**Department of Justice Seizes Record $15 Billion in Bitcoin from Cambodia-Based Cyber Fraud Operation**
SAN FRANCISCO (KGO) — The Department of Justice has seized a staggering $15 billion worth of Bitcoin from a cyber fraud operation based in Cambodia that targeted American victims.
An investigator from San Jose, Erin West, who is closely familiar with the case, visited one of the alleged scammer’s compounds overseas earlier this year. She is now sharing her findings and videos with the I-Team’s Dan Noyes.
The DOJ has indicted 38-year-old Chinese national Chen Zhi for wire fraud and money laundering conspiracy. Chen’s conglomerate of companies, called the Prince Group and based out of Cambodia, has been labeled a “transnational criminal organization.”
Authorities seized approximately 127,000 Bitcoin from Chen’s accounts, valued at $15 billion at the time. Much of this cryptocurrency was obtained from unsuspecting American victims.
“If you can grab $15 billion of this, then how much has gone through that man’s wallet? How much has he stolen? If we were able to take back $15 billion,” said cyber fraud investigator Erin West.
**Insight from the Investigator**
West, an attorney who retired from Santa Clara County’s fraud unit, launched her nonprofit Shamrock to help fraud victims. She personally visited one of Chen Zhi’s compounds in Cambodia.
“They’re filled, these whole dormitories are filled with people. You can see their laundry, you can see them inside, but there are no cars because nobody’s going anywhere,” West described.
Dan Noyes asked, “They’re being held there?”
West replied, “They’re being held captive. This is modern-day slavery. These are people that are being held against their will and being forced to scam 16 hours a day.”
**The Compound and Its Operations**
The cyber scam compound is disguised as an apartment building and even advertises rentals. When West and her journalist colleagues approached a guard with questions, they were met with resistance.
Chen reportedly used violence to keep workers in line, with the indictment stating he kept photographs documenting some of his harsh methods. The complaint also included an image of a rack holding thousands of cellphones.
West explained the scam process: “Sending out contact after contact. Once there’s a communication, and somebody wants to talk, that gets forwarded to a regular person to continue that communication.”
This leads into a process known as “pig-butchering,” where the scammer grooms the victim over days, weeks, or even months. “It’s a typical romance scam,” West explained, “where they show you this wealthy persona and say, ‘Do you know why I’m so wealthy? It’s because I invest in cryptocurrency, and I’ll teach you how to do that.’”
**Previous Experiences and Further Findings**
Last year, West visited another cyber fraud compound that had been busted in the Philippines. She described it as “more than 35 buildings designed and built solely for scamming.”
During that visit, she toured the opulent boss’s quarters, which included bill counters, a massive pool, luxury cars such as a Maybach and an armored Range Rover, and even a torture room for trafficked workers.
“They chain them up,” a guide said. “After chaining them up, they beat them up.”
**Looking Ahead**
While the bust in Cambodia and the seizure of $15 billion in Bitcoin is a significant win, West cautions victims against having high hopes of quickly recovering their money.
“This is a federal case. It will go through the legal system. And I don’t think it’s clear right now exactly who will be getting that money,” she said.
The investigation continues to progress. The indictment notes that Chen Zhi operated dozens of business entities in more than 30 countries and paid bribes to foreign public officials.
—
**Related Stories:**
– [San Jose Dad Lured to Bitcoin ATM by Scammer Claiming to Be Son in Latest Scheme to Steal Money](#)
– [Bitcoin ATMs Increasingly Used by Scammers to Target Victims, Critics Say](#)
https://abc7news.com/post/record-15-billion-bitcoin-cyber-scam-seizure-bay-area-investigator-visited-suspect-company-cambodia/18030089/
About the Author
