🔗 Share this article What Is the Alleged Leader and the So-Called Crime Network, Accused by the US and UK of Massive Scam Operations? The UK and US have imposed sanctions on a global syndicate operating from south-east Asia, accused of orchestrating extensive internet fraud schemes that are suspected of using trafficked workers to defraud people globally. This industry has expanded in the past few years, particularly in parts of Cambodia and Myanmar where countless individuals have been duped by fraudulent employment offers and then coerced to carry out online fraud, such as fake relationship schemes, often under the menace of torture. The United States Treasury stated it had implemented what it called the largest action ever in south-east Asia, focusing on 146 people connected to the so-called organization, which the UK also penalized. Those targeted include the leader of the Prince group, Chen Zhi, as well as more than a dozen persons connected to his business operations throughout south-east Asia and the Pacific. Understanding the Alleged Syndicate and the Identity of Chen Zhi? According to official statements, the individual in question, 38, also referred to as “the alias”, is the founder and chairman of the so-called conglomerate (Prince Group), a multinational business conglomerate headquartered in the Southeast Asian nation which, according to its website, is focused on “real estate development, financial services and retail offerings”. On October 14, US authorities stated that Chen, who is still evading capture, had been indicted for conspiracy to commit fraud and money laundering conspiracy for overseeing the group's activities of forced labour scam compounds throughout the country. His swift rise to riches has gained him substantial clout, comprising reported advisory roles to Cambodia’s prime minister. Chen, a native of China from 1987, is thought to have bought citizenship in Vanuatu and Cyprus, and is also a citizen of Cambodia. Reasons Behind the Group Been Sanctioned? The Department of Justice claimed individuals had been forcibly detained in the scam compounds linked with the group and made to participate in a range of fraudulent schemes that defrauded billions of dollars from targets in the United States and globally. As part of the investigation into the leader, the United States and UK have confiscated $15 billion (£11.3bn) in cryptocurrency and frozen properties in London. The seized assets are believed to comprise a £12m residence on a prestigious street, one of London’s most expensive addresses, a £95m office block on Fenchurch Street in the heart of the City of London’s financial district, and multiple apartments in downtown London. “Now the FBI and partners carried out one of the biggest crackdowns on fraud in recorded time,” said FBI director the official in a statement about the measures. Who else Is Involved? Based on the US assistant attorney general, Chen was the alleged “chief architect behind a vast digital scam network functioning under the group's banner”. He was placed on a American blacklist this month together with over a dozen other individuals believed to be participating in his commercial network. Over a hundred corporate bodies – registered in multiple Asian jurisdictions and more – were also added to a blacklist because of suspected connections to Chen. Impact of the Sanctions Do? Cambodia’s interior ministry spokesperson told media outlets that the government would work together with other countries in the legal proceeding against Chen. “We do not shielding persons that violate the law,” the official 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 scam industry is still enormous, with the United Nations estimating in 2023 that about a hundred thousand individuals were being forced to carry out internet fraud in Cambodia, as well as at least 120,000 in Myanmar and many thousands in other Southeast Asian states. Considering the prevalence of the industry in several south-east Asian countries, some fear any arrests will create a gap for additional global syndicates to take over.