The U.S. Treasury Department has significantly expanded its crackdown on the Southeast Asia-based Prince Group network, announcing coordinated actions on June 23 that target both senior figures and emerging entities. According to the latest Treasury announcement, OFAC sanctioned nine individuals and 26 entities linked to the Prince Group Transnational Criminal Organization (TCO), building on previous actions taken in October 2025. The expanded enforcement follows international developments, including Japanese police arresting Hu Xiaowei, a senior figure allegedly linked to Cambodia's Prince Group, on suspicion of submitting false residency registration to Japanese authorities. As per The Asahi Shimbun, Tokyo's Metropolitan Police Department arrested the 44-year-old Cypriot national on June 14, 2026, after he filed fraudulent resident registration notice claiming transfer to Tokyo's Chuo Ward.
The Financial Crimes Enforcement Network (FinCEN) has proposed amending its existing restrictions to explicitly cover H-Pay Service PLC and any future successor entities. According to FinCEN's 34-page proposal, H-Pay effectively assumed the business role previously occupied by Huione Pay after Huione Pay lost its Cambodian payment services license and faced growing international scrutiny. The agency argues that H-Pay inherited Huione Pay's branches, customer base, branding elements, and operational footprint, with FinCEN citing reports showing H-Pay signage replacing Huione Pay branding at multiple locations following regulatory actions. The amendment would ensure that H-Pay and any future successor entities are covered by the same restrictions as the original Huione Group, with FinCEN stating the proposal is necessary to prevent Huione-linked operations from circumventing measures already imposed against the group.
Treasury officials revealed that Americans lost at least $10 billion to Southeast Asia-based scam operations in 2024, representing a 66% increase from the previous year. According to Treasury data, many of these schemes involve so-called crypto investment scams where fraudsters build trust with victims through online relationships before directing them to fake investment platforms that ultimately steal deposited funds. The U.S. Treasury and Department of Justice had previously announced sanctions against 146 related individuals and entities in October 2025, alleging the Cambodia-based organization operated international online investment fraud schemes, including pig-butchering scams. U.S. prosecutors alleged that Prince Group functioned as the center of a criminal network involved in cryptocurrency investment fraud, money laundering, human trafficking, and scam compounds across Southeast Asia.
Japanese authorities had not publicly identified Hu's whereabouts before the arrest, but sources familiar with the investigation told Asahi that Japanese authorities determined Hu had been operating inside Japan and began tracking his movements. Police later searched several luxury hotels in Osaka and identified Hu through security camera footage, arresting him in the city after locating him through the investigation. Corporate records reviewed by Asahi show that a company led by Hu was established in Tokyo's Adachi Ward in April 2023 for trading-related operations, with the company's capital reportedly increasing from ₹8 million to ₹50 million by March 2026. The company later relocated its registered address to Tokyo's Chiyoda Ward, and Hu changed his registered address multiple times, including locations in London, Tokyo's Minato Ward, Osaka Prefecture, and Chuo Ward in Tokyo, the location referenced in the arrest allegations.
