Chinese authorities have confirmed the extradition of Chen Zhi, the alleged mastermind behind one of Asia’s largest cyber-fraud networks, following his arrest in Cambodia earlier this week. The high-profile transfer marks a major escalation in the regional crackdown on transnational scam syndicates operating across Southeast Asia.
Chen Zhi is escorted by Chinese security officers after being extradited from Cambodia to face fraud and cybercrime charges.(Source: chinaglobalsouth)
Chen, a 37-year-old billionaire businessman and founder of the Cambodia-based Prince Group conglomerate, arrived in China under heavy security. State media footage showed him being escorted off a plane in handcuffs, his head covered with a black hood, flanked by armed officers from China’s public security forces.
Who Is Chen Zhi?
Chen was once one of Cambodia’s most powerful and well-connected tycoons. After acquiring Cambodian citizenship in 2014, he built Prince Group into a sprawling empire with interests in real estate, banking, hospitality, and consumer finance across more than 30 countries.
The Prince Group headquarters in Phnom Penh, Cambodia, where Chen Zhi built his business empire. (Source: ABC)
He also cultivated strong political ties. Chen served as an adviser to Cambodia’s current prime minister Hun Manet and former leader Hun Sen, while his Prince Foundation donated millions of dollars to state-backed causes, including a high-profile contribution to Cambodia’s COVID-19 vaccine fund.
Behind the public image of a philanthropist and investor, however, US and Chinese authorities allege Chen was running a massive criminal operation.
US and UK Accusations
In October 2025, the US Department of Justice indicted Chen on wire fraud and money-laundering conspiracy charges, accusing him of overseeing a global cyber-fraud empire that stole billions of dollars from victims worldwide.
US prosecutors allege Chen controlled scam compounds in Cambodia and Myanmar, where trafficked workers were forced to run cryptocurrency investment schemes known as “pig-butchering” scams. Victims were groomed online over weeks or months before being persuaded to invest large sums, which were then stolen.
US authorities say billions of dollars in cryptocurrency linked to Chen Zhi’s scam network have been seized. (Source: BBC)
Authorities also seized more than 127,000 bitcoin, worth over $11 billion, allegedly linked to Chen’s network, one of the largest crypto-fraud seizures ever recorded.
Britain and the United States jointly sanctioned Prince Group, calling it a front for “one of Asia’s largest transnational criminal organisations.”
Cambodia Moves Against Prince Group
On the same day Chen was extradited, Cambodia’s central bank ordered the liquidation of Prince Bank, a lender founded by him and a key subsidiary of Prince Group. The bank has been barred from offering new services, though customers are still allowed to withdraw funds and repay loans.
Cambodian authorities confirmed that Chen’s Cambodian citizenship was revoked before his extradition, clearing the way for his transfer to China at Beijing’s request.
Two other Chinese nationals linked to the case were also extradited.
China Takes Control of the Case
China’s Ministry of Public Security described Chen as the “leader of a major transnational gambling and fraud syndicate.” It announced that arrest warrants will soon be issued for other senior members of what it called the “Chen Zhi criminal group.”
Chinese investigators have been probing Prince Group since at least 2020, when Beijing set up a special taskforce to investigate what it described as a “mega cross-border online gambling syndicate” based in Cambodia.
State media said Chen is suspected of crimes including fraud, illegal business operations, operating online casinos, and concealing criminal proceeds.
A Blow to the Scam Industry
Chen’s arrest is widely seen as one of the most significant moves yet against the scam-compound economy that has spread across Cambodia, Myanmar, Laos, and the Thai border regions.
Human rights groups estimate that hundreds of thousands of people have been trafficked into these compounds, where they are forced under threat of violence to scam victims around the world.
Amnesty International has identified at least 53 scam centres in Cambodia alone, describing widespread forced labour, torture, and detention inside the facilities.
Experts say Chen’s extradition only happened after months of growing international pressure on Cambodia to stop protecting powerful figures linked to scam operations.
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What Happens Next
It remains unclear whether China will eventually hand Chen over to the United States, where he faces criminal charges, or prosecute him domestically.
For now, Chinese authorities appear determined to make an example of him, signalling that further arrests of his network are imminent.
As one of the most prominent figures ever linked to Southeast Asia’s scam economy, Chen Zhi’s downfall represents a turning point, not just for Prince Group, but for a multibillion-dollar criminal industry that has operated in plain sight for years.
FAQs
- Was Chen Zhi protected by the Cambodian government?
There is no official proof that Chen Zhi was formally protected by the Cambodian government. However, investigators, journalists, and human-rights groups say his close ties to senior officials and elite business status allowed his empire to operate with little scrutiny for years.
- Is Prince Group a scam?
Prince Group claims to be a legitimate multinational company, but US and UK authorities allege it was used as a front for one of Asia’s largest cyber-fraud networks. The company has denied all accusations.
- What will happen to Prince Bank customers?
Cambodia’s central bank placed Prince Bank into liquidation but allowed customers to continue withdrawing funds and repaying loans. The bank can no longer operate or issue new services.
- Will Chen Zhi be sent to the United States?
Chen Zhi has been extradited to China, not the US. While the United States has charged him with fraud and money laundering, China is expected to prosecute him first. Any future transfer would depend on diplomatic and legal agreements.
- How do pig-butchering scams work?
Scammers build trust with victims online through dating apps or social media. Once trust is established, victims are encouraged to invest in fake crypto or trading platforms. When large sums are deposited, the scammers disappear with the money.
- Who runs Cambodia’s scam centres?
The scam centres are run by transnational criminal syndicates, often involving Chinese and Southeast Asian networks. They use casinos, real estate projects, and tech firms as cover for large-scale online fraud operations.
- How many people were trafficked in Chen Zhi’s network?
Exact numbers are unknown, but investigators believe thousands of people were trafficked into scam compounds linked to Chen Zhi’s operations across Cambodia and neighbouring countries.
- What crimes is Chen Zhi charged with?
Chen Zhi faces charges including wire fraud conspiracy, money laundering, operating illegal gambling operations, and running international scam networks that stole billions from victims worldwide.
- Why was Chen Zhi hooded during extradition?
Chinese authorities often hood high-profile suspects during transfers to control security, prevent public recognition, and signal the seriousness of the case.
- How big is the Southeast Asia scam industry?
The United Nations estimates the scam industry in Southeast Asia generates tens of billions of dollars annually, with hundreds of thousands of victims worldwide and large numbers of trafficked workers forced to run online fraud schemes.
