Blab Crypto
Tokyo Police Arrest Prince Group Executive on False Residency Charge Amid Global Crypto Fraud Crackdown
On June 22, 2026, Tokyo police detained Hu Xiaowei, a 44‑year‑old Cypriot national of Chinese descent, on a charge of submitting a false move‑in notification to support a permanent‑residency application in the city’s Chuo Ward. The arrest is the latest move in a sweeping international effort that includes Japan, the United States, the United Kingdom and China to dismantle the Prince Group, a Cambodian‑based conglomerate accused of running one of the largest transnational cryptocurrency fraud operations in history.
Hu is a senior executive in the Prince Group, which is led by chairman Chen Zhi. He is also known by the aliases Chen Xiao’er and Wu An Ming. U.S. and U.K. authorities have already sanctioned him for ties to the group, and the United Kingdom froze assets worth more than $44 million linked to his name.
The Prince Group has been the target of a massive law‑enforcement campaign. In October 2025, U.S. authorities seized 127,271 Bitcoin from wallets linked to the group. At the time of the seizure the coins were valued at roughly $15 billion, making it one of the largest cryptocurrency forfeitures in Department of Justice history.
Allegations against the group include operating forced‑labour scam compounds in Cambodia. Victims are trafficked into these compounds and coerced into running “pig butchering” schemes. Pig butchering is a long‑con investment fraud that builds trust over weeks or months—often through messaging apps or fake dating profiles—before luring victims into fraudulent crypto‑investment platforms.
Chen Zhi was indicted by U.S. authorities in October 2025 and was extradited to China in January 2026, where he is currently facing legal proceedings. The forced‑labour dimension of the Prince Group’s operations has drawn attention from law‑enforcement agencies and human‑rights organisations worldwide.
For retail investors, pig‑butchering scams have become the dominant form of crypto fraud globally, surpassing ransomware attacks and exchange hacks in total dollar losses. The scale of the Prince Group’s operations, combined with the use of forced labour, has made it a high‑profile target for international regulators.
The arrest of Hu in Tokyo illustrates the coordination between national authorities. While the United States and the United Kingdom have imposed sanctions and frozen assets, Japan has now taken action against a key executive. The United Nations and other international bodies have also been monitoring the group’s activities.
The Prince Group’s business interests extend beyond fraud. The conglomerate has holdings in real estate, financial services and airlines in Cambodia. Despite its legitimate operations, the group’s alleged involvement in large‑scale fraud and forced‑labour has led to its designation as a transnational criminal organisation by U.S. and U.K. regulators.
The Tokyo arrest follows the extradition of Chen Zhi to China, indicating that the group’s leadership is being pursued across multiple jurisdictions. The combined actions of the United States, United Kingdom, China and Japan signal a shift toward a more coordinated enforcement approach against cross‑border crypto fraud.
At present, the legal status of Hu remains pending. Japanese authorities have not released details beyond the charge of false residency documentation. The United States and United Kingdom have not announced any additional actions against him beyond the existing sanctions and asset freezes.
The broader implications of the Prince Group crackdown include a heightened focus on the use of cryptocurrency in facilitating illicit financial flows and the exploitation of vulnerable populations in forced‑labour scam compounds. The case underscores the need for continued international cooperation and regulatory oversight to protect consumers and prevent the misuse of digital assets.
As of now, the United States continues to monitor the group’s financial networks, while the United Kingdom maintains its asset‑freezing orders. In Japan, the police are investigating the extent of Hu’s involvement in the group’s operations. The outcome of these investigations will likely influence future regulatory and enforcement strategies in the cryptocurrency sector.
The Prince Group case remains a key example of how global law‑enforcement agencies are tackling complex, cross‑border fraud networks that exploit both technology and human trafficking. The coordinated actions taken against the group’s leadership and assets demonstrate a growing willingness among governments to confront the intersection of cybercrime, financial fraud and human‑rights abuses.
The situation is evolving. Further developments are expected as Japanese authorities proceed with their investigation, and as U.S. and U.K. regulators assess the impact of their sanctions and asset‑freezing measures. The case also highlights the importance of transparency and cooperation among international partners in addressing the challenges posed by large‑scale cryptocurrency fraud.
