The US Department of Justice made a record seizure demand in bitcoin.
Those involved are accused of money laundering, investment fraud, forced labor, etc.
In an unprecedented joint action, authorities from the United States and the United Kingdom announced on October 14 that they had dealt a blow to a massive cryptocurrency scam network in Southeast Asia.
The United States Attorney’s Office for the Eastern District of New York and the National Security Division of the Department of Justice (DOJ) filed a lawsuit for civil forfeiture of 127,271 bitcoin (BTC), currently worth approximately 15 billion dollars (USD).
The complaint involves the largest forfeiture action in the history of the Department of Justice. Meanwhile, pending resolution, the coins have been seized by the United States government.
The funds belong to Chen Zhi, also known as “Vincent,” the founder and chairman of Prince Group. He is a fugitive and was charged, in federal court in Brooklyn, with wire fraud conspiracy and money laundering for running the group’s operation, a network that carried out online investment scams, including forced labor in Cambodia.
At the same time, the Office of Foreign Assets Control (OFAC) of the United States Department of the Treasury (DOJ) has imposed sanctions on 146 Prince Group targets. Likewise, the Foreign, Commonwealth and Development Office (FCDO) of the United Kingdom established sanctions on the group, as well as Chen Zhi and his key associates.
Additionally, the DOJ’s Financial Crimes Enforcement Network (FinCEN) finalized a rule to separate the conglomerate from the United States financial system Cambodia-based Huione Group. For years, this group has laundered proceeds from virtual currency scams and heists on behalf of malicious cyber actors, according to authorities.
These measures are the result of close coordination between the Federal Bureau of Investigation (FBI), the United States Attorney’s Office for the Eastern District of New York, as well as the DOJ and the United Kingdom’s FCDO.
Such events take place amid the growing union between international organizations, as reported by CriptoNoticias, to dismantle criminal activities with cryptocurrencies.