Chinese National Extradited to U.S. in $37M Cryptocurrency Scam Case
Federal prosecutors say 174 U.S. victims lost $36.9 million in the alleged scheme, which routed funds through a Bahamas bank and Cambodia wallets.
- On Friday, Chinese national Zheng Zhao appeared in a California federal court following his extradition from the Netherlands. Prosecutors charged the 44-year-old with conspiracy to commit money laundering in a Cambodia-based cryptocurrency investment scheme.
- Co-Conspirators contacted victims via social media and dating services, directing them to fake cryptocurrency platforms that falsely displayed investment gains. In reality, the money had been stolen rather than invested, according to federal prosecutors.
- Zhao, a former co-owner of Axis Digital Limited, allegedly laundered more than $36.9 million through Deltec Bank in the Bahamas. Funds were converted to Tether and transferred to scam-center leaders in Cambodia.
- "Wherever you are, we have the reach to find you," Assistant Attorney General A. Tysen Duva said. Zhao faces up to 20 years in prison if convicted and allegedly targeted 174 identified victims.
- Since 2020, the Justice Department's Criminal Division has secured convictions for over 180 cybercriminals and orders for over $350 million in victim fund returns. Recent investigations this month have shut down 241 websites and seized 112 servers linked to investment fraud schemes.
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11 Articles
Dutch Extradition Lands Suspect In Federal Court Over $37 Million Cambodian Crypto Scam
A 44-year-old Chinese citizen appeared in federal court in California following his extradition from the Netherlands in connection with an overseas cryptocurrency fraud ring that stole tens of millions of dollars from Americans, the Justice Department announced. Zheng Zhao was arraigned in the U.S. District Court for the Central District of California on a charge […] Dutch Extradition Lands Suspect In Federal Court Over $37 Million Cambodian Cry…
Crypto scam suspect extradited to US in $36.9m case involving 174 victims
A Chinese national has been extradited from the Netherlands to Los Angeles over an alleged Cambodia-based crypto investment scam that targeted 174 identified Americans and moved more than $36.9 million through a Bahamas bank account. The U.S. Department of Justice…
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