Cambodia has extradited billionaire businessman Chen Zhi to China following months of joint investigations into a sprawling cyber fraud network that authorities say relied on trafficked workers and forced labor to steal cryptocurrency from victims around the world.
Chen, 37, was arrested earlier this month along with two other Chinese nationals and transferred to Chinese custody at Beijing’s request, Cambodian officials confirmed. Chinese state media later aired footage showing Chen under armed escort after arriving in the capital, describing him as the leader of a large cross-border gambling and fraud organization.
The extradition follows growing international pressure on Cambodia to confront scam operations that have flourished across parts of Southeast Asia. The United Nations estimates that hundreds of thousands of people have been trafficked into the region, often lured by promises of legitimate jobs and then held in guarded compounds where they are forced to run online scams under threat of violence.
U.S. authorities charged Chen in October with wire fraud and money laundering, accusing him of overseeing internet scams that generated billions of dollars in illicit cryptocurrency proceeds. Investigators alleged that his Cambodia-based Prince Group conglomerate served as a front for a network of fraud centers operating across multiple countries. British authorities later imposed sanctions on the group, while the United States seized roughly $15 billion in bitcoin believed to be linked to Chen’s activities.
In a parallel move, Cambodia’s central bank ordered the liquidation of Prince Bank, a financial institution founded by Chen and tied to Prince Group. The bank has been barred from issuing new services, though existing customers are still permitted to access deposits and repay loans. Officials did not publicly link the decision to Chen’s arrest, but the action marks one of the most visible domestic steps taken against his business interests.
China’s state broadcaster said Chen is suspected of a range of crimes, including fraud, illegal business operations, operating casinos, and concealing criminal proceeds. Authorities indicated that additional arrest warrants are expected for other members of the network and urged suspects to surrender voluntarily.
Chen’s path to extradition was complicated by his personal status. Born in China, he became a Cambodian citizen in 2014 after relinquishing his Chinese nationality. Cambodian officials revoked that citizenship by royal decree last month, clearing the way for his transfer. His whereabouts had been unclear since the U.S. indictment, adding to speculation about whether he would face prosecution abroad.
Prince Group has previously denied involvement in criminal activity, stating that it operates legitimate businesses spanning real estate, finance, hospitality, and consumer services. The company did not immediately respond to requests for comment following the extradition or the bank liquidation.
Rights organizations have long criticized Cambodia for allowing scam centers to operate with limited oversight, arguing that corruption and economic dependence have slowed enforcement efforts. Some analysts estimate that scam-related activity represents a large share of Cambodia’s economy, raising concerns about the social and political costs of a full crackdown.
For Chinese authorities, Chen’s extradition reflects a broader push to pursue fraud suspects beyond national borders as online scams increasingly target victims inside China. Officials say cooperation with neighboring countries will continue as they attempt to dismantle networks that rely on human trafficking and digital deception.
As investigations proceed, Chen’s case is likely to test how far regional governments are willing to go in confronting an industry that has thrived in the shadows while causing widespread financial and human harm.
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Cambodia = Orange
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