Japan arrests alleged mastermind behind $15B crypto scam tied to Prince Group

Tokyo Metropolitan Police arrested Hu Xiaowei, also known as Hu Shi and Chen Xiao’er, on June 22 after tracking his movements across multiple luxury hotels in Japan. The man accused of running forced-labor pig-butchering compounds is responsible for $15 billion in stolen Bitcoin.

According to Japanese law enforcement, the Hu was arrested for filing a fraudulent residency change-of-address form. Two Chinese nationals were also arrested for filing paperwork on his behalf. Authorities believe he is the mastermind behind Cambodia’s Prince Group, which is currently accused of running forced-labor pig-butchering schemes leading to theft of over $15 billion in Bitcoin.

The fugitive has operated under at least four different names and has flown private jets in and out of Tokyo after being placed on U.S. and UK sanctions lists. Hu has reportedly quietly acquired property and companies across Japan, Hong Kong, and London.

Japan entered the Prince Group enforcement wave later than its counterparts. The U.S., UK, South Korea, Singapore, and Taiwan have all made moves on the network since October 2025.

Japanese Police confirmed publicly that the individual named “Chen Xiao’er” on the U.S. Treasury Department’s October 2025 sanctions list and the Hu Shi in their custody are the same person. Tokyo Metropolitan Police confirmed that a wider investigation into Price Group has begun, and soon, they will determine Hu’s role within the organization.

Reports show that the Police had been tracking Hu across a series of luxury hotels in Osaka before making a move. The arrest comes just a few days after FBI Director Kash Patel posted a direct warning to crypto fraud networks and weeks after the UK’s Illicit Finance Summit called for renewed international pressure on scam compounds.

Hu owns multiple Prince Group companies in Japan, UK

OCCRP first publicly connected Hu’s four identities in December 2025. Their report claimed that the man the U.S. Treasury had sanctioned under the name Chen Xiao’er had other identities far deeper than the authorities had documented. 

OCCRP reported that Hu owned two key Prince Group companies and had approximately $45 million worth of property in the UK. He also controlled a $15 million coastal villa in Hong Kong under a Saint Kitts and Nevis passport. The man also operated a network of aircraft leasing companies in HK under the “Cloud Nine” banner. 

OCCRP also pointed out that most of the jets were used by him and the former Prime Minister of Cambodia, Hun Sen. Flight records obtained by OCCRP showed a San Marino-registered Falcon 8X bearing tail number T7-CLN, owned through a shell company that Hu controls, had made repeated trips to Tokyo.

In May 2026, Dim Sum Daily reported that Hu continued to fly in and out of Japan while under sanctions. During the time, Hong Kong’s Department of Justice was already seeking a freezing order on his assets.

The U.S. Treasury sanctioned 146 Prince Group-linked entities in October 2025, and the DOJ unsealed an indictment against founder Chen Zhi in the largest Bitcoin forfeiture action in its history, totaling 127,271 BTC, valued at approximately $15 billion.

The UK government also sanctioned Hu Xiaowei by name in March 2026, citing his role as a “long-term associate” of Chen Zhi and labeling him a provider of financial, technical, and logistical support to the network.

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