BCH Group uses 3.8 billion in black money to buy 11 luxury houses as neighbors of Jay Chou! Money Laundering methods fully exposed.

The founder of the Cambodian BCH Group Holdings, Chen Zhi, has been indicted by the U.S. Department of Justice for crimes including fraud, money laundering, and cryptocurrency investment scams. The U.S. Treasury has designated BCH Group as a transnational criminal organization and has imposed financial sanctions on 146 targeted entities and individuals under it, including three Taiwanese women and nine companies from Taiwan. They also purchased 11 luxury residences on Heping East Road in Da'an District, Taipei, known as “Heping Garden,” neighboring Jay Chou.

BCH Group Builds Fraud Empire, Consuming 900 Million TWD Daily

U.S. prosecutors' investigations show that the BCH group has established at least 10 “fraud zones” in Cambodia. These zones appear to be business centers or residential areas, but in reality, they are tightly controlled fraud factories. They use various methods to deceive thousands of people into becoming pawns engaged in online fraud, with victims mostly being Southeast Asian and Chinese citizens. They are lured to Cambodia by false promises of high-paying jobs, only to have their passports confiscated and be forced to engage in fraudulent activities.

With just two locations, there are 1,250 mobile phones controlling over 70,000 social media accounts. This scale of industrialized fraud is extremely rare in the history of global crime. These phones and accounts are used to carry out “pig butchering” scams, where scammers build emotional relationships with victims through social media, gradually inducing them to invest in fake cryptocurrency or forex trading platforms, ultimately defrauding them of all their funds. At its peak, it could defraud $30 million in a single day, approximately 910 million TWD. This figure means that the BCH group can achieve monthly fraud revenues of about 27.3 billion TWD, with annual revenues exceeding 300 billion TWD.

The proceeds of the fraud are laundered through the virtual currency Bitcoin, which is a key link in the criminal structure of the BCH group. The anonymity of Bitcoin and the convenience of cross-border transfers make it an ideal tool for money laundering. The money laundering methods that the BCH group may adopt include: exchanging the fiat currency from the fraud proceeds for Bitcoin, making multiple transfers through multiple wallet addresses to obscure the source of funds, using mixing services to further enhance anonymity, and finally exchanging Bitcoin back to fiat currency or using it to purchase assets in different jurisdictions.

BCH Group Scam Structure:

Scam Park: At least 10 locations in Cambodia, thousands of coerced piglets.

Technical Scale: Just two locations have 1,250 mobile phones and 70,000 social media accounts.

Scam Revenue: Peak daily income of 30 million USD (approximately 910 million TWD)

Money Laundering Channel: Laundering through virtual currencies such as Bitcoin.

Asset Transfer: Investment in Taiwan's luxury real estate market

The U.S. Treasury Department has designated the BCH group as a transnational criminal organization and has imposed financial sanctions on 146 targeted entities and individuals associated with it. Such large-scale sanctions are uncommon in the history of international law enforcement and are usually directed only at terrorist organizations, drug cartels, or state-level threats. The ability of the BCH group to provoke sanctions of this magnitude demonstrates the vastness of its criminal network and its threat to the international financial system.

38 billion bought 11 units in He Ping Da Yuan as neighbors of Zhou Dong

BCH Group has purchased 11 luxury apartments in the well-known “He Ping Da Yuan” located on He Ping East Road in Da'an District, Taipei, and is neighbors with the King of Pop, Jay Chou, with 8 of the registered company addresses surprisingly located here. According to a report by “Know News”, BCH Group Holdings is using Taiwan's luxury real estate market for money laundering activities, becoming a hotbed for fraud rings. The list includes 3 Taiwanese women and 9 Taiwanese companies, indicating that BCH Group has established a complete money laundering network in Taiwan.

He Ping Da Yuan is one of the top luxury residences in Taipei City, located on He Ping East Road in the Da'an District, near the Dunhua business district. In addition to the top floors 37 and 38 being owned by the artist Jay Chou, and the 32nd floor having been purchased by someone else, the other floors are all occupied by a scam group. This kind of large-scale purchase of entire floors is extremely rare, indicating the massive scale of money laundering funds by the BCH group and their deep penetration into the Taiwan luxury real estate market.

These companies were initially registered with a low capital amount, but then quickly increased their capital and purchased luxury residences such as “Peace Garden” in a short period, with individual unit prices reaching 600 million. Calculating with 11 units, the total investment amount is approximately 6.6 billion, but reports indicate that the total amount is 3.8 billion, possibly due to some units being priced lower or purchased at a discount. Importantly, all luxury residences were purchased in cash.

Cash transactions are a typical characteristic of money laundering. Normal high-value real estate transactions are usually conducted through bank loans or wire transfers, which leave clear money flow records. However, cash transactions are difficult to trace back to the source of funds, making it challenging for law enforcement agencies to prove the illegal nature of the funds. According to the Anti-Money Laundering Act, financial institutions and related professionals are obligated to report suspicious transactions, but there are loopholes in the actual implementation of these regulations, resulting in the money laundering activities of the BCH group not being detected in time.

Taiwan's Money Laundering Prevention Vulnerabilities and Law Enforcement Challenges

The Taiwanese government established the Anti-Money Laundering Office in 2017, aimed at combating illegal groups from laundering criminal proceeds. However, the BCH group still set up 9 companies in Taiwan through a series of methods. When the government promoted the “Invest in Taiwan” plan in 2019 to attract capital inflows, they funneled “black money” into the luxury real estate market in Taiwan through shell companies. The timing of this choice is highly strategic; when the government is vigorously attracting capital to return, law enforcement agencies may have relatively lenient scrutiny of the sources of funds.

The Director-General of the National Police Agency, Chang Rong-hsing, recently stated that data shows Chen Zhi had visited Taiwan before 2022. Prior to the sanctions and prosecution actions initiated by the U.S. Department of Justice and the Department of the Treasury regarding this case, the U.S. side did not request Taiwan to provide relevant information. However, Taiwan has proactively contacted the FBI and has reported the case to the Taipei District Prosecutor's Office for investigation. Chen Zhi has entered and exited Taiwan at least 10 times, and has 8 companies registered at the famous luxury residence “Peace Garden,” indicating that he is active in Taiwan and has established a complete asset network.

Black eats black insider: left hand steals 900 million

According to reports from Taiwanese media, the head of the BCH group, Chen Zhi, was actually scammed and suffered a blackmail by his own people in Taiwan! The perpetrator is his trusted right-hand man, Zhang Gangyao. Zhang Gangyao previously served as the head of BCH Real Estate, managing the finances of nine companies in Taiwan, but is suspected of embezzling funds by transferring company accounts to his own private account, stealing a total of 900 million dollars.

Zhang Gangyao began requesting the company's executives to transfer money to his personal account starting in 2020. In just three months, he was suspected of illegally moving funds from four companies, amounting to over 900 million in public money. After stepping down, he was discovered and reported by Lin Zhongliang, who took over, but by this time, Zhang Gangyao had already left the group for nearly 10 months and had fled, leading to a warrant being issued by the Northern District Prosecutor's Office. This black-on-black scandal reveals that even within international crime organizations, there is a lot of betrayal and infighting.

The Northern District Prosecutors Office also divided the case on the 15th, fully investigating the crimes of the BCH group in Taiwan. Although it is still in the evidence collection stage, they are continuously seeking hidden intelligence from the US side, hoping to quickly bring to justice the members of the fraud group hiding in Taiwan.