What Are the Alleged Leader and the Prince Group, Targeted by the US and UK of Massive Scam Operations?
The United Kingdom and US have enforced measures on a global syndicate based in south-east Asia, accused of orchestrating large-scale internet fraud schemes that are suspected of using trafficked workers to swindle people around the world.
This industry has expanded in the past few years, particularly in certain areas in Cambodia and Myanmar where hundreds of thousands have been duped by fraudulent employment offers and then forced to commit internet scams, such as romance scams, often under the menace of physical harm.
The US treasury department stated it had taken what it described as the largest action ever in Southeast Asia, targeting 146 people associated with the Prince Group, which the UK also sanctioned.
Those sanctioned include the head of the Prince group, the accused figure, as well as more than a dozen persons linked with his commercial activities across south-east Asia and the Pacific.
Understanding the Alleged Syndicate and the Identity of Chen Zhi?
Based on authoritative sources, Chen Zhi, 38, also known as “Vincent”, is the leader and establisher of Prince Holding Group (Prince Group), a global corporate entity headquartered in the Southeast Asian nation which, according to its website, is focused on “property investment, financial services and retail offerings”.
On 14 October, US authorities stated that the accused, who is still evading capture, had been indicted for conspiracy to commit fraud and money laundering conspiracy for overseeing Prince Group’s operation of forced labour scam compounds across Cambodia.
Chen’s rapid ascent to wealth has won him significant political influence, comprising reported advisory roles to the nation's leader. The individual, a native of China from 1987, is thought to have acquired nationality in Vanuatu and Cyprus, and is also a citizen of Cambodia.
Why have They Been Sanctioned?
The Department of Justice claimed individuals had been held against their will in the fraudulent operation centers linked with the syndicate and forced to participate in a variety of fraudulent schemes that stole billions of dollars from targets in the United States and worldwide.
As part of the investigation into Chen, the US and UK have confiscated $15bn (£11.3 billion) in cryptocurrency and frozen properties in London.
The frozen properties are believed to comprise a £12m residence on Avenue Road, one of London’s most expensive addresses, a £95m commercial building on Fenchurch Street in the heart of the London's banking area, and several flats in downtown London.
“Today the Federal Bureau of Investigation and partners carried out one of the largest financial fraud takedowns in recorded time,” said FBI director the official in a announcement about the measures.
Who else Is Involved?
Based on the US assistant attorney general, Chen was the supposed “chief architect behind a sprawling digital scam network functioning under the group's banner”. He was added to a US sanctions list this October alongside over a dozen additional persons suspected of being participating in his business empire.
Over a hundred corporate bodies – registered in multiple Asian jurisdictions and more – were also placed on a sanctions list because of suspected connections to the leader.
Impact of the Sanctions Achieve?
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 violate the law,” the official said. “However, this does not imply that we blame the group or its leader of committing crimes similar to the allegations made by the US or the UK.”
In spite of the unprecedented tranche of sanctions, analysts say the scam industry is still massive, with the United Nations calculating in recent years that about 100,000 people were being compelled to carry out online scams in Cambodia, as well as at least one hundred twenty thousand in Myanmar and tens of thousands in Thailand, Laos and the Philippines.
Considering the prevalence of the industry in multiple south-east Asian countries, certain fear any arrests will leave a vacuum for additional global syndicates to swoop in.
