Cambodian authorities have arrested and extradited to China the alleged mastermind behind one of Asia's most extensive online scam operations. Chen Zhi, the founder of the multinational Prince Holding Group, was detained alongside two associates following a request from Beijing.
The Transnational Criminal Empire
According to the United States Department of Justice, Chen Zhi's Prince Group served as a front for one of Asia's largest transnational criminal organisations. The US unsealed an indictment against him in October, charging him with fraud and money laundering. Prosecutors allege he presided over forced labour compounds in Cambodia, where trafficked workers were held in prison-like conditions and coerced into executing complex cryptocurrency investment scams.
These schemes, known as 'pig butchering', involve building trust with victims over time before stealing their funds. The operation is said to have netted billions of dollars, targeting victims globally. US authorities have linked the conspiracy to approximately 127,271 seized bitcoins, valued at over $11 billion at current prices.
Arrest and Diplomatic Cooperation
In a statement released on Wednesday, Cambodia's interior ministry confirmed the extradition of Chen Zhi and two other Chinese nationals, Xu Ji Liang and Shao Ji Hui. The operation was conducted on Tuesday under the framework of cooperation in combating transnational crime, following several months of joint investigation with Chinese authorities.
The ministry also noted that Chen's Cambodian nationality, which he had acquired, was revoked by a Royal Decree in December. This move paved the way for his extradition. Neither Chinese nor US officials provided immediate comment on the developments late on Wednesday.
Political Links and Global Fallout
Chen Zhi was a figure of significant influence in Cambodia. He had served as an adviser to both the current Prime Minister, Hun Manet, and his father, the former long-serving leader Hun Sen. US prosecutors claim Chen and his top executives used political connections and bribed officials in multiple countries to shield their illicit activities.
Since the US indictment and sanctions imposed by Washington and London in October, a frenzy of asset confiscations targeting Prince Group has been underway across Europe, the US, and Asia. The group, which operated in over 30 countries since around 2015, maintained a facade of legitimate businesses in real estate, financial services, and consumer sectors.
The case highlights the severe issue of scam centres across Southeast Asia. Experts say Cambodia, Myanmar, and neighbouring countries host dozens of such compounds, where tens of thousands—some willing, many trafficked—perpetrate online fraud. The Prince Group has consistently denied all allegations made against it.
If convicted in the US on the charges of wire fraud and money laundering conspiracy, Chen Zhi faces a potential prison sentence of up to 40 years.
