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<p>In one of the largest crypto-related crackdowns in U.S. history, federal authorities have indicted Chen Zhi, the founder and chairman of Cambodia-based Prince Group, on charges of money laundering and wire fraud tied to global forced-labor scams and crypto fraud operations.</p>
<p>According to the Department of Justice (DOJ), the investigation led to the seizure of 127,271 Bitcoin, worth approximately $14.4 billion at current market value, marking the agency’s largest-ever crypto confiscation.</p>
<h2 id="one-of-the-most-significant-strikes">“One of the Most Significant Strikes”</h2>
<p>Attorney General Pamela Bondi called the case “one of the most significant strikes ever against the global scourge of human trafficking and cyber-enabled financial fraud.”<br> In a parallel action, the U.S. Department of the Treasury officially sanctioned Prince Group, designating it a transnational criminal organization and effectively freezing its assets under U.S. jurisdiction. The sanctions prohibit U.S. citizens and entities from conducting any business with the company or its affiliates.</p>
<h2 id="massive-bitcoin-forfeiture-order">Massive Bitcoin Forfeiture Order</h2>
<p>A court filing reviewed by Bitcoin Magazine shows that the U.S. government will seek formal forfeiture of the 127,271 BTC, alleging that the assets were obtained directly through proceeds of the Prince Group’s “pig butchering” operations. The filing cites Title 18, U.S. Code, Section 981(a)(1)(C), authorizing the seizure of property tied to wire fraud and human trafficking offenses. This unprecedented forfeiture underscores how deeply crypto assets have become entangled in the global crackdown on digital financial crimes.</p>
<blockquote class="twitter-tweet">
 <p>JUST IN: <img src="https://s.w.org/images/core/emoji/16.0.1/72x72/1f1fa-1f1f8.png" alt="🇺🇸" style="height: 1em; max-height: 1em;"> US government will seek forfeiture of 127,271 <a href="https://twitter.com/hashtag/Bitcoin?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">#Bitcoin</a> worth $14.1 billion tied to pig butchering scam <img src="https://s.w.org/images/core/emoji/16.0.1/72x72/1f440.png" alt="👀" style="height: 1em; max-height: 1em;"> <a href="https://t.co/wtA85aacjN" rel="noopener noreferrer nofollow">pic.twitter.com/wtA85aacjN</a></p>
 <p>— Bitcoin Magazine (@BitcoinMagazine) <a href="https://twitter.com/BitcoinMagazine/status/1978119617936490657?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">October 14, 2025</a></p>
</blockquote>
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<h2 id="a-network-built-on-exploitation">A Network Built on Exploitation</h2>
<p>Court filings allege that Chen and his executives built Prince Group into one of Asia’s largest criminal networks, orchestrating operations that trafficked hundreds of workers into barbed-wired compounds in Cambodia. Victims were reportedly forced to conduct online scams, including so-called “pig butchering” schemes, where unsuspecting individuals, many in the U.S., were tricked into sending crypto to fake investment platforms.<br> The DOJ said the illicit proceeds were laundered through complex blockchain transactions and used to fund extravagant personal purchases, including luxury real estate and a Picasso painting.</p>
<h2 id="fugitive-status">Fugitive Status</h2>
<p>Chen remains at large, with authorities coordinating internationally to locate him and his associates. Officials described the joint DOJ–Treasury move as a major escalation in efforts to dismantle crypto-enabled human trafficking rings across Southeast Asia.</p>
<p>“This case underscores how financial technology can be twisted for exploitation, and how determined we are to turn it back against those who abuse it,” Bondi said.</p>
<p><strong><a href="https://www.bloomberg.com/news/articles/2025-10-14/cambodian-corporate-chairman-charged-in-15-billion-crypto-fraud?srnd=phx-crypto" rel="noopener noreferrer nofollow">Source</a></strong></p>
<p>The post <a href="https://www.ethnews.com/u-s-indicts-prince-group-founder-in-14b-crypto-seizure-calls-it-a-global-forced-labor-empire/" rel="noopener noreferrer nofollow">U.S. Indicts Prince Group Founder in $14B Crypto Seizure, Calls It a “Global Forced-Labor Empire”</a> appeared first on <a href="https://www.ethnews.com" rel="noopener noreferrer nofollow">ETHNews</a>.</p>

U.S. Indicts Prince Group Founder in $14B Crypto Seizure, Calls It a “Global Forced-Labor Empire”

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