What Are the Alleged Leader and the Prince Group, Accused by the US and UK of Massive Scam Operations?
The UK and United States have enforced measures on a multinational network based in south-east Asia, allegedly running large-scale online scam operations that are suspected of exploiting trafficked workers to defraud people around the world.
This industry has flourished in the past few years, especially in parts of Cambodia and Myanmar where countless individuals have been deceived by false job adverts and then forced to commit internet scams, including romance scams, often under the threat of torture.
The US treasury department stated it had taken what it described as the most significant measure to date in south-east Asia, focusing on over a hundred individuals associated with the so-called organization, which the UK also penalized.
Those sanctioned comprise the leader of the Prince group, the accused figure, as well as more than a dozen persons connected to his business operations throughout Southeast Asia and Pacific regions.
Understanding the Alleged Syndicate and Who is Chen Zhi?
According to authoritative sources, Chen Zhi, thirty-eight, also known as “Vincent”, is the leader and establisher of the so-called conglomerate (Prince Group), a multinational business conglomerate based in Cambodia which, according to its website, is centered around “real estate development, financial services and retail offerings”.
On 14 October, American officials stated that Chen, who remains at large, had been indicted for wire fraud conspiracy and conspiracy to launder money for overseeing Prince Group’s operation of fraud centers using coerced labor across Cambodia.
Chen’s rapid ascent to wealth has gained him significant political influence, including reported advisory roles to Cambodia’s prime minister. The individual, born in China in 1987, is believed to have acquired nationality in Cyprus and Vanuatu, and is also a Cambodian national.
Reasons Behind the Group Been Sanctioned?
The Department of Justice alleged people had been held against their will in the fraudulent operation centers linked with the group and forced to engage in a range of fraudulent schemes that defrauded massive sums from victims in the United States and globally.
As part of the investigation into Chen, the United States and UK have confiscated $15 billion (£11.3 billion) in cryptocurrency and frozen properties in London.
The frozen properties are thought to include a £12 million residence on a prestigious street, one of the costliest locations in London, a £95m office block on a key financial avenue in the heart of the City of London’s financial district, and multiple apartments in downtown London.
“Today the Federal Bureau of Investigation and allies carried out one of the biggest crackdowns on fraud in history,” said FBI director the official in a announcement about the actions.
Who else Are Implicated?
According to the US assistant attorney general, the accused was the alleged “chief architect behind a sprawling cyber-fraud empire operating under the group's banner”. He was added to a US sanctions list this October alongside more than a dozen other individuals suspected of being involved in his business empire.
Over a hundred corporate bodies – based in Cambodia, Singapore, Hong Kong and Taiwan and more – were also added to a blacklist because of alleged links to the leader.
What will the Sanctions Achieve?
A representative from Cambodia's government told news agencies that the authorities would work together with other countries in the legal proceeding against the individual.
“We are not shielding individuals that break regulations,” the official said. “But it does not mean that we blame Prince Group or Chen Zhi of committing crimes like the allegations issued by the US or the UK.”
In spite of the unprecedented tranche of sanctions, experts say the scam industry is still massive, with the United Nations estimating in recent years that about a hundred thousand individuals were being compelled to execute internet fraud in Cambodia, as well as at least one hundred twenty thousand in Myanmar and many thousands in other Southeast Asian states.
Considering the widespread nature of the enterprise in several south-east Asian countries, some fear any apprehensions will leave a vacuum for additional global syndicates to take over.
