23 indicted, $11M in USDT laundered for Cambodian scam ring — mastermind still ghosting Interpol

South Korean police referred 23 suspects for prosecution over an alleged crypto-laundering network that moved about $11.1 million (16.8 billion won) for a Cambodia-based phishing operation between February 2024 and April 2025, the Seoul Metropolitan Police Agency's crime investigation division said. Two suspects, identified only as A and B, have been detained, while a separate group of 33 additional suspects face allegations of illegally exchanging $4.1 million (6.3 billion won) in crypto. Investigators said they secured roughly $431,000 (650 million won) in proceeds through pre-indictment confiscation.

Police said the network bought the USDT stablecoin on the orders of an alleged ringleader, identified only as C, then routed it through domestic and overseas exchanges before cashing out into foreign currency or Korean won in exchange for a fee. A review of more than 11,300 linked accounts surfaced 265 instances of phishing harm, including voice phishing and investment fraud, totaling $17 million (25.7 billion won) in losses. Charges include breaches of the Foreign Exchange Transactions Act and the Specific Financial Information Act, and police warned that "acting as an agent for another person's virtual asset trading or exchanging virtual assets for Korean Won can also be subject to punishment." C remains at large and is the subject of an Interpol Red Notice.

Xue Yin Peh, head of investigative strategy and collections for APAC at Chainalysis, said international enforcement has begun to bite against Southeast Asia's scam compounds but described the ecosystem as a "persistent concern." She pointed to record-breaking actions last year, including UK authorities' recovery of 61,000 in Bitcoin and a $15 billion forfeiture tied to Prince Holding Group, calling the cases "a meaningful shift toward dismantling the global financial infrastructure that supports crypto fraud."

Peh added that transnational criminal networks "have demonstrated significant flexibility and resilience," relocating within and beyond Southeast Asia and rewiring their operations as scrutiny tightens. Separately, Cambodian national Chen Zhi, founder and chairman of Prince Holding Group, was arrested in Cambodia and extradited to China following October charges of wire fraud conspiracy and money laundering conspiracy tied to scam compounds that allegedly stole billions from victims in the U.S. and abroad, according to a Wall Street Journal report. Investigators said the broader illicit pipeline relies on a wider ecosystem of laundering networks, dedicated infrastructure, and trafficked labor that complicates cross-border enforcement.