Investigation Report: Timor-Leste’s “crypto resort” project appears to be linked to the sanctioned fraud group Prince Group, but the construction site is empty

The Guardian and the Organised Crime and Corruption Reporting Project (OCCRP) joint investigation over four months has uncovered that, in Timor-Leste, one of the world’s poorest countries, a project marketed as the “world’s first cryptocurrency holiday resort” may be linked to the Cambodia Prince Group scam network that has been sanctioned by the United States. In February this year, the investigation reporters traveled to the construction site near the Dili airport for on-the-ground interviews, but they only found an empty plot overgrown with weeds.

The gap between promotion and reality: the luxury crypto resort is now just an empty lot

AB Digital Technology Resort’s promotional materials tout a lavish villa, sea views, and a “global technology elite exchange hub,” and claim they will use part of their proceeds for charity. However, when reporters visited the coastal construction site shown in the promotional photos, they found nothing on the land separated by fencing—only scattered shrubs.

This project is at the heart of the investigation. Investigators found that three people involved in the resort project appeared to be linked to the Prince Group that has been sanctioned by the United States; during the course of the investigation, these three individuals were removed from the project.

Prince Group: “pig-butchering” scams, human trafficking, and seized bitcoin

Prince Group is a multinational corporate group that claims to engage in real estate and financial services. However, in October last year the U.S. Department of the Treasury imposed sanctions on it, accusing it of running large-scale online scam operations in Southeast Asia, relying on human trafficking and modern slavery to keep the operation going. Victims are spread across the globe. Founder Chen Zhi faces U.S. charges for conspiracy to commit wire fraud and conspiracy to commit money laundering, and billions of dollars’ worth of bitcoin have been seized.

In January this year, Chen Zhi was extradited from Cambodia to China, and footage of him stepping off the plane under the escort of officers in black tactical police uniforms has circulated widely. China has not yet disclosed the specific charges against him.

The main scam method Prince Group is accused of is “pig-butchering” (in Cantonese, “kill-the-pig syndicate”): scammers establish relationships with victims using fake identities on social media or messaging apps, sometimes for months, before persuading them to put money into fake cryptocurrency or investment platforms. After victims see fabricated profit figures, they often keep adding investments until the funds are stolen and the scammers disappear.

The Timor-Leste government: “the most dangerous crossroads”

The investigation also revealed multiple troubling details: a foreigner involved in the resort project holds a Timor-Leste diplomatic passport; some former heads of state who originally supported the project, when approached, denied making the remarks quoted in the promotional materials and even denied knowing about the project. After the investigation reporters contacted key figures, related content on AB’s official website was also gradually taken down.

Last year, the United Nations issued warnings about the risk of scam networks infiltrating Timor-Leste. A Timor-Leste government official told The Guardian that this small country, just 700 kilometers from Australia, is facing “the most dangerous crossroads since independence,” with the risk of becoming “a playground for transnational criminal groups.” Timor-Leste’s president also told the media that whether this resort is “a real resort or just talk” remains an open question.

The resort company’s shareholders said the development plan will still move forward.

This article Investigation report: Timor-Leste’s “crypto resort” plan appears linked to the sanctioned scam group Prince Group, but the construction site on the ground is empty, first appeared on Chain News ABMedia.