In summary, the arrest of Hu Xiaowei in Tokyo is a significant step in a multi‑country effort to dismantle the Prince Group’s extensive fraud network. The case illustrates the complex interplay between cryptocurrency, forced labour, and international law enforcement, and underscores the ongoing challenges faced by regulators and law‑enforcement agencies in protecting consumers and preventing illicit financial activity.
Hu is a senior executive in the Prince Group, which is led by chairman Chen Zhi. He is also known by the aliases Chen Xiao’er and Wu An Ming. U.S. and U.K. authorities have already sanctioned him for ties to the group, and the United Kingdom froze assets worth more than $44 million linked to his name.
The Prince Group has been the target of a massive law‑enforcement campaign. In October 2025, U.S. authorities seized 127,271 Bitcoin from wallets linked to the group. At the time of the seizure the coins were valued at roughly $15 billion, making it one of the largest cryptocurrency forfeitures in Department of Justice history.
Allegations against the group include operating forced‑labour scam compounds in Cambodia. Victims are trafficked into these compounds and coerced into running “pig butchering” schemes. Pig butchering is a long‑con investment fraud that builds trust over weeks or months—often through messaging apps or fake dating profiles—before luring victims into fraudulent crypto‑investment platforms.
Chen Zhi was indicted by U.S. authorities in October 2025 and was extradited to China in January 2026, where he is currently facing legal proceedings. The forced‑labour dimension of the Prince Group’s operations has drawn attention from law‑enforcement agencies and human‑rights organisations worldwide.
For retail investors, pig‑butchering scams have become the dominant form of crypto fraud globally, surpassing ransomware attacks and exchange hacks in total dollar losses. The scale of the Prince Group’s operations, combined with the use of forced labour, has made it a high‑profile target for international regulators.
The arrest of Hu in Tokyo illustrates the coordination between national authorities. While the United States and the United Kingdom have imposed sanctions and frozen assets, Japan has now taken action against a key executive. The United Nations and other international bodies have also been monitoring the group’s activities.
The Prince Group’s business interests extend beyond fraud. The conglomerate has holdings in real estate, financial services and airlines in Cambodia. Despite its legitimate operations, the group’s alleged involvement in large‑scale fraud and forced‑labour has led to its designation as a transnational criminal organisation by U.S. and U.K. regulators.
The Tokyo arrest follows the extradition of Chen Zhi to China, indicating that the group’s leadership is being pursued across multiple jurisdictions. The combined actions of the United States, United Kingdom, China and Japan signal a shift toward a more coordinated enforcement approach against cross‑border crypto fraud.
At present, the legal status of Hu remains pending. Japanese authorities have not released details beyond the charge of false residency documentation. The United States and United Kingdom have not announced any additional actions against him beyond the existing sanctions and asset freezes.
The broader implications of the Prince Group crackdown include a heightened focus on the use of cryptocurrency in facilitating illicit financial flows and the exploitation of vulnerable populations in forced‑labour scam compounds. The case underscores the need for continued international cooperation and regulatory oversight to protect consumers and prevent the misuse of digital assets.
As of now, the United States continues to monitor the group’s financial networks, while the United Kingdom maintains its asset‑freezing orders. In Japan, the police are investigating the extent of Hu’s involvement in the group’s operations. The outcome of these investigations will likely influence future regulatory and enforcement strategies in the cryptocurrency sector.
The Prince Group case remains a key example of how global law‑enforcement agencies are tackling complex, cross‑border fraud networks that exploit both technology and human trafficking. The coordinated actions taken against the group’s leadership and assets demonstrate a growing willingness among governments to confront the intersection of cybercrime, financial fraud and human‑rights abuses.
The situation is evolving. Further developments are expected as Japanese authorities proceed with their investigation, and as U.S. and U.K. regulators assess the impact of their sanctions and asset‑freezing measures. The case also highlights the importance of transparency and cooperation among international partners in addressing the challenges posed by large‑scale cryptocurrency fraud.
In summary, the arrest of Hu Xiaowei in Tokyo is a significant step in a multi‑country effort to dismantle the Prince Group’s extensive fraud network. The case illustrates the complex interplay between cryptocurrency, forced labour, and international law enforcement, and underscores the ongoing challenges faced by regulators and law‑enforcement agencies in protecting consumers and preventing illicit financial activity.
