Zheng Zhao, a 44-year-old Chinese national, was extradited from the Netherlands to Los Angeles on October 23, 2026. He faces charges of conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison. Zhao was originally charged in August 2025.
Prosecutors allege Zhao participated in a network operating scam centers in Cambodia. These centers utilized fake cryptocurrency trading platforms to defraud at least 174 American victims of more than $36.9 million. The scheme involved building trust through social media and dating apps before soliciting investments.
The illicit funds were reportedly laundered through US shell companies and Deltec Bank in the Bahamas. The money was then converted into Tether and transferred to operators in Cambodia. Eight co-conspirators have already pleaded guilty, with some receiving prison sentences of 46 and 51 months.
This case is part of a broader US effort to combat fraud operations in Southeast Asia linked to human trafficking and forced labor. Authorities have previously imposed sanctions on associated entities and seized billions in cryptocurrency assets.
