U.S. Court Indicts Taiwanese Nationals in Major Scam Case

A U.S. federal court has indicted three Taiwanese nationals and nine companies based in Taiwan, following an extensive investigation into a forced labor scam. The announcement was made by the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC), which designated these individuals and firms as Specially Designated Nationals (SDNs).

The indictment, unsealed in Brooklyn, New York, identifies Chen Zhi, a dual Cambodian-British national, as the alleged mastermind behind a criminal operation involving fraud conspiracy and money laundering. Chen is accused of overseeing the Prince Holding Group’s forced-labor camps in Cambodia, where victims were reportedly coerced into participating in online scams. At its peak, the operation is said to have generated approximately US$30 million per day.

In a significant move, the U.S. government has seized Chen’s noncustodial digital wallet, containing the private keys to 127,271 bitcoins, valued at around US$150 billion. Despite the severity of the charges, Chen is not currently in custody. If convicted, he could face a prison sentence of up to 40 years.

According to the Treasury Department, the Prince Group has been classified as a Transnational Criminal Organization. U.S. Assistant Attorney-General for National Security John Eisenberg described the operation as a “criminal enterprise built on human suffering,” emphasizing the scale at which trafficked workers were exploited.

U.S. Attorney Joseph Nocella Jr highlighted the gravity of the case, stating, “This historic indictment… sends a strong message to fraudsters everywhere that we will pursue you no matter where you are.”

The three Taiwanese individuals named in the indictment are Huang Chieh, Shih Ting-yu, and Michelle Reishane Wang. The nine Taiwanese companies listed include Alphaconnect Investments Co Ltd, Greenbay Properties, and Taiwan Prince Real Estate Investment Co Ltd. Notably, eight of these companies share the same executive and are registered at a luxury apartment in Taipei’s Daan District.

An 18-month joint investigation by U.S. and U.K. authorities revealed that Chen and his associates allegedly funneled illicit proceeds abroad to fund lavish lifestyles, including the purchase of luxury homes, yachts, private jets, and fine art.

Authorities continue to investigate the network’s operations and the extent of its impact on victims worldwide. The indictments underscore a commitment to addressing human trafficking and fraud, aiming to protect vulnerable individuals from exploitation.