President José Ramos-Horta of Timor-Leste has issued a stark warning about the nation's vulnerability to infiltration by foreign organised crime syndicates. His statement comes amid heightened concerns over the threat posed by online scam centres, with Australian federal police confirming increased support for local law enforcement efforts in the tiny Southeast Asian country.
Australian Federal Police Bolster Regional Cybercrime Response
The Australian Federal Police (AFP) disclosed to the Guardian that they are intensifying their focus on cybercrime and digital forensics capability development within the region. This initiative is a direct response to the growing menace of online scam centres. A spokesperson for the AFP highlighted that the agency's digital forensic and cyber experts conducted a visit to Timor-Leste in December 2025, underscoring a commitment to collaborative security measures.
Investigation Links Resort Project to Sanctioned Prince Group
A joint investigation by the Guardian and the Organised Crime and Corruption Reporting Project has uncovered alleged connections between three individuals involved in a proposed "blockchain theme" resort project in Dili and the Prince Group. This Cambodia-based conglomerate, which describes itself as focusing on real estate, financial services, and consumer services, was sanctioned by the US and UK governments in October 2025.
US authorities have accused the Prince Group of operating forced-labour scam compounds that engaged in industrial-scale cyber fraud, including cryptocurrency investment fraud schemes targeting victims globally. These activities are alleged to have resulted in billions of dollars in losses. In October 2025, Prince Group's founder, Chen Zhi, was indicted on wire fraud and money laundering charges, with authorities seizing $15 billion in bitcoin and freezing assets linked to the group.
President Ramos-Horta's Firm Stance on Crime and Investment
In a statement published on the president's website, Ramos-Horta emphasised that Timor-Leste remains alert to the dangers of organised crime. However, he expressed caution about accepting information solely from media reports or individuals who might seek to tarnish the country's reputation. "Currently, I do not see any organised crime installed in Timor-Leste," he asserted, while acknowledging the need for vigilance.
Ramos-Horta also addressed the involvement of investor Lin Xiaofan, also known as Frank Lin, in the resort project. He welcomed Lin as he would any investor, noting that all activities had been conducted within a legal framework. "Mr. Lin has done nothing wrong in Timor-Leste," Ramos-Horta wrote, adding that the government would decide on investments based on their benefit to the country.
International Collaboration and Denials from Prince Group
The Australian government, through the Department of Foreign Affairs and Trade, stated it is working closely with Timor-Leste to address transnational crime and strengthen regional security. This cooperation was formalised in January with the establishment of a New Partnership for a New Era between Prime Minister Anthony Albanese and Timor-Leste's Prime Minister Xanana Gusmão, focusing on common security interests.
Meanwhile, a spokesperson for the Prince Group denied all allegations of criminal activity, describing them as baseless and a "cash grab." The spokesperson asserted that neither Chen nor the Prince Group had any knowledge or connection to Timor-Leste, dismissing the reports as salacious rumor-mongering. Current shareholders in the resort project have also denied any wrongdoing, stating that the three alleged Prince Group associates were dismissed immediately after US sanctions were announced.
This situation highlights the ongoing challenges faced by Timor-Leste as it navigates the complexities of foreign investment and transnational crime, with international partnerships playing a crucial role in safeguarding its security and economic development.
