“We do not shielding individuals that violate the law,” he said. “However, this does not imply that we are accusing Prince Group or Chen Zhi of committing crimes like the claims made by the United States or UK.”
Despite the unprecedented tranche of sanctions, analysts say the fraud sector is still massive, with the United Nations estimating in recent years that about a hundred thousand individuals were being forced to carry out internet fraud in Cambodia, as well as at least one hundred twenty thousand in the neighboring country and many thousands in other Southeast Asian states.
Considering the widespread nature of the industry in several south-east Asian countries, some fear any arrests will leave a vacuum for other transnational groups to take over.
