Key Takeaways
- The US authorities seeks to seize around $14 billion in Bitcoin linked to Chen Zhi, accused of running a pig butchering scam.
- The case was filed in the Eastern District of New York, highlighting the US effort to recover assets from transnational fraud networks.
The US Department of Justice has filed a civil forfeiture complaint in federal court seeking to seize about 127,271 Bitcoin, worth approximately $14 billion, linked to Chen Zhi, the chairman of Cambodia’s Prince Group.
Zhi is accused of running forced-labor compounds involved in ‘pig butchering’ scams, online romance and investment fraud schemes that defrauded victims worldwide.
The US has intensified efforts to recover assets from international fraud schemes, including collaborations with platforms like Binance to trace and seize funds linked to pig butchering scams. The Eastern District of New York has handled multiple cases involving crypto forfeitures from romance scams as part of a broader push against transnational fraud networks.
Pig butchering scams have evolved to incorporate shell companies for laundering proceeds, with recent arrests of Chinese nationals highlighting their organized nature. Bitcoin has become increasingly targeted in law enforcement seizures tied to illicit activities as authorities expand recovery efforts.
Source: https://cryptobriefing.com/us-court-forfeiture-14b-bitcoin-chen-zhi-pig-butchering-scam/