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AUTHORITIES have confiscated over £11.3 billion in bitcoin and luxurious London properties as part of a crackdown on romance scam operations.
The joint UK-US initiative uncovered centers in Cambodia and Myanmar that employed forced labor to deceive unsuspecting buyers out of their savings through fraudulent romance and cryptocurrency schemes.
A £12 million mansion in North London was included in the sanctionsCredit: FCDO
Employees who successfully trap their victims then launder the proceeds they collectCredit: US District Court EDNY
The amount seized is the largest in the history of the Department of Justice.
A total of 19 luxury properties have also been confiscated by the two governments, including a £12 million mansion in North London and a £100 million office in the City of London.
Workers in scam centers are often foreign nationals who believe they are taking legitimate jobs but are coerced into victimizing others under the threat of violence.
If these workers successfully manipulate victims, the funds are laundered through a complex system.
Among those accused of involvement in the scams are the Prince Holding Group, a multinational corporation based in Cambodia, along with its chairman and founder, Chen Zhi.
The sanctions will immediately freeze these businesses and properties, effectively excluding Chen and his network from the UK’s financial system.
“The masterminds behind these horrific scam centers are destroying the lives of vulnerable individuals while acquiring London properties to safeguard their money,” stated Foreign Secretary Yvette Cooper.
“In collaboration with our US allies, we are taking decisive measures to address the escalating transnational threat posed by this network – protecting human rights, safeguarding British citizens, and eliminating illicit funds from our streets.”
Detective Superintendent Gary Miles from the City of London Police, who oversees scam investigations, previously warned: “Romance fraudsters exploit the kindness and compassion inherent in all of us, employing highly manipulative and coercive tactics for their own benefit.
“Romance fraud can lead to individuals losing their hard-earned savings, accumulating tens of thousands in debt, and in some extreme cases, having to remortgage their homes.”
Fraud Minister Lord Hanson has cautioned criminals that a new sophisticated fraud prevention program will be implemented.
He remarked: “Fraudsters target the most vulnerable by stealing life savings, undermining trust, and devastating lives.
“We will not tolerate this.
“These sanctions demonstrate our resolve to halt those who profit from such activities, hold offenders accountable, and keep illicit money out of the UK.
“Through our newly expanded fraud strategy and the forthcoming global fraud summit, we will further disrupt corrupt networks and protect the public from unscrupulous criminals.”
US Attorney General Pamela Bondi added: “Today’s action represents one of the most significant blows ever against the global menace of human trafficking and cyber-enabled financial fraud.”
Frequently Asked Questions
What is the main focus of the UK-US operation?
The operation primarily targets romance scam centers that deceive victims out of their savings using fake romance and cryptocurrency schemes.
What actions have been taken against the implicated parties?
The authorities have seized over £11.3 billion in assets and frozen 19 luxury properties linked to the scams.
How do these scams typically operate?
Scammers often manipulate victims through fake romantic relationships, coercing workers into facilitating these scams under duress.
