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US and UK Sanction Major Southeast Asian Fraud Networks, Targeting $4B Laundering Scheme

US and UK Sanction Major Southeast Asian Fraud Networks, Targeting $4B Laundering Scheme

Concerns over asset impact from U.S. sanctions on Chen Zhi’s Prince Group lead to large queues at Huione Group branches in Cambodia, with ongoing withdrawal issues stemming from earlier setbacks.

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Fact Check
The evidence strongly confirms the core claims of the statement. Multiple primary sources from the U.S. Treasury and the U.K. government (Sources 1, 7, 9, 16) explicitly state that the two countries have taken joint sanctions action against major fraud and cybercriminal networks in Southeast Asia. These sources, along with news reports (Source 10), also confirm the networks are involved in money laundering. However, none of the provided sources mention the specific figure of a '$4B laundering scheme.' The evidence refers more generally to 'billions' (Source 1) or 'billion-dollar' networks (Source 4). While the monetary value might be inaccurate or unverified by this specific evidence set, the central assertion about the joint US-UK sanctions on these networks is verifiably true.
Summary

On October 17, 2025, multiple Huione Group branches in Cambodia saw long queues for withdrawals amid concerns regarding the impact of U.S. sanctions on Chen Zhi, chairman of the Prince Group. The U.S. government is attempting to seize 127,271 Bitcoin, worth approximately $12 billion, linked to Zhi’s transnational scam network. The sanctions also targeted 146 entities in the Prince Group, known for involvement in money laundering and online fraud. Huione Pay, which lost its banking license in March 2025, continues to experience withdrawal problems from a previous run on funds.

Terms & Concepts
  • Bitcoin seizure: The act of government authorities confiscating Bitcoin, often as part of investigations into illicit activities like money laundering and fraud.
  • Pig-butchering scam: A fraudulent scheme where scammers gain the trust of victims, often through fake romantic relationships, convincing them to invest in fake crypto ventures, resulting in significant financial losses